Cotton Gin Operating Costs in West Texas, the Lower Rio Grande Valley, and the Blacklands of Texas, 1971 and 1972 Seasons

Dale L. Shaw, Charles A. Wilmot and Betty K. Heron

No 307531, Agricultural Economic Reports from United States Department of Agriculture, Economic Research Service

Abstract: Capacity utilization and operating costs were analyzed for a sample of 90 gins representing about 19 percent of both total ginning capacity and total volume ginned in West Texas, the Lover Rio Grande Valley, and the Blacklands of Texas. Average ginning volumes were up in 1972. Compared to 1971, the 1972 weighted average total costs per bale were down 20 percent in West Texas, down 2 percent in the Lower Rio Grande Valley, and down 8 percent in the Blacklands. Out-of-pocket costs per bale were lower in West Texas, higher In the Lower Rio Grande Valley, and lower in the Blacklands. A stepwise multiple linear regression analysis reveals that volume ginned and investment in buildings and equipment are the most influential factors in determining annual gin operating costs.

Keywords: Crop Production/Industries; Production Economics; Productivity Analysis; Research Methods/Statistical Methods (search for similar items in EconPapers)
Pages: 18
Date: 1975-05
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Persistent link: https://EconPapers.repec.org/RePEc:ags:uerser:307531

DOI: 10.22004/ag.econ.307531

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