MEASURING PRODUCTIVITY GROWTH IN AUSTRALIAN BROADACRE AGRICULTURE

An important source of growth for Australian broadacre agriculture has been technical progress. We compare alternative measures of productivity growth including the traditional Tornqvist-Thiel total factor productivity index; variants of this approach that allow decreasing returns to scale; the Fisher ideal index; other nonparametric measures that do not impose particular functional forms and an econometric estimate from a translog industry cost function. The annual growth in productivity in broadacre agriculture over the period from 1953 to 1994 was in the range of 2.4 to 2.6 per cent and hence was quite robust to measurement technique.     

PRODUCTIVITY GROWTH IN AGRICULTURE (REVISITED): A MEASUREMENT FRAMEWORK AND SOME EMPIRICAL RESULTS

This paper explores the methodology of sectoral productivity growth measurement within the framework of input-output analysis. A method which ensures that sectoral productivity growth rates are consistent with productivity growth rates for the economy as a whole (as well as allowing for external trade) is suggested. New estimates are presented on total factor productivity in UK agriculture using a Tornqvist index procedure. In addition, new estimates of agricultural labour productivity growth are presented, taking account not only of labour employed in agriculture but also of labour employed in ancillary industries on the supply side. The empirical results confirm that part of the labour previously employed on farms has shifted “upstream” to industries providing agriculture with fertilises, machinery and other inputs.     

THE PROBLEM OF AGRICULTURE IN A EUROPEAN ECONOMIC UNION

A revaluation of the German Mark has been hindered by the effects that this would have on German farm prices, given the E.E.C. agricultural policy. The article therefore examines the implications of (a) a common agricultural price level, and (b) fixed or adjustable exchange rates within a customs union such as the E.E.C. It concludes that a change in relative price levels between countries couldbe tackled by means of exchange rate changes, while retaining a common agricultural price level; but even with adjustable exchange rates, a common price level may give rise to diBculties unless agricultural productivity in the member countries grows in a particular way. It finally suggests that a wider European economic union would require niorejexible arrangements than those at present in force in the E. E.C.     

RECENT DEVELOPMENTS IN UNITED STATES AGRICULTURAL AND FOOD POLICY

The paper reviews the events leading up to the 1985 Food Security Act. Attention is also drawn to four other legislative initiatives having a direct bearing on the farm sector. These are: deficit reduction; tax reform; trade protectionism; and agricultural credit. The case against mandatory supply controls is reviewed and reasons are given for believing the 1985 bill will put U.S. agriculture back on the road to prosperity.     

美国的土壤保护和启示

美国的土壤侵蚀经过６０年的治理得到了明显的减轻,但还存在一些问题,土壤侵蚀形势依然严峻。６０年来美国开展了大量的土壤侵蚀治理项目,土壤保护经历了由注重减轻田间土壤侵蚀,增加土壤生产力到注重减轻土壤侵蚀对环境影响的转变。这对中国的土壤保护有一定的启示作用。     

COMPARATIVE INVESTMENT BEHAVIOR OF UNITED STATES AND CANADIAN FARMERS

This study deals with investment decisions of representative Canadian and United States wheat farmers. The results suggest wide variation among farmers in investment behavior but generally larger farmers in both samples and particularly those in the United States, show n close conformity to a wealth maxizing norm.     

THE ECONOMIC SURPLUS OF AGRICULTURE IN THE UNITED KINGDOM*

The economic surplus of an industry is defined as the difference between its real product, and the real income accruing to it. The surplus from U.K. agriculture measured at 1964/65–66/67 prices is estimated to have risen by about 20 million per year in recent years. The absorption of this surplus by other sectors is identified and an approximate indication is given of the equivalent surpluses and deficits of other industry groups. The economic surplus from agriculture is transferred principally through changes in relative prices, the necessity of which tends to create an unavoidable minimum rate of inflation. There is an international equivalent of these transfers of real income through price changes, but without the institutional constraints on the market which in the domestic economy preserve some measure of equity in the distribution of income.     

ECONOMETRIC MODEL OF THE TURKEY INDUSTRY IN THE UNITED STATES

This paper is an empirical investigation of the several major relationships that explain the behavior of the U.S. turkey industry in the 1946-66 period. A model is constructed that consists of four structural equations: (1) consumer demand, (2) farm supply, (3) cold storage accumulation, and (4) cold storage liquidation, and an identity equation. Four different estimation techniques are used to derive values for the structural parameters. These procedures are: (1) ordinary least squares (OLS), (2) limited information single equation (USE). (3) two stage least squares (TSLS). and (4) three stage squares (3SLS). The estimation techniques are evaluated by assessing their forecasting ability against observed data in the post 1966 period. So one method proved superior to another. An index of dispersion indicated that 3SLS is superior in forecasting consumer demand and farm supply. The 3SLS and OLS are about equal in forecasting cold storage accumulation, and TSLS, LISE. and OLS are about equal forecasters for cold storage liquidation. Cel article répresente une étude empirique des facleurs imporlanls qui servenl à expliquer ?induslrie américaine ?élevage de dindes. au cours de la période 1945-66. Un modèle est construit qui comporte qualre équations structurelles: la demande finale. (2) ?off re au niveau de ?exploitation agricole. (3) ?accumulation de slocks de viande congelée. et (4) le liquidation des stocks, plus une équation ?identité. Quaire différentes techniques ?estimalion sont utilisées pour déterminer la valeur des parametres: (1) simples moindres carrés, (2) équation unique avec information limitée, (3)doubles moindres carrés. et (4) triples moindres carrés. En se hasant sur la qualité des previsions par rapport aux observations de la période postérieure à 1966. on a pu évaluer les différentes techniques ?estimalion, pour se rendre compte qu'aucune méthode ne s'est avérée supérieure aux autres. Un indice de dispersion démontre que les triples moindres carrés fournissenl une meilleure prévision de la demande finale et de ?offre au niveau de ?entreprise. Les triples moindres carrés et les simples moindres carrés sont équivalents lorsqu'il s'agit de prévoir ?accumulalion des slocks. ?équation simple avec information limitée peut prédire ?écoulement des stocks avec une précision sensihlemenl égale à celle obtenue avec les simples et triples moindres carrés.     

SUGAR PRICES AND HIGH-FRUCTOSE CORN SYRUP CONSUMPTION IN THE UNITED STATES

The main explanations of the effect of sugar prices on high-fructose corn syrup (HFCS) consumption in the United States are briefly reviewed. A formal model is presented and estimated in a reduced form for the period 1971-88. The hypothesis that sugar prices affect HFCS consumption growth is confirmed. The estimated model is used to analyse both the effect on HFCS consumption of the two peaks in sugar prices which occurred in 1976-75 and in 1980, and the effect of the protection applied to the US sugar market. The model is also used to estimate the extent to which the rapid expansion of US HFCS consumption can be attributed solely to the 1974 peak in the international sugar price.     

CAUSALITY BETWEEN PRODUCTIVITY AND EXPORTS IN AGRICULTURE: EVIDENCE FROM ASIA AND LATIN AMERICA

This paper examines the causal relationship between agricultural productivity and exports for selected Asian and Latin American countries. Alternative views about the causal relationship between these variables of economic interest exist. Economic theory provides no firm basis to judge whether productivity causes exports or exports cause productivity (export-led growth). Since this issue is empirical, econometric tests are utilised to investigate the nature of this causality. Test results are mixed although the export-led growth hypothesis is validated in a few cases.     

DYNAMIC INTERRELATED DEMAND FUNCTIONS FOR FACTORS OF PRODUCTION AND THE AGGREGATE PRODUCTION FUNCTION IN UNITED KINGDOM AGRICULTURE

Taking the price situation as given in product and factor markets, a non-linear differential equation model of gross output, employment, capital accumulation, and gross input for united Kingdom agriculture is derived by incorporating internal adjustment cost functions into the representative decision-maker's objective function, and estimated using a discrete approximation. The results are consistent with efficient use of resources, but further incentives for capital investment and a greater exodus of labour could upset this. Adjustment costs as estimated account for 2.6 per cent of the value of output; those associated with net investment for 1.8 per cent, and those associated with employment and gross input for 0.57 and 0.23 per cent respectively.     

TOWARDS A COMPARISON OF CHEMICAL-FREE AND CONVENTIONAL FARMING IN AUSTRALIA

The classes of benefits and costs, private and external, arising from a partial movement from conventional to chemical-free farming are considered, a report is provided on a comparison of physical and financial characteristics of chemical-free and conventional cereal/livestock farming in southeastern Australia, a key finding is that private net returns were similar for the two types of farmers, A favourable change in net externalities could be expected from a movement towards chemical-free farming, policy implications relating to the taxation of chemical use in agriculture, and to research, extension and marketing are discussed.     

AGRICULTURE IN THE DEVELOPMENT OF PAPUA AND NEW GUINEA

Primary production including subsistence production, accounts for about 60 per cent of the national income of Papua and New Guinea. The bulk of the indigenous people are subsistence farmers, or have contact with the cash economy through agriculture, and the agricultural industries provide virtually the sole source of export earnings. The position is nevertheless changing rapidly.     

AN EXAMINATION OF THE TAX SUBSIDIES TO THE DAIRY SECTORS IN CANADA,GERMANY NEW ZEALAND AND THE UNITED STATES

Subsidies to agricultural producers through domestic tax and social programme policies are generally not included in producer subsidy equivalent (PSE) measures. This study examines the price induced distortions of domestic tax policy and social programmes on dairy trade between Canada, New Zealand, Germany, and the United States. The degree of tax subsidisation and the price subsidies needed to offset the tax and social programme advantages enjoyed by each country are estimated using a simulation model. Study findings suggest that current German taxation policy provides a substantial subsidy to dairy producers. Canadian and US farmers also have some trade advantages because of tax policy and social programmes.     

RESOURCE PRODUCTIVITY,RETURNS TO SCALE AND FARM SIZE IN INDIAN AGRICULTURE: SOME RECENT EVIDENCE*

A perceptible technological transformation has been under way in India during the last few years. The output of total foodgrains increased sharply between 1967-68 and 1970-71 over previous years. There is enough evidence to show that the technological change has resulted in an upward shift in production functions for major crops, especially for wheat.