Volume 5, Issue 4 (winter 2002)                   jwss 2002, 5(4): 25-39 | Back to browse issues page

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Salami H, Kiani Rad A. The Application of Generalized Composite Commodity Theorem for Consistent Crop Products Aggregation in Iran. jwss 2002; 5 (4) :25-39
URL: http://jstnar.iut.ac.ir/article-1-81-en.html
Abstract:   (21104 Views)
This study uses the Generalized Composite Commodity Theorem (GCCT) to investigate the consistency of aggregating major crop products in studying producer’s behaviour in Iran. The results show that all crop products, except corn, soybean, and melon can consistently be grouped into cereals, oil seeds, pulses, and vegetable composite commodities. In addition, the results testing the hypothesis of the possibility of aggregating all crop products in a single group was positive when we excluded sesame, cotton, and water melon from the list. Accordingly, modeling and estimating an aggregate production or cost function for Iranian crop sector will not cause consistent biases. Additionally, one can estimate a separate or cost function for each of the above sub-sectors without causing aggregation biases in grouping the commodities.
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Type of Study: Research | Subject: Ggeneral
Received: 2008/01/9 | Published: 2002/01/15

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