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An Evaluation Of Selected Decision Models: A Case Of Crop Choice In Northern Thailand

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  • Vieth, Gary R.
  • Suppapanya, Pramote

Abstract

This research examines the predictability of a profit maximization model, an expected value-variance utility maximization (E-V) model, and two versions of the target-MOTAD model for modeling risky agricultural production decisions. Model solutions were translated into expected value and variance of farm income for analysis. Direct comparison and chi-square analysis of actual and predicted expected income distributions were used in the analyses. It was concluded that the utility maximization and cash-cost target-MOTAD models predicted distributions of farm income better than the variable-cost target-MOTAD and profit maximization models.

Suggested Citation

  • Vieth, Gary R. & Suppapanya, Pramote, 1996. "An Evaluation Of Selected Decision Models: A Case Of Crop Choice In Northern Thailand," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 28(2), pages 1-11, December.
    • Handle: RePEc:ags:joaaec:15128
    DOI: 10.22004/ag.econ.15128
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    References listed on IDEAS

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    Keywords

    Crop Production/Industries;

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