erc/metu
INTERNATIONAL CONFERENCE IN ECONOMICS  IV
September 13-16, 2000, Ankara

Output Supply and Input Demand in Turkish Agriculture: The Normalized Quadratic and the Translog Representation of the Profit Function

Ali Koç (AERI)
Ahmet Bayaner (AERI)
İlkay Dellal (AERI)

Abstract  

This study estimates complete set of output supply and input demand relationship for the period 1973-1990 using two different functional forms consisting of normalized quadratic form of the indirect restricted profit profit function (Shumway and Alexander, 1988; Shumway et al., 1988; Williams and Shumway, 2000) and the translog form of the variable profit function (Higgins, 1986; Fulginiti and Perron, 1990). The impact of the possible liberalization policies on the commodity market is examined using the estimated netput systems.

The netput function specified in this study consists of nine aggregated output (cereals, pulses, industrial crops, fruits, vegetables, red meat, milk, eggs, and broiler meat), three variable inputs (labor, tractor and fertilizer), and three factors or inputs (rainfall, land, and time trend).

Economic Research Center
Middle East Technical University
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