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Production Technology And Input Allocations In Sri Lankan Multicrop Farming

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  • K. Jegasothy
  • C. R. Shumway
  • H. Lim

Abstract

A primal production analysis is conducted of 182 farm households producing multiple outputs in the Sri Lankan dry zone. The approach involves systems estimation of the production functions with first‐order equations for variable inputs and permits recovery of the production technology for each crop. Land and family labour are regarded as constraining inputs. Shadow prices are computed for the constraining inputs and yield important implications for increasing household profits. Evidence of global homotheticity in a subset of three inputs is found for three of the crops. Weak separability is rejected in all tested subsets except for fertiliser and chemicals used in the production of vegetables. Input demand elasticities are computed for allocations satisfying necessary and sufficient conditions for profit maximisation. Highly elastic conditional input demands and output supplies are implied.

Suggested Citation

  • K. Jegasothy & C. R. Shumway & H. Lim, 1990. "Production Technology And Input Allocations In Sri Lankan Multicrop Farming," Journal of Agricultural Economics, Wiley Blackwell, vol. 41(1), pages 33-46, January.
    • Handle: RePEc:bla:jageco:v:41:y:1990:i:1:p:33-46
    DOI: 10.1111/j.1477-9552.1990.tb00617.x
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    References listed on IDEAS

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    1. Shumway, C. Richard & Jegasothy, Kandiah & Alexander, William P., 1988. "Production Interrelationships In Sri Lankan Peasant Agriculture," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 31(01), pages 1-13, April.
    2. Jere R. Behrman & Murty K. N., 1985. "Market Impacts of Technological Change for Sorghum in Indian Near-Subsistence Agriculture," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 67(3), pages 539-549.
    3. C. Richard Shumway & Anne A. Chang, 1977. "Linear Programming versus Positively Estimated Supply Functions: An Empirical and Methodological Critique," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(2), pages 344-357.
    4. Chambers,Robert G., 1988. "Applied Production Analysis," Cambridge Books, Cambridge University Press, number 9780521314275, November.
    5. Fuss, Melvyn & McFadden, Daniel, 1978. "Production Economics: A Dual Approach to Theory and Applications (I): The Theory of Production," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, volume 1, number fuss1978.
    6. Richard E. Just & David Zilberman & Eithan Hochman, 1983. "Estimation of Multicrop Production Functions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 65(4), pages 770-780.
    7. Fuss, Melvyn & McFadden, Daniel, 1978. "Production Economics: A Dual Approach to Theory and Applications (II): Applications of the Theory of Production," History of Economic Thought Books, McMaster University Archive for the History of Economic Thought, volume 2, number fuss1978a.
    8. Burgess, David F., 1975. "Duality theory and pitfalls in the specification of technologies," Journal of Econometrics, Elsevier, vol. 3(2), pages 105-121, May.
    9. John Strauss, 1984. "Marketed Surpluses of Agricultural Households in Sierra Leone," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 66(3), pages 321-331.
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    1. Shumway, C. Richard & Davis, George C., 2001. "Does consistent aggregation really matter?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 45(2), pages 1-34.
    2. Shumway, C. Richard, 1995. "Recent Duality Contributions In Production Economics," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(01), pages 1-17, July.
    3. Parakrama Weligamage & C. Richard Shumway & Keith A. Blatner, 2014. "Water access, farm productivity, and farm household income: Sri Lanka's Kirindi Oya irrigation system," Agricultural Economics, International Association of Agricultural Economists, vol. 45(5), pages 649-661, September.

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