IDEAS home Printed from https://ideas.repec.org/p/isu/genstf/198703010800001161.html
   My bibliography  Save this paper

Dynamic Corn Supply Functions: A Model with Explicit Optimization

Author

Listed:
  • Tegene, Abebayehu
  • Huffman, Wallace E.
  • Miranowski, John A.

Abstract

Both static and dynamic models have been used to estimate aggregate supply elasticities for annual crops. The early studies relied on static single-equation models in a few variables, assumed static price expectations (e.g., Kohls and Paarlberg), and produced very small estimates of own-price supply elasticities (e.g., 0.07 for corn), Nerlove (1956, 1958a) and Nerlove and Addison showed that models of agricultural supply that incorporated adap tive price expectations and (or) dynamic resource adjustment produced larger estimates of supply elasticities for corn and other agricultural commodities. Additionally, they showed that supply elasticities obtained from static models need not be bounded by the short-run and long-run supply elasticities of dynamic models. These simple, single-equation, Nerlovian-type models have been adapted to a wide range of agricultural supply problems, e.g., see Askari and Cummings; Nerlove (1979).

Suggested Citation

  • Tegene, Abebayehu & Huffman, Wallace E. & Miranowski, John A., 1987. "Dynamic Corn Supply Functions: A Model with Explicit Optimization," ISU General Staff Papers 198703010800001161, Iowa State University, Department of Economics.
    • Handle: RePEc:isu:genstf:198703010800001161
    as

    Download full text from publisher

    File URL: https://dr.lib.iastate.edu/server/api/core/bitstreams/eb7547d6-034d-48b8-9a6e-7dc82334d9a8/content
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

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


    Cited by:

    1. Drafor, Ivy & Kunze, Dagmar & Sarpong, Daniel Bruce, 2013. "Food Security: How Rural Ghanaian Households Respond to Food Shortages in Lean Season," International Journal of Agricultural Management, Institute of Agricultural Management, vol. 2(4), pages 1-8, July.
    2. Skold, Karl Durwood, 1989. "The integration of alternative information systems: an application to the Hogs and Pigs report," ISU General Staff Papers 1989010108000010239, Iowa State University, Department of Economics.
    3. Burton, Diana M. & Love, H. Alan, 1996. "A Review of Alternative Expectations Regimes in Commodity Markets: Specification, Estimation, and Hypothesis Testing Using Structural Models," Agricultural and Resource Economics Review, Cambridge University Press, vol. 25(2), pages 213-231, October.
    4. Foster, William E. & Babcock, Bruce A., 1993. "Commodity Policy, Price Incentives, and the Growth in Per-Acre Yields," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 25(1), pages 253-265, July.
    5. Femenia, F. & Carpentier, A. & Gohin, A. & Sodjadhin, R., 2018. "Using farm accountancy data to estimate crop rotation effects," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277161, International Association of Agricultural Economists.
    6. Cho, Gyu D., 1992. "Estimation of a Wheat Acreage Response Function for Kansas," Staff Papers 118174, Kansas State University, Department of Agricultural Economics.
    7. Mindy L. Baker & Dermot J. Hayes & Bruce A. Babcock, 2008. "Crop-Based Biofuel Production under Acreage Constraints and Uncertainty," Center for Agricultural and Rural Development (CARD) Publications 08-wp460, Center for Agricultural and Rural Development (CARD) at Iowa State University.
    8. Hikaru Hanawa Peterson & William G. Tomek, 2005. "How much of commodity price behavior can a rational expectations storage model explain?," Agricultural Economics, International Association of Agricultural Economists, vol. 33(3), pages 289-303, November.
    9. Alain Carpentier & Alexandre Gohin, 2015. "On the economic theory of crop rotations: value of the crop rotation effects and implications on acreage choice modeling," Working Papers SMART 15-04, INRAE UMR SMART.
    10. Boisvert, Richard N. & Peterson, Jeffrey M., 2001. "Control Of Nonpoint Source Pollution Through Voluntary Incentive-Based Policies: An Application To Nitrate Contamination In New York," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 30(2), pages 1-12, October.
    11. Taffesse, Alemayehu Seyoum, 1997. "Government policy and dynamic supply response: a study of the compulsory grain delivery system," MPRA Paper 18674, University Library of Munich, Germany.
    12. Gouel, Christophe & Laborde, David, 2021. "The crucial role of domestic and international market-mediated adaptation to climate change," Journal of Environmental Economics and Management, Elsevier, vol. 106(C).
    13. Nyairo, Newton Morara & Kola, Jukka & Sumelius, John, 2010. "Impacts of agricultural trade and market liberalization of food security in developing countries: comparative study of Kenya and Zambia," 2010 AAAE Third Conference/AEASA 48th Conference, September 19-23, 2010, Cape Town, South Africa 96172, African Association of Agricultural Economists (AAAE).
    14. Mindy L. Mallory & Dermot J. Hayes & Bruce A. Babcock, 2011. "Crop-Based Biofuel Production with Acreage Competition and Uncertainty," Land Economics, University of Wisconsin Press, vol. 87(4), pages 610-627.
    15. Clark, J. Stephen & Spriggs, John, 1991. "Policy Implications Of Unit Root Nonstationarity In Multiproduct Acreage Response Systems," 1991 Annual Meeting, August 4-7, Manhattan, Kansas 271207, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    16. Peterson, Hikaru Hanawa & Tomek, William G., 2000. "Commodity Price Behavior: A Rational Expectations Storage Model of Corn," Working Papers 127682, Cornell University, Department of Applied Economics and Management.
    17. Roger Claassen & Richard Horan, 2001. "Uniform and Non-Uniform Second-Best Input Taxes," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(1), pages 1-22, May.
    18. Lin, Chien-Pang & Barkley, Andrew P., 1997. "Declining Commodity Program Payments and Enhanced Environmental Regulations: Impacts on Acreage Allocation in the Great Plains," 1997 Annual Meeting, July 13-16, 1997, Reno\ Sparks, Nevada 35932, Western Agricultural Economics Association.
    19. Nicholas J. Pates & Nathan P. Hendricks, 2021. "Fields from Afar: Evidence of Heterogeneity in United States Corn Rotational Response from Remote Sensing Data," American Journal of Agricultural Economics, John Wiley & Sons, vol. 103(5), pages 1759-1782, October.
    20. Bachewe, Fantu Nisrane & Taffesse, Alemayehu Seyoum, 2018. "Supply response of smallholder households in Ethiopia," IFPRI book chapters, in: The economics of teff: Exploring Ethiopia’s biggest cash crop, chapter 8, pages 181-204, International Food Policy Research Institute (IFPRI).
    21. Horan, Richard D. & Claassen, Roger & Cooper, Joseph C., 2000. "Environmental Risk And Agri-Environmental Policy Design," 2000 Annual meeting, July 30-August 2, Tampa, FL 21827, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    22. Bachewe, Fantu Nisrane & Taffesse, Alemayehu Seyoum, 2015. "Dynamic supply response of farm households in Ethiopia:," ESSP working papers 78, International Food Policy Research Institute (IFPRI).

    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:isu:genstf:198703010800001161. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Curtis Balmer (email available below). General contact details of provider: https://edirc.repec.org/data/deiasus.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.