External Finance: A Necessary Component in Growth Projections for Southern Agriculture*
John B. Penson
Journal of Agricultural and Applied Economics, 1977, vol. 9, issue 1, 25-33
Abstract:
Literature is replete with studies projecting the performance of agriculture to 1980, 1985 and the year 2000. These studies are usually based upon a dynamic certainty econometric model which, in turn, either assumes or projects annual rates of growth in the stock of producer capital over the time period covered by the study. In two recent assessments of the state of the art King [12] and Tweeten [27] cited several needed changes in our approach to sector econometric projections models, which should lead to increases in accuracy and consistency of future projections. Among those listed were incorporation of risk and uncertainty associated with expected outcomes and integration of disparate models into an aggregate sector projections system. Both of these authors failed, however, to identify the lack of financing considerations in present sector projections models. For example, those studies that sought to explain aggregate demand for farm producer capital when projecting the capital stocks associated with future output levels ignored the implicit rental price of capital and other variables suggested by finance and risk theory.
Date: 1977
References: Add references at CitEc
Citations:
Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
HTML/Text
Persistent link: https://EconPapers.repec.org/RePEc:cup:jagaec:v:9:y:1977:i:01:p:25-33_01
Access Statistics for this article
More articles in Journal of Agricultural and Applied Economics from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().