Empirical investigation of investment behaviour in Australia's pastoral region

Title: Empirical investigation of investment behaviour in Australia's pastoral region
Creator: Agbola, Frank W.; Harrison, Stephen R.
Relation: Australian Journal of Agricultural and Resource Economics Vol. 49, Issue 1, p. 47-62
Publisher Link: http://dx.doi.org/10.1111/j.1467-8489.2005.00277.x
Publisher: Australian Agricultural and Resource Economics Society Inc. - Blackwell Publishing Ltd
Resource Type: journal article
Date: 2005
Description: Optimal intertemporal investment behaviour of Australian pastoralists is modelled using panel data for the period 1979–1993. Results indicate that quasi-fixity of inputs of labour, capital, sheep numbers and cattle numbers is characteristic of production in the pastoral region. It takes about two years for labour, four years for capital and a little over two years for both sheep numbers and cattle numbers to adjust towards long-run optimal levels. Results also indicate that, after accounting for adjustment costs, own-price product supply and input demand responses are inelastic in both the short and long run.
Subject: adjustment costs; pastoralism; supply response
Identifier: uon:835
Identifier: http://hdl.handle.net/1959.13/26298
Identifier: ISSN:1467-8489
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