Analysis of agribusiness performance of top five vegetable farming in East Java

East Java Province is one of vegetable-producing areas; however, performance of vegetable production has not been identified. The performance will be an important indicator of regional agricultural economic development of the region. This paper aims to provide farm analyses of leading vegetable farming in East Java Province. East Java Province is one of the potential production areas for vegetables. Secondary data were collected from the Agricultural District Services of Malang, Blitar and Kediri in 2018. Five vegetables namely chilies (big and small), eggplant, yard-long bean, and tomato, which were considered leading commodities in the region, were selected for these analyses. A factor share approach, which is commonly used for financial analysis of farming systems, was employed in this study. Other financial analytical approaches were also used to alternate selection criteria. As a deterministic approach used in this study, a sensitivity analysis was conducted to determine the profitability of each vegetable commodity. The results show that chili and tomato are more labor-intensive, at which suitable for regions with an abundance of rural labor. Each vegetable has a positive profit, and thus recommended grow vegetables to increase households’ income. Big-chili is superior in terms of absolute profit, and it is recommended that big-chili can be used as the main crop. In terms of R/C-ratio and factor share, eggplant is superior, it is recommended that eggplant can be used as an alternative crop.

ISOELASTIC ELASTICITY OF SUBSTITUTION PRODUCTION FUNCTIONS

We generalize the normalized constant elasticity of substitution (CES) production function by allowing the elasticity of substitution to vary isoelastically with (i) the relative factor share, (ii) the marginal rate of substitution, (iii) the capital–labor ratio, (iv) the capital share, (v) the capital’s rate of return, or (vi) the capital–output ratio. Ensuing isoelastic elasticity of substitution (IEES) functions have intuitively and analytically desirable properties, for example, self-duality. Empirically, for the post-war US economy we robustly reject the CES specification in favor of the IEES alternative. Assuming the IEES production structure we find that the capital–labor elasticity of substitution has remained around 0.8–0.9 from 1948 to the 1980s, followed by a period of secular decline.

TEKNOLOGI, PERDAGANGAN INTERNASIONAL DAN PERTUMBUHAN EKONOMI: SUATU KAJIAN TEORI EKONOMI KLASIK KE PERDAGANGAN INTERNASIONAL MODERN

There are 3 phenomens of most economic which undivided that openess and international trade and economic growth. Openess is the first frame for most country to do consolidation for its capability and weakness. International trade have able support high economic growthsignificantly. This paper would like to inform us about development of international economic from Classical Economic era to Modern International Economic (integration of endogenous growth and trade). The analyzis is not only comparative static approach but alsointertemporal approach. Scientificly the country’s advantage of modern international trade is not only analyzed for technology and specialization but also countries’s factor share. Generally, all countries tend to the long term equilibrium in the balance growth path.Therefore, each country and rest of the world will able to meet welfare economy not only individually but also international.Keywords: Technology, International Trade, Economic Growth, Balance Growth Path, Factor Share, Total Productivity, Bang-Bang Control.

Cost management for concrete batch plant using stochastic mathematical models

Assessing productivity, cost, and delays are essential to manage any construction operation, particularly the concrete batch plant (CBP) operation. This paper focuses on assessing the above-mentioned items for the CBP using stochastic mathematical models. It aims at (i) identifying the potential sources of delay in the CBP operation; (ii) assessing their influence on production, efficiency, time, and cost; and (iii) determining each factor share in inflating the CBP concrete unit expense. Stochastic mathematical models were designed to accomplish the aforementioned objectives. Data were collected from five CBP sites in Indiana, USA, to implement and verify the designed models. Results show that delays due to management conditions have the highest probability of occurrence (0.43), expected value of delay percent (62.54% out of total delays), and relative delay percent. The expected value of efficiency for all plants is 86.53%; however, the average total expense is US$15.56/m3 (all currency are in US$). In addition, the expected value of effective expenses (EE) is $18.03/m3, resulting in extra expenses (XE) of $2.47/m3. This research is relevant to both industry practitioners and researchers. It develops models to determine the effect of delays on concrete unit cost. They are also beneficial to the CBP management.Key words: concrete batch plant, delays, management conditions, cost models, cost management, stochastic mathematical models.

Factor Demands of Louisiana Rice Producers: An Econometric Investigation

A Diewert-flexible (dual) cost function was used to derive a system of conditional factor demand equations for Louisiana rice producers. Generalized Leontief cost and factor share equations were fitted for the 1955-87 period using Zellner's SURE system estimation procedure. The Aitken parameter estimates reveal that: (1) the optimal input mix of rice farmers varies with production scale, (2) the factor-augmenting technical change is labor and chemical saving but seed using, (3) pairwise input substitutions are limited, and (4) factor demands are own-price inelastic. An implication is that Louisiana rice farmers will not appreciably alter their factor utilizations when relative input prices change.