A Three-Factor Agricultural Production Function: The Case of Canada

E. Echevarria

International Economic Journal, 1998, vol. 12, issue 3, 63-75

Abstract: This paper estimate a constant returns to scale agricultural production function of the three basic factors of production. Such a function is a useful tool for macroeconomic, Growth, and development studies. It uses the shares approach that Solow used in 1957 and very disaggregated Canadian data. The main results of this paper are that, first, in Canada agriculture is less labor intensive than both services and industry, but capital intensity is similar in the three sectors. Second, the share of land in value added is estimated to be 16%. Third, total factor productivity growth in Canada has been roughly the same—0.3%—in agriculture and manufactures over the period 1971-91. [D24, O13, O41, O47]

Date: 1998
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Working Paper: A three-factor agricultural production function: The case of Canada (1997)
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DOI: 10.1080/10168739800000029

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