By Yoshimi Kuroda (auth.)
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Additional info for Production Structure and Productivity of Japanese Agriculture: Volume 1: Quantitative Investigations on Production Structure
It can be noted here that, unlike in Volume 1, I introduce a VP function framework, with labor and land being quasi-ﬁxed inputs, which is estimated for the period 1965–97. By doing this, one can, in particular, estimate and evaluate explicitly the impacts of output price-support programs. Investigating and evaluating the estimated results in detail, I examine the impact of the policy measures on the possibilities of land transfers from small- to large-scale farms as a minimum necessary condition for more efﬁcient and productive farming on much larger-scale farmlands.
I tried several cases: 5, 6, 7, 8, 9, and 10 years. As a result of many trials of the base periods, such as 1980–90, 1981–90, and so on, and estimations of the TC, VC, and VP function models, it was found that the period 1991–97 was most appropriate for the extrapolation. Accordingly, I have decided to use the 1957–97 period for our empirical analyses of postwar Japanese agriculture based on the TC, VC, and VP function models. I call this period the second half of the 20th century, or the last four decades of the 20th century, interchangeably.
After Solow’s paper was published, there were a lot of controversies among many economists. For example, Abramovitz (1956) pointed out that the residual is nothing but ‘a confess of our ignorance’ that economists are obliged to explicitly decompose the contents of the residual. First is the production function. That is, is the C–D production function a proper speciﬁcation? Second, have the variables necessary for the estimation of the Solow model, that is, labor, capital, capital factor share, been obtained properly?
Production Structure and Productivity of Japanese Agriculture: Volume 1: Quantitative Investigations on Production Structure by Yoshimi Kuroda (auth.)