IDEAS home Printed from https://ideas.repec.org/a/bla/ajarec/v29y1985i2p122-141.html
   My bibliography  Save this article

A Comparative Analysis Of Agricultural Tractor Investment Models

Author

Listed:
  • David Vanzetti
  • John C. Quiggin

Abstract

An implicit rental price approach is used to analyse the determinants of farm tractor investment at the aggregate level. Three models, based on different assumed factor substitutabilities, are compared. Variations in the rental price of tractors appear to have less effect on demand than variations in factors affecting the profitability of the cropping enterprise as a whole. The implications for forecasting and for policy instruments, such as the investment allowance, are discussed.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • David Vanzetti & John C. Quiggin, 1985. "A Comparative Analysis Of Agricultural Tractor Investment Models," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 29(2), pages 122-141, August.
    • Handle: RePEc:bla:ajarec:v:29:y:1985:i:2:p:122-141
    DOI: j.1467-8489.1985.tb00652.x
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/j.1467-8489.1985.tb00652.x
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/j.1467-8489.1985.tb00652.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or search for a different version of it.

    Other versions of this item:

    References listed on IDEAS

    as
    1. M. H. Pesaran, 1974. "On the General Problem of Model Selection," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 41(2), pages 153-171.
    2. Fisher, Brian S., 1974. "A Quarterly Model Of Agricultural Investment In Australia," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 18(1), pages 1-10, April.
    3. Brian S. Fisher, 1974. "A Quarterly Model Of Agricultural Investment In Australia," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 18(1), pages 22-31, April.
    4. John B. Penson & Robert F. J. Romain & Dean W. Hughes, 1981. "Net Investment in Farm Tractors: An Econometric Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 63(4), pages 629-635.
    5. Coen, Robert M, 1975. "Investment Behavior, the Measurement of Depreciation, and Tax Policy," American Economic Review, American Economic Association, vol. 65(1), pages 59-74, March.
    6. Jorgenson, Dale W, 1971. "Econometric Studies of Investment Behavior: A Survey," Journal of Economic Literature, American Economic Association, vol. 9(4), pages 1111-1147, December.
    7. Vincent, David P., 1977. "Factor Substitution In Australian Agriculture," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 21(2), pages 1-11, August.
    8. Ando, Albert K, et al, 1974. "On the Role of Expectations of Price and Technological Change in an Investment Function," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 15(2), pages 384-414, June.
    9. David P. Vincent, 1977. "Factor Substitution In Australian Agriculture," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 21(2), pages 119-129, August.
    10. McKay, Lloyd & Lawrence, Denis & Vlastuin, Chris, 1980. "Input Demand and Substitution in the Australian Sheep Industry," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 48(02), pages 1-14, August.
    11. John B. Penson & Dean W. Hughes & Glenn L. Nelson, 1977. "Measurement of Capacity Depreciation Based on Engineering Data," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(2), pages 321-329.
    12. Farley, John U. & Hinich, Melvin & McGuire, Timothy W., 1975. "Some comparisons of tests for a shift in the slopes of a multivariate linear time series model," Journal of Econometrics, Elsevier, vol. 3(3), pages 297-318, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kingwell, Ross S., 1996. "On-Farm Factors Influencing Investment In Crop Sowing Machinery," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 40(3), pages 1-14, December.
    2. D. N. Cooper, 1994. "Net Investment In Agricultural Tractors," Journal of Agricultural Economics, Wiley Blackwell, vol. 45(3), pages 339-350, September.
    3. Lewis, Philip E.T. & Hall, Nigel H. & Savage, C.R. & Kingston, A.G., 1988. "Taxation, Cost Of Capital And Investment In Australian Agriculture," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 32(1), pages 1-7, April.
    4. Yuewen Huo & Songlin Ye & Zhou Wu & Fusuo Zhang & Guohua Mi, 2022. "Barriers to the Development of Agricultural Mechanization in the North and Northeast China Plains: A Farmer Survey," Agriculture, MDPI, vol. 12(2), pages 1-14, February.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. McKay, Lloyd & Lawrence, Denis & Vlastuin, Chris, 1982. "Production Flexibility and Technical Change in Australia's Wheat-Sheep Zone," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 50(01), pages 1-18, April.
    2. Buetre, Benjamin L. & Ahmadi-Esfahani, Fredoun Z., 1993. "Estimation of Factor Demand and Substitution in the Australian Pig Industry: A Dual Approach," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 61(02-1), pages 1-12, August.
    3. Bhati, U.N., 1980. "The Demand for Hired Labour on Australian Sheep Farms," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 48(02), pages 1-12, August.
    4. Martin, John F., 1982. "Induced Innovation in the High Rainfall Zone," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 50(03), pages 1-20, December.
    5. Lawrence, Denis, 1990. "A Generalised McFadden Cost Function for Australian Agriculture," 1990 Conference (34th), February 13-15, 1990, Brisbane, Australia 145195, Australian Agricultural and Resource Economics Society.
    6. Chen, Dean T. & Penson, John B. & Teboh, Jacob F., 1988. "The Implicit Revenue Function Approach to Farm Program Analysis," Staff Reports 257912, Texas A&M University, Agricultural and Food Policy Center.
    7. Lewis, Philip E.T. & Hall, Nigel H. & Savage, C.R. & Kingston, A.G., 1988. "Taxation, Cost Of Capital And Investment In Australian Agriculture," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 32(1), pages 1-7, April.
    8. Tryphon Kollintzas, 1986. "Tax Policy under Nongeometric Physical Depreciation," Public Finance Review, , vol. 14(3), pages 263-288, July.
    9. McKay, Lloyd & Lawrence, Denis & Vlastuin, Chris, 1980. "Input Demand and Substitution in the Australian Sheep Industry," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 48(02), pages 1-14, August.
    10. Terregrossa, Ralph A., 1997. "Capital depreciation and investment demand," The Quarterly Review of Economics and Finance, Elsevier, vol. 37(1), pages 79-95.
    11. Andersen, Matthew A. & Alston, Julian M. & Pardey, Philip G., 2009. "Capital Service Flows: Concepts and Comparisons of Alternative Measures in U.S. Agriculture," Staff Papers 50098, University of Minnesota, Department of Applied Economics.
    12. Penson, John B. & Chen, Dean T., 1988. "Design and Application of a Structural General Equilibrium Model to Farm Policy Analysis," Staff Reports 257926, Texas A&M University, Agricultural and Food Policy Center.
    13. Tocco,Barbara & Bailey, Alastair & Davidova, Sophia, 2013. "The Theoretical Framework and Methodology to Estimate the Farm Labour and Other Factor-Derived Demand and Output Supply Systems," Factor Markets Working Papers 156, Centre for European Policy Studies.
    14. Cagri Saglam & Vladimir M. Veliov, 2008. "Role of Endogenous Vintage Specific Depreciation in the Optimal Behavior of Firms," International Journal of Economic Theory, The International Society for Economic Theory, vol. 4(3), pages 381-410, September.
    15. Hardin, Erin M. & Penson, John B., 2017. "Ability to Pay and Agriculture Sector Stability," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252829, Southern Agricultural Economics Association.
    16. Yu Sheng & V. Eldon Ball & Kenneth Erickson & Carlos San Juan Mesonada, 2022. "Cross-country agricultural TFP convergence and capital deepening: evidence for induced innovation from 17 OECD countries," Journal of Productivity Analysis, Springer, vol. 58(2), pages 185-202, December.
    17. Conway, Roger & Hrubovcak, James & LeBlanc, Michael, 1985. "The Structure of Agricultural Investment: Comparing a Flexible Accelerator with Stochastic Coefficients," Technical Bulletins 157016, United States Department of Agriculture, Economic Research Service.
    18. Andersen, Matthew A. & Alston, Julian M., 2004. "A Comparison Of Capital Measures In U.S. Agriculture," 2004 Annual meeting, August 1-4, Denver, CO 20153, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    19. Nielsen, Elizabeth G. & Miranowski, John A. & Morehart, Mitchell J, 1989. "Investments in Soil Conservation and Land Improvements: Factors Explaining Farmers' Decisions," Agricultural Economic Reports 308064, United States Department of Agriculture, Economic Research Service.
    20. Hassler, John & Krusell, Per & Storesletten, Kjetil & Zilibotti, Fabrizio, 2008. "On the optimal timing of capital taxes," Journal of Monetary Economics, Elsevier, vol. 55(4), pages 692-709, May.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:ajarec:v:29:y:1985:i:2:p:122-141. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/aaresea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.