In the section Articles
Title of the article Evaluation of the Scale Effect in Agriculture of the Amur Region
Pages 104-122
Author 1 Olga Gennadyevna Vasilyeva
Associate Professor.
Economic Research Institute FEB RAS; Amur State University
153 Tikhookeanskaya Street, Khabarovsk, Russia, 680042; 21 Ignatyevskoe Highway, Blagoveshchensk, Russia, 675027
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Author 2 Andrew Mikhailovich Bilko
Associate Professor
Far Eastern State Agrarian University
86 Politekhnicheskaya Street, Blagoveshchensk, Russia, 675000
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Abstract The relationship between size of farms and their productivity creates continuing debates in the economic literature, devoted to problems of development. For example, what type of agricultural enterprises are more efficient - small family farms or large agricultural enterprises that use a corporate model of doing business; or firms that operate large or small plots of land? This article attempts to answer the question about the relationship between performance and size of the firm in the agriculture of the Amur region. The results of the production function evaluation based on microeconomic panel data of agricultural enterprises of the Amur region for the period 2002-2014 indicate decreasing returns to scale of production. The resulting estimation of model (using as explanatory variable the area of agricultural land and arable land) reveals decreasing returns to scale which in turn indicate that the average size of agricultural enterprises is close to optimal only for those businesses for which the land area is a key parameter for economic results.
Code 338.43, 332.66
DOI 10.14530/se.2016.2.104-122
Keywords the returns to scale ♦ agricultural business ♦ agricultural economics ♦ regions of Russia ♦ Amur region
Download SE.2016.2.104-122.Vasilyeva.pdf
For citation Vasilyeva O.G., Bilko A.M. Evaluation of the Scale Effect in Agriculture of the Amur Region. Prostranstvennaya Ekonomika = Spatial Economics, 2016, no. 2, pp. 104-122. DOI: 10.14530/se.2016.2.104-122. (In Russian).
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