Cobb-Douglas Production Function Model Research Articles

PRODUKTIVITAS DAN EFISIENSI PENGGUNAAN INPUT PRODUKSI USAHATANI PADI DI DESA SRIKATON KECAMATAN BUAY MADANG TIMUR

The efficiency of the use of inputs in the farming field in the effort to reach an optimal profit in the farming field and the environment continuity in agriculture. The correct inputs placement will increase the efficiency and productivity in the rice farming field. This research aims to analyze the impact of the use of seeds, urea, phonska, sp36, pesticides, and labor on the productivity of rice farming and the efficiency level in the use of production factors in the rice farming field in Desa Srikaton, Buay Madang Timur District, East OKU Regency. The quantitative method is used in this research. The data are collected by using questionnaire. There are 60 participants which are determined by cluster sampling technique. Primary and secondary data are used as supporting data. The data are analyzed by using regression technique, using Cobb-Douglas production function model, and allocative efficiency analysis. The result shows that urea, phonska, pesticides, and labor had a positive impact on rice production, while seeds and sp36 had no effect on rice production. In Desa Srikaton rice farming field, the production inputs such as seeds, urea, sp36, pesticide, and labor have not efficient yet, while production inputs such as phonska fertilizer are not efficient.

Productivity And Efficiency Of Input Use For Rice Farming In Srikaton Village Buay Madang Timur District Oku Timur Regency

Efficiency of the use of inputs in the farming field in the effort to reach an optimal profit in the farming field and environment continuity in agriculture. The correct inputs placement will increase the efficiency and productivity in the rice farming field. This research aims to analyze the impact of the use of seeds, urea, phonska, sp36, pesticides, and labor on the productivity of rice farming and the efficiency level in the use of production factors in the rice farming field in Desa Srikaton, Buay Madang Timur District, East OKU Regency. The quantitative method is used in this research. The data are collected by using questionnaire. There are 60 participants which are determined by cluster sampling technique. Primary and secondary data are used as supporting data. The data are analyzed by using regression technique, using Cobb-Douglas production function model, and allocative efficiency analysis. The result shows that urea, phonska, pesticides, and labor had a positive impact on rice production, while seeds and sp36 had no effect on rice production. In Desa Srikaton rice farming field, the production inputs such as seeds, urea, sp36, pesticide, and labor have not efficient yet, while production inputs such as phonska fertilizer are not efficient.
 

Rethinking the Contribution of Land Element to Urban Economic Growth: Evidence from 30 Provinces in China

In China, disputes regarding the benefits and drawbacks of land finance have been heated, but the role of land in urban economic growth has received insufficient attention, particularly on a macro scale. This research used the Cobb–Douglas production function model to investigate the role of land in urban economic growth. Then, we conducted an empirical test using panel data from 30 provinces from 2000 to 2019, with the goal of revealing the role of land in urban growth and spatio-temporal inequalities in China. Furthermore, to find the spatial steady-state level of land contributions, σ convergence, absolute β convergence, and condition β convergence tests were applied. The results show that: (1) China’s urban economic development was influenced by the combined element of land, capital, and labor; (2) the contribution of land to China’s urban economy experienced a turning point during the “12th Five-Year Plan”; (3) the spatio-temporal convergence of the contribution of land showed convergence in the east but nonconvergence in the central and western regions; and (4) β convergence demonstrated convergence in eastern, central, and western China. Given the complex and turbulent international political and economic context, the Chinese government should think about how to foster continuous energy by supporting land-supply policies that are adapted to local needs.

Economics of freshwater Mud Eel fattening (Monopterus cuchia) in polyculture system: a case study from Nilphamari, Bangladesh

The present study was carried out to analyze the cost and returns as well as to determine the effect of variable inputs on outputs of Monopterus cuchia fattening in polyculture systems. A total of 60 Cuchia farmers were selected from Saidpur upazila in the Nilphamari District. Data were collected through face-to-face interviews from September 2018-April 2019. Average stocking density (no/acre) for M. cuchia, Heteropneustes fossilis, Clarias batrachus and Oreochromis niloticus were 2288±228, 2066±144, 1883±197 and 4842±715, respectively. The average production of Cuchia, shing, magur and tilapia were 979.17±128.65, 368.33±66.36, 330±51.42 and 1027.5±118.76 kg per acre, respectively. The total variable cost was BDT 191,225.9±96565.7 per acre whereas total fixed cost was BDT 85,731.45±6276.64 per acre. In the total variable cost, percentages of labor, feed, fertilization, liming, stocking and other cost were 12.01%, 36.01%, 0.38%, 1.47%, 14.55% and 6.59%, respectively. This study also revealed that per acre gross revenue and net return were BDT 452,025.58±35829 and 173,907.72±24560 respectively. The benefit cost ratio (BCR) value in Cuchia polyculture farming was 1.65. Based on the Cobb-Douglas production function model, fingerling cost and feed cost were significant of Cuchia fattening in polyculture system. The production function analysis also reveals positive effects of different variable costs indicating enough scope to increase production and income from Cuchia fattening in polyculture system with a reduction in production costs and increased market price

Economic performance characterization of intensive shrimp (Penaeus monodon) farming systems in Bangladesh

AbstractIntensive shrimp (Penaeus monodon) production system is relatively new in Bangladesh, and has not yet been adequately described or its viability assessed. The aims of this study were to characterize, assess the economic performance and identify challenges for intensive shrimp farming in Bangladesh. A survey was conducted using a structured questionnaire enumerated between October 2016 to June 2017 with 53 farmers in three districts of Khulna Province, southwest Bangladesh. The surveyed farms were categorized into small, medium and large scale based on the number of culture ponds. The average production, operational costs, gross and net income, net income, and cost‐benefit ratios were higher in large farms, followed by medium and small farms. A Cobb–Douglas production function model was used to identify factors influencing shrimp yields, with feed management, health management, pond depth and aeration identified as significant factors. The benefit‐cost ratio was higher than 1, indicative of a positive investment efficiency of intensive shrimp farming system for farmers. Major challenges were associated with quality of inputs, high investment, maintenance of biosecurity and disease outbreaks, water quality, limited number of input suppliers and lack of diagnostic services and technical information at farm level. Our findings suggest that there is an urgent need for human capacity development for shrimp farm owners, workers and technicians. It is also important to improve access to quality inputs, rapid and affordable diagnostics and other technical services.

A Study on the Contribution of Human Capital to Economic Growth of Graduate Students in Xinjiang

Based on the Cobb-Douglas production function model, the data of the number of graduate students, physical capital stock, education expenditure and regional gross national product in Xinjiang from 2002-2019 were selected as the basis for calculating the human capital stock of graduate students by using the method of years of education to further analyze the impact of graduate education on economic growth. The results show that postgraduate education in Xinjiang region promotes the national economic growth of Xinjiang region and the contribution rate reaches 0.1360%, and the stock of social physical capital and the investment of the whole society in education funding have a greater role in promoting economic growth. On this basis, relevant countermeasures and suggestions are given for economic development and improving the quality of postgraduate education in Xinjiang region.

An Economic study on Vietnam Koifarming in some selected areas of Muktagacha Upazila in Mymensingh district

Vietnam Koihas opened up a new horizon of pond culture in Bangladesh. In Bangladesh, the importance of this fish in meeting the protein needs of the growing population is enormous.Farmers prefer it as a business because of its strong growth and productivity. It wasnecessary to do an economic analysis on Vietnam Koiaquaculture in order to do so. The cost, returns, and profitability of Vietnam Koiproduction were estimated in this study, as well as the major variables influencing the gross return on Vietnam Koifarming. For this, 40 farmers were selected randomly from three villages namely Polsha, Sayedgram and Baniakazi at Muktagacha Upazila under Mymensingh district. Both tabular and functional analyses were done to address the objectives of the study. The average total cost of Vietnam Koiproduction per hectare was calculated Tk.12,90,498.19. The total return of Vietnam Koiper hectare was estimated as Tk.19,92,413.50. Gross margin and net return per hectare were estimated as Tk.7,84,238.11 andTk.7,01,915.31respectively. In the research area, the production of Vietnam Koiwas determined to be profitable. Cobb-Douglas production function was used to estimate the specific effect of factors on gross return. Most of the factors included in the model were considerably effective on the production of Vietnam Koi, according to the Cobb-Douglas production function model. So there is a positive effect of key factors in the gross return of Vietnam Koi. Out of nine variables, five of them (human labor, fingerling, feed, fertilizer and pesticide) had significant effect on returns of Vietnam Koiproduction. In conclusion, the study found that Vietnam Koifish farming was profitable in the research area

An Economic Analysis of Climate Change Trend and Its Impact in Sivagangai District of Tamil Nadu, India

The present study was taken up in Sivagangai district to examine the issues of trend in climate change, association between climate change and area, production and productivity of crops and impact of climate change on production of crops. The climate trend in Sivagangai district was studied using the descriptive statistics of skewness, kurtosis, coefficient of variation and compound growth rate of climatic variables of maximum temperature, minimum temperature and rainfall over the past 50 years from 1971 to 2020. Pearson correlation technique was used to analyze the degree of association between climatic variables and area, production and productivity of principal crops namely paddy, black gram and groundnut. Cobb-Douglas production function model was fitted to study the quantitative relationship between the average production of principal crops grown in the district and the climatic variables of temperature and rainfall and cropped area. Maximum temperature and minimum temperature were negatively skewed and rainfall was positively skewed. Kurtosis for maximum temperature was platykurtic and for the minimum temperature and rainfall of Sivagangai district, the kurtosis was Leptokurtic. The maximum temperature and minimum temperature were less variable and rainfall was highly variable. Pearson correlation coefficient revealed that maximum temperature, minimum temperature and rainfall had significant association with area, production and productivity of crops in Sivagangai district of Tamil Nadu. Cobb- Douglas production function analysis revealed that annual rainfall had a positive relationship with production of paddy. On the other hand, climatic variables of temperature and rainfall were not influencing the groundnut and black gram production.

Faktor-Faktor yang Mempengaruhi Produksi Padi di Kecamatan Kuranji Kota Padang Provinsi Sumatera Barat

Rice is the most widely cultivated commodity by farmers in Indonesia. In addition, it is also the primary commodity of food crops that become the leading food ingredient of Indonesian people. Along with the increasing population of Indonesia, the need for rice will also increase. This research aims to determine the factors that affect rice production in the Kuranji District of Padang City of West Sumatra Province. This research was conducted from February - May. Kuranji subdistrict election was conducted purposively, considering that the subdistrict is one of the rice production centers in Padang City. The data used in this study is primary data. The study used quantitative data analysis — a sampling technique with snowball sampling techniques with 30 respondents. The method used in this study in analyzing the factors that affect rice production is the regression analysis of the Cobb-Douglas production function model. The results showed that land area variables, seed variables, fertilizer variables, labor variables outside the family, and labor variables in families were influential and had positive coefficients. In contrast, variables that have no natural effect on rice production at the level of 5 percent are variables in land and seed area.

Analysis of Onion Market Value Chain among smallholder farmers in Rural Ethiopia: A Case Study of South Bench Woreda in Bench Maji Zone, Ethiopia.

This study analyzed value chain analysis of onion market in south Bench Woreda. The data used for the study were obtained from 118 randomly selected samples of households and 65 sample of trader in the study area. The data for the study was collected from both primary and secondary sources. For the primary data collection, questionnaires was designed and pre-tested based on the objective of the study in the study area. The questionnaires schedule was tested at the farm level on 5 randomly selected farm households. The study was employed both descriptive and econometric data analysis methods. Cobb-Douglas production function model was employed to analyze the determinants of onion production supplied to the market by onion producers. Results of econometric model showed that quantity of fertilizer utilized, distance from the nearest market, family size of house hold head, educational level of house hold head, farming experience and Credit access were significantly and positively determined the quantity of onion supplied to the market. The results suggest that these significant variable need to be promoted to boost the amount of the onion market supply. In order to increase the productivity of onion there is need of public, private, research center and farmer themselves working together so as to increase access and disease resistance seed verity. Keywords: Onion Value Chain Analysis, Marketing Channel, Cobb Douglas Production Function Model, South Bench Woreda. DOI: 10.7176/DCS/11-8-02 Publication date: October 31 st 2021

Impact of Technological Change on Growth and Agricultural Sector in Gujarat State of India: A Time-Series Data Study

This study assessed the growth rate of commercial and food-grain crops due to technological change in Gujarat. Growth rate model was employed to examine the growth rate of area sown, production and yield of crops. Subsequently, impact of technological change, and other inputs on yield of individual crop was estimated using a Cobb-Douglas production function model. Time trend factor was used as a proxy variable to capture the impact of technological change, and other inputs (i.e., area sown, irrigated area, application of fertilizer, agricultural labors, rural literate population and annual actual rainfall) on yield of crops. Growth rate of cropped area, production and yield of cotton, sugarcane, castor, potato, rice, arhar, maize, gram and wheat crops were seemed positive in Gujarat. Yield of cotton, sugarcane, castor, rice, arhar, maize, bajra, gram, wheat, jowar ragi, potato, groundnut, sesamum, rapeseed&mustard and soyabeans crops was positively associated with time trend factors. Furthermore, the regression coefficient of time trend factor with yield of cotton, tobacco, potato, groundnut, sesamum, rapeseed & mustard, rice, arhar, maize, bajra, gram, wheat, jowar and ragi was reported positive and statistically significant. Hence, the estimates shows that yield of aforesaid crops were improved due to application of technological change in agricultural sector in Gujarat. Several practical policy suggestions are given to increase the use of technology in agricultural sector to improve the growth of major food-grain and commercial crops.

Public education expenditure and economic growth: based on panel data from 2009 to 2019 in China

Public education expenditure is the largest public expenditure and the foundation of education development in China. This paper uses Cobb-Douglas production function model to analyze the relationship between public education expenditure and China's economic growth, and explores the impact of the proportion of public education expenditure in primary, secondary and tertiary education expenditure on economic growth. The results show that public education expenditure has a positive effect on economic growth, and that secondary education accounts for the largest contribution to economic growth, followed by higher education and primary education. The research results suggest that China should increase financial investment in education and optimize the expenditure structure of three-level education.

Land Use Transitions under Rapid Urbanization in Chengdu-Chongqing Region: A Perspective of Coupling Water and Land Resources

Land resources and water resources are the important material basis of economic and social development, and their pattern determines the pattern of development. Based on the panel data of the Chengdu–Chongqing Economic Circle from 2011 to 2018, this paper evaluates the matching degree of water and land resources, and their respective matching degrees with the economic development in the Chengdu–Chongqing Economic Circle with the Gini coefficient method. Based on the two-way fixed effect model, an extended Cobb–Douglas production function model is established to analyze the sensitivity of economic growth to land and water factors. In addition, the restriction degree of water and land resources to the economic development of the Chengdu–Chongqing Economic Circle is measured quantitatively by using the growth damping coefficient. The results show that the water and land resources and economic development of the Chengdu–Chongqing Economic Circle have a high matching degree, but the inner cities have a great difference. The contribution of water resources to economic growth is greater than that of land resources. Both of them have a little growth drag, which shows that industrial development has disposed of the dependence of water and land resources. The development of the Chengdu–Chongqing Economic Circle needs to play the role of technological progress in promoting economic growth, and at the same time optimize the use of water and land resources to reduce its constraints on the economic growth. Finally, the policy suggestions of matching water and land resources and economic growth in different regions are put forward.

Projected Productivity of Cash Crops in Different Climate Change Scenarios in India: Use of Marginal Impact Analysis Technique

Purpose: This study assesses the impact of climatic and geographical factors on the yield of potato, cotton, groundnut, sesame, linseed, sugarcane, rapeseed & mustard, and sunflower seeds using state-wise panel data in India during 1971-2013. Thereupon, it estimates the expected yield of aforesaid crops in different climate change scenarios. Methods: Cobb-Douglas production function model is used to estimate the regression coefficients of climatic and geographical factors with the yield of aforesaid crops. Results: The empirical result shows that maximum temperature, minimum temperature, rainfall, and precipitation have a significant impact on the yield of potato, groundnut, sesame, linseed, sugarcane, rapeseed & mustard, sunflower seeds. The projected results indicate that yield of sesame, linseed, rapeseed & mustard, potato, and cotton crops may decline by 0.16%, 0.83%, 5.65%, 14.68%, and 23.31% respectively due to one unit change in average maximum and minimum temperature, actual precipitation, and rainfall during crop seasons. Implications: The Agriculture department of the government should encourage farmers to implement crop-specific policies to mitigate the negative impact of climate change in agriculture. Limitations: Application of fertilizer, quality of seeds, cost of cultivation, farm management practices, irrigated area, demographic factors (e.g., population growth, urbanization, industrialization, etc.), and ecosystem services (e.g., water, soil fertility, and land) have a significant impact on the yield of cash crops. However, these variables were not included to predict the yield of cash crops in this study. Thus, this study acknowledged this limitation and existing researchers can incorporate these variables in further study.

How material stocks sustain economic growth: Evidence from provincial steel use in China

The rapid economic development in emerging economies is deeply coupled with massive material use, which poses serious challenges to the environment. Thus, the desired transition towards sustainable society requires a more complete understanding of the interplay of material stock and economic development. To investigate how the productivity of materials evolves as the economy grows, we develop a modified Cobb-Douglas production function model by incorporating steel stock as one input factor and conduct a panel regression analysis based on China's provincial-level data from 1990 to 2016. Our empirical results indicate that steel stock plays a vital role, almost equivalent to labor and non-steel capital stock, in economic growth in China, and output elasticity of steel stock, which reflects its productivity, increases with economic development but might decline at a very developed stage. Potential factors leading to such variations in steel stock productivity are further explored by an extended model. It is found that industrialization and urbanization levels contribute positively to the output elasticity of steel stock while the existing stock level plays an opposite role. As industrialization and urbanization levels hit the upper limit when the economy matures, we predict that China's steel stock productivity will reach a plateau or start decreasing, depending on the future path of investment in materials.

The role of motorized boats in fishers’ productivity in marine protected versus non-protected areas in Davao Gulf, Philippines

The Philippine fisheries sector continues to play a critical role in the livelihood of coastal households; however, the country’s fisheries production level has been declining at the municipal level. To reverse this trend, marine protected areas are established in critical geographic areas to ensure that management and conservation follow sustainable fishing practices. Mabini, Davao de Oro, and San Isidro, Davao Oriental are coastal municipalities located in the southern Philippines. Mabini is a declared National Integrated Protected Area System (NIPAS) while San Isidro is a non-NIPAS fishing area. This paper aimed to identify the determinants of coastal fish catches among 406 fisherfolks in both Mabini and San Isidro during the Northeast Monsoon season during 2018–2019. The study utilized power analysis to calculate the sample size for two independent groups. Stratified random sampling was used to determine the respondents in each village. Further, quantile regression was used to estimate the Cobb–Douglas production function model in determining the impact of the drivers across varying fish catch levels. Effort time, boat length, input costs, other costs, distance, and boat type are significant drivers of catch output in Mabini, while for San Isidro, effort time, input costs, other costs, and distance variables are positively associated with fish output. Compared with San Isidro, fishers in Mabini using motorized boats have relatively higher fish catch levels, which is more pronounced in upper catch quantiles. Thus, access to motorized boats is crucial in addressing the impact of regulatory restrictions on fishers’ livelihood in marine protected areas.

Infrastructure Investment and Regional Economic Growth: Evidence from Yangtze River Economic Zone

To better understand the impacts of infrastructure investment on economic growth and, we used Cobb-Douglas production function model to develop the stock of public infrastructure capital into the economic growth model. It applies spatial panel data model effect analysis to statistical data of the Yangtze River Economic Zone with 131 cities from 2003 to 2016 and investigates the relationship between different types of public infrastructure capital stock and regional economic growth in different periods. The empirical results show that (1) the economic growth of the cities in the Yangtze River Economic Zone has characteristics of significant spatial dependence, the degree and significance of spatial dependence are gradually declining, and the spatial agglomeration of the economic growth in the cities in the region is relatively stable. (2) Different types of public infrastructure capital stock have distinct spatial effects on regional economic growth. The capital stock of energy infrastructure significantly promotes global economic growth. The capital stock of transportation infrastructure significantly stimulates the local economic growth and inhibits the economic growth of the adjacent areas. The capital stock of water-related infrastructure restrains local economic growth and promotes economic growth in adjacent areas. These findings indicate that increasing investment in public infrastructure development in the Yangtze River Economic Zone remains an effective measure to promote regional economic growth. Under the premise of limited resources, taking full account of the effects of various types of investment can promote the mutual benefit of the economies in the region and effectively achieve the strategic objectives for the Yangtze River Economic Zone.

Appropriate Management Scale of Farmland and Regional Differences under Different Objectives in Shaanxi Province, China

Agricultural development is facing two problems: insufficient grain production and low profit of farmers. There is a contradiction between the government’s goal of increasing production and the farmer’s goal of increasing profit. Exploring the appropriate management scale of farmland under different objectives is of great significance to alleviate the conflict of interests between the government and farmers. In this study the Cobb-Douglas production function model was used to measure the appropriate management scale of farmland under different objectives in Shaanxi Province and analyze the regional differences. Under the two objectives, the appropriate management scale of the Loess Plateau was the largest in the three regions, followed by Qinba Mountains and Guanzhong Plain. Farmland area and quality were the main influencing factors for the appropriate management scale of farmland under the goal of maximizing the farmland yield, while the nonagricultural employment rate and farmland transfer rate were the main influencing factors under the goal of maximizing farmers’ profits. It is easy for Shaanxi Province to increase farmers’ profits, but more land needed to be transferred to increase farmland yield. These results suggest that in order to balance the goal of increasing yield and profit, the transfer of rural surplus labor should be promoted, and the nonagricultural employment rate should be improved. In Loess Plateau, restoring the ecological environment and enhancing the farmland quality. In Guanzhong Plain, avoiding urban land encroachment on farmland. In Qinba Mountains, developing farming techniques and moderately increasing the intensity of farmland exploit.

ZAKAT AND ECONOMIC DEVELOPMENT: STUDY IN THREE MUSLIM COUNTRIES IN SOUTHEAST ASIA

The objective of this study is to analyze the effect of zakat on per capita income as one indicator of economic development. The data is analyzed by Cobb-Douglas production function and panel data analysis model. Study findings show that zakat significantly and positively affect on per capita income. This study also found that compared to Foreign Direct Investment (FDI), most popular instrument of government to increase economic development, zakat has a greater coefficient. In addition, Muslims as a majority population on average unable to contribute significantly to economic development. However, they could contribute to zakat as seen from increase in amount of zakat collection.

ZAKAT AND ECONOMIC DEVELOPMENT: STUDY IN THREE MUSLIM COUNTRIES IN SOUTHEAST ASIA

The objective of this study is to analyze the effect of zakat on per capita income as one indicator of economic development. The data is analyzed by Cobb-Douglas production function and panel data analysis model. Study findings show that zakat significantly and positively affect on per capita income. This study also found that compared to Foreign Direct Investment (FDI), most popular instrument of government to increase economic development, zakat has a greater coefficient. In addition, Muslims as a majority population on average unable to contribute significantly to economic development. However, they could contribute to zakat as seen from increase in amount of zakat collection.