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The Distribution of Gains from Technological Advance When Input Quality Varies
Author(s) -
Offutt Susan E.,
Garcia Philip,
Pinar Musa
Publication year - 1987
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.2307/1242282
Subject(s) - quality (philosophy) , distribution (mathematics) , economics , commodity , production (economics) , yield (engineering) , technological change , clearing , economic surplus , agricultural economics , microeconomics , industrial organization , econometrics , macroeconomics , market economy , mathematics , mathematical analysis , philosophy , materials science , epistemology , finance , welfare , metallurgy
Abstract Empirical evidence about new corn production technology in Illinois supports the hypothesis that yield‐ and output‐enhancing effects vary depending on whether technology is input (here, land) quality‐dependent or independent. In turn, these differences affect the distribution of economic surplus from technology adoption across geographic regions with varying land quality. A competitive, market‐clearing model for a traded commodity is used to estimate the gains in economic surplus from technological advance.

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