A comparison of economic analysis of plant and ratoon sugarcane production in central plain, Thailand
1985
Vimolrat Viriyamettakul
The Cobb-Douglas production function was employed in the study. The function inlcuded sugarcane output in kilogram per farm as the dependent variable. The independent variables, on the other hand, were area planted in rai per farm, human labor in mandays per farm, mechanical labor in hour per farm, nitrogen fertilizer in kilogram per farm, and a dummy variable, which represented the growing practice of plant cane The major result of the production function indicated increasing return to scale. The dummy variable was negative and significant. This indicated differences in technical efficiency of inputs between different sugarcane growing practices. Furthermore, the sum of the marginal product of inputs was about 2,478.71 and 3,419.51 kilograms for the plant and ratooning practices, respectively. Total production cost of the plant cane was higher than that for the ratooning practices. This was due mainly to labor used in planting and caring for the nursery. Returns above both total and variable cost for ratooning crops were higher than for the plant cane
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