TY  - EJOUR
AB  - This study investigates non-parametrically the optimizing behavior of a sample of 289 Kansas farms under
profit-maximization and cost-minimization hypotheses. The study uses both deterministic and stochastic non-parametric
tests. The deterministic results do not support strict adherence to either optimization hypothesis. The
stochastic tests suggest that all 289 farms fail the profit-maximization hypothesis, whereas 171 farms failed the
cost-minimization hypothesis. Allowing for non-regressive technical change does not alter the basic results; 276
farms violate the profit-maximization hypothesis and 138 violate the cost-minimization hypothesis. The evidence
against cost-minimization behavior seems to be far less substantial than that against profit-maximization behavior.
AU  - Featherstone, Allen M.
AU  - Moghnieh, Ghassan A.
AU  - Goodwin, Barry K.
DA  - 1995-11
DA  - 1995-11
DO  - 10.22004/ag.econ.173724
DO  - doi
EP  - 117
EP  - 109
ID  - 173724
IS  - 2
JF  - Agricultural Economics: The Journal of the International Association of Agricultural Economists
KW  - Agricultural Finance
KW  - Demand and Price Analysis
KW  - Productivity Analysis
L1  - https://ageconsearch.umn.edu/record/173724/files/agec1995-1996v013i002a004.pdf
L2  - https://ageconsearch.umn.edu/record/173724/files/agec1995-1996v013i002a004.pdf
L4  - https://ageconsearch.umn.edu/record/173724/files/agec1995-1996v013i002a004.pdf
LA  - eng
LA  - English
LK  - https://ageconsearch.umn.edu/record/173724/files/agec1995-1996v013i002a004.pdf
N2  - This study investigates non-parametrically the optimizing behavior of a sample of 289 Kansas farms under
profit-maximization and cost-minimization hypotheses. The study uses both deterministic and stochastic non-parametric
tests. The deterministic results do not support strict adherence to either optimization hypothesis. The
stochastic tests suggest that all 289 farms fail the profit-maximization hypothesis, whereas 171 farms failed the
cost-minimization hypothesis. Allowing for non-regressive technical change does not alter the basic results; 276
farms violate the profit-maximization hypothesis and 138 violate the cost-minimization hypothesis. The evidence
against cost-minimization behavior seems to be far less substantial than that against profit-maximization behavior.
PY  - 1995-11
PY  - 1995-11
SP  - 109
T1  - Farm-level nonparametric analysis of cost-minimization and profit-maximization behavior
TI  - Farm-level nonparametric analysis of cost-minimization and profit-maximization behavior
UR  - https://ageconsearch.umn.edu/record/173724/files/agec1995-1996v013i002a004.pdf
VL  - 13
Y1  - 1995-11
T2  - Agricultural Economics: The Journal of the International Association of Agricultural Economists
ER  -