Value-based food chains as an opportunity to improve the economic situation of dairy farms: a translog profit function approach

Abstract

This paper utilizes available data sets and a single translog profit function to examine the performance of dairy farms operating in mountain and lowland areas, respectively. A translog profit model estimates reveal an apparent trend going toward explaining the better economic performance of highland dairy farms stemming from their capability to adjust accurately to underlying changes in the milk market. The empirical analysis finds mostly inelastic price elasticity trends. Translog profit model alleviates the path of understanding in explaining the better economic situation of these high-land dairy farms stemming from their capability to adjust adequately and promptly to ongoing changes in the milk market. Finally, the results of the study could at the same time deliver a new dimension in further debate about CAP post-2020 developments.

Aproximaciones A Los Factores Que Intervienen En El Desempeño Económico Y Productivo De Los Tambos En La Región Pampeana

“…Desde la teoría microeconómica existen varias extensiones de esta para modelar específicamente la actividad de tambos y otras actividades agropecuarias, ya sea para estudiar los comportamientos de oferta y demanda de insumos, como también los determinantes de la productividad, costos y los beneficios (Prišenk et al, 2018). En el presente trabajo se adoptaron modelos flexibles para estudiar el desempeño económico y productivo de las firmas (tambos), donde asumida la heterogeneidad tecnológica, productiva y organizativa de las firmas, se buscó entender el desempeño a partir de la habilidad para generar en el largo plazo una actividad rentable (Michaličková et al, 2014).…”

Impact Analysis of the Young Farmers’ Support Program on Slovenian Dairy Sector Development Using Econometric Modeling Approach

“…The relationships between socioeconomic factors and their modeling is often established by using various kinds of regression models [6][7][8][9]. In 2018, authors [10] developed a translog profit model that ensures a better understanding of the economic situation of dairy farms from the view of their capability to adapt to ongoing changes in the milk market.…”