THE IMPACTS OF PRICE AND OUTPUT UNCERTAINTY ON CHICKEN AND BEEF MEATS IN FARS PROVINCE

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RAHMANI R.; TORKAMANI J.

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Paper Information

Journal: AGRICULTURAL ECONOMICS: IRANIAN JOURNAL OF AGRICULTURAL ECONOMICS (ECONOMICS AND AGRICULTURE JOURNAL) Year:2010 | Volume:4 | Issue:1 Page(s): 51-79

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Title

THE IMPACTS OF PRICE AND OUTPUT UNCERTAINTY ON CHICKEN AND BEEF MEATS IN FARS PROVINCE

Author(s)

RAHMANI R. | TORKAMANI J. | Issue Writer Certificate

Keywords

OUTPUT UNCERTAINTYQ3

PRICE UNCERTAINTYQ2

UTILITYQ2

ADDITIVE AND MULTIPLICATIVE UNCERTAINTYQ3

CHICKEN AND BEEF MEATQ2

Abstract

At this study production of CHICKEN AND BEEF MEAT was investigated based on the method of Moavia Alghalith, considering simultaneous uncertainty of price and output in the Fars province. This method is applicable for direct and indirect UTILITY functions and does not require specification and estimation of the production function. The estimating equations for two most common forms of output risk (additive and multiplicative risks) were derived and the results empirically were compared. Needed data, including monthly amounts of CHICKEN AND BEEF MEAT and also price of essential inputs related to these outputs for the years 1380 to 1385, were collected. Results show that, by increasing risk on price and output, chicken production will decrease, considering two forms of output risk .Based on the multiplicative form, by increasing price and output risk, beef meat production decreased in the whole periods of study, while in additive form decreased and increased in different periods. Besides amounts of chicken meat reduced by increasing price of chicken meat based on two forms of output risk. In fact, increasing price and output risk of chicken meat not only omitted the positive effect of price increase on incentives of output expansion, but also decreased output in some cases. Amounts of beef meat production have increased by increasing price of beef meat, based on two forms of output risks where those are consistent with theory. To reduce price and production risks, providing the necessary context for preparation of pricing contracts for sales of beef and chicken meat and purchasing basic inputs for these products during production and before the decision to produce, through insurer companies are advised. Also training cattle and poultry cooperatives members for marketing activities in this field and regulating the market of these products can be useful. On the other hand government should avoid from unplanned import that increases the risk for producers.

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APA: Copy

RAHMANI, R., & TORKAMANI, J.. (2010). THE IMPACTS OF PRICE AND OUTPUT UNCERTAINTY ON CHICKEN AND BEEF MEATS IN FARS PROVINCE. AGRICULTURAL ECONOMICS: IRANIAN JOURNAL OF AGRICULTURAL ECONOMICS (ECONOMICS AND AGRICULTURE JOURNAL), 4(1), 51-79. SID. https://sid.ir/paper/124578/en

Vancouver: Copy

RAHMANI R., TORKAMANI J.. THE IMPACTS OF PRICE AND OUTPUT UNCERTAINTY ON CHICKEN AND BEEF MEATS IN FARS PROVINCE. AGRICULTURAL ECONOMICS: IRANIAN JOURNAL OF AGRICULTURAL ECONOMICS (ECONOMICS AND AGRICULTURE JOURNAL)[Internet]. 2010;4(1):51-79. Available from: https://sid.ir/paper/124578/en

IEEE: Copy

R. RAHMANI, and J. TORKAMANI, “THE IMPACTS OF PRICE AND OUTPUT UNCERTAINTY ON CHICKEN AND BEEF MEATS IN FARS PROVINCE,” AGRICULTURAL ECONOMICS: IRANIAN JOURNAL OF AGRICULTURAL ECONOMICS (ECONOMICS AND AGRICULTURE JOURNAL), vol. 4, no. 1, pp. 51–79, 2010, [Online]. Available: https://sid.ir/paper/124578/en

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