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Productivity and Factor Allocation in Kibbutz Farming and Manufacturing

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  • Haim Barkai

Abstract

[eng] Productivite and factor allocation. in Kibbutz farming and manufacturing. . Cobb-Douglas production-function techniques are used in an empirical study of productivites and factor allocation in the kibbutz production sector. Among the hypotheses tested is the common belief that kibbutzim do not apply the market criteria used by firms in a market environment. However, the estimates pre-sented suggest that the belief is unfounded : kibbutzim do not allocate factors to activities whose value of marginal product is below the relevant market prices. The estimates also reveal a substantial gap between the marginal factor productivities of agriculture and manufacturing, undoubtedly the major force in the industrialization drive of the 1960s. The gap between the value of marginal product of labor and the relevant market wage rates explains why kibbutzim hire labor, contrary to their principles. Finally, the findings which show that production in the two branches ist subject to increasing returns to scale support the traditional kibbutz theory of a positive association bstween size and economic efficiency. [fre] Les techniques afférentes à la fonction de production Cobb-Douglas sont utilisées dans cette étude empirique de la productivité et de l'affectation de ressources dans le secteur de production du Kibboutz. Parmi les hypothèses examinées, il y a celle, d'opinion courante, selon laquelle les kibboutzim n'appliqueraient pas les critères du marché utilisés par les firmes opérant en économie de marché. Les estimations présentées suggèrent toutefois que cette opinion est sans fondement. En fait, les kibboutzim n'affectent pas des ressources à des activités où la valeur du produit marginal s'avère inférieure aux prix courants du marché. Les estimations révèlent encore qu'il existe un écart important entre les productivités mar­ginales de facteurs dans l'agriculture, et celles enregistrées dans l'industrie manufacturière. Ceci a servi sans doute de facteur majeur dans la poussée vers l'industrialisation des années 1960. L'écart entre la valeur du produit marginal du travail et les taux de salaires pratiqués sur le marché, explique pourquoi les kibboutzim, contrairement à leurs principes, embauchent. Les économies d'échelle enregistrées viennent à l'appui de la théorie traditionnelle du kibboutz, suivant laquelle un rapport positif existerait entre dimension et efficience économique.

Suggested Citation

  • Haim Barkai, 1979. "Productivity and Factor Allocation in Kibbutz Farming and Manufacturing," Revue Économique, Programme National Persée, vol. 30(1), pages 144-161.
  • Handle: RePEc:prs:reveco:reco_0035-2764_1979_num_30_1_408453
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    References listed on IDEAS

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    1. Barkai, Haim & Levhari, David, 1973. "The Impact of Experience on Kibbutz Farming," The Review of Economics and Statistics, MIT Press, vol. 55(1), pages 56-63, February.
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