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Factor Substitution and Technical Change in Bangladesh Agriculture

Author

Listed:
  • Raihana, Bilkis

    (Assistant Professor, Department of Economics, Asian University of Bangladesh.)

Abstract

This empirical study on factor substitution and technical change in Bangladesh agriculture uses the translog cost function which belongs to the family of flexible forms and does not a priori restrict the value of the elasticity of substitution. Using the function, both substitutability and complementarity relationships between inputs are found in Bangladesh agriculture. Most of the own elasticities of demand for farm inputs are found to be less than one. There are also evidence of land and labour saving technical changes and presence of fertiliser and irrigation using technical changes.

Suggested Citation

  • Raihana, Bilkis, 2012. "Factor Substitution and Technical Change in Bangladesh Agriculture," Bangladesh Development Studies, Bangladesh Institute of Development Studies (BIDS), vol. 35(4), pages 75-86, December.
    • Handle: RePEc:ris:badest:0546
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    References listed on IDEAS

    as
    1. Jay T. Akridge & Thomas W. Hertel, 1986. "Multiproduct Cost Relationships for Retail Fertilizer Plants," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 68(4), pages 928-938.
    2. Diewert, W. E., 1976. "Exact and superlative index numbers," Journal of Econometrics, Elsevier, vol. 4(2), pages 115-145, May.
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    Citations

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    Cited by:

    1. Arnaud Daymard, 2018. "A Closer Look at the Mechanism of Structural Transformation: the Role of Land- versus Labor-Augmenting Technical Change in Agriculture," THEMA Working Papers 2018-11, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
    2. Luis Antonio Galiano Bastarrica & Eva M. Buitrago Esquinas & María Ángeles Caraballo Pou & Rocío Yñiguez Ovando, 2023. "Environmental adjustment of the EU27 GDP: an econometric quantitative model," Environment Systems and Decisions, Springer, vol. 43(1), pages 115-128, March.

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    More about this item

    Keywords

    Translog Cost Function; Factor Substitution; Technical Change; Bangladesh; Agriculture;
    All these keywords.

    JEL classification:

    • D04 - Microeconomics - - General - - - Microeconomic Policy: Formulation; Implementation; Evaluation
    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • O33 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Technological Change: Choices and Consequences; Diffusion Processes
    • Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services

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