Technical Change in Corn Production in the United States, 1870-1960

Abstract

tion techniques explains most of the measured increase in total output in the United States, and the declining relative prices of agricultural products reflect lower unit costs of production. Nevertheless, evaluation of the contribution of specific changes in techniques toward total economic growth has been seriously neglected. Because success in raising incomes in the poorer countries will depend mainly on the rate at which economic changes can be achieved, it is urgent that the economic implications of competing technical changes be understood and that the consequences of alternative timing and sequence patterns of adoption be more fully considered. The aim of this paper is to reexamine the evidence on resource use as well as that on technical changes attending the great increase in corn production in the United States over the past century. Viewed in its relation to the total economy, a principal product of the agricultural sector is energy. Food and feed grains, hay and pasture, as well as other crops, constitute the basic energy sources. Some are directly usable for human consumption, but may be converted into draft power by animals, or into the more costly meat and dairy products. It seems evident that achieving ability to produce such energy cheaply is one kind of economic growth that permits more growth; technical change * This paper is a contribution from the Project on Causes of Increased Productiv.ity in American Agriculture directed by Karl Brandt and supported by the Relmhn Foundation. We are also indebted to our colleague R. J. Hammond for critical discussions of the argument and suggestions that helped to improve the clarity of exposition.