Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach

© 2018 Informa UK Limited, trading as Taylor & Francis Group This article analyses the role of research and development (R & D) in Australia’s broadacre farming by using the semi-parametric smooth coefficient model. While the conventional production function approach only captures the dire...

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Main Authors: Khan, F., Salim, Ruhul, Sun, K.
Format: Journal Article
Published: Routledge 2018
Online Access:http://hdl.handle.net/20.500.11937/69198
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author Khan, F.
Salim, Ruhul
Sun, K.
author_facet Khan, F.
Salim, Ruhul
Sun, K.
author_sort Khan, F.
building Curtin Institutional Repository
collection Online Access
description © 2018 Informa UK Limited, trading as Taylor & Francis Group This article analyses the role of research and development (R & D) in Australia’s broadacre farming by using the semi-parametric smooth coefficient model. While the conventional production function approach only captures the direct effects of R & D, this methodology captures both the direct impact of a change in R & D on output and the indirect impact through changes in efficiency of use of factor inputs in the production process. Moreover, technical inefficiency is introduced in the model allowing it as a function of R & D. Using a unique state-level dataset covering the period 1995–2007, this empirical study finds that once both the direct and indirect effects are taken into consideration, R & D investments significantly increase outputs. The results also show that there are substantial variations in the effects of R & D on output across the state-level average farm through technology parameters as well as through technical inefficiency. Such variations need to be taken into account when designing policies for investing public R & D in agriculture.
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institution Curtin University Malaysia
institution_category Local University
last_indexed 2025-11-14T10:40:30Z
publishDate 2018
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spelling curtin-20.500.11937-691982024-05-22T09:05:46Z Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach Khan, F. Salim, Ruhul Sun, K. © 2018 Informa UK Limited, trading as Taylor & Francis Group This article analyses the role of research and development (R & D) in Australia’s broadacre farming by using the semi-parametric smooth coefficient model. While the conventional production function approach only captures the direct effects of R & D, this methodology captures both the direct impact of a change in R & D on output and the indirect impact through changes in efficiency of use of factor inputs in the production process. Moreover, technical inefficiency is introduced in the model allowing it as a function of R & D. Using a unique state-level dataset covering the period 1995–2007, this empirical study finds that once both the direct and indirect effects are taken into consideration, R & D investments significantly increase outputs. The results also show that there are substantial variations in the effects of R & D on output across the state-level average farm through technology parameters as well as through technical inefficiency. Such variations need to be taken into account when designing policies for investing public R & D in agriculture. 2018 Journal Article http://hdl.handle.net/20.500.11937/69198 10.1080/00036846.2018.1470316 Routledge fulltext
spellingShingle Khan, F.
Salim, Ruhul
Sun, K.
Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach
title Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach
title_full Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach
title_fullStr Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach
title_full_unstemmed Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach
title_short Does R&D spur productivity growth in Australia’s broadacre agriculture? A semi-parametric smooth coefficient approach
title_sort does r&d spur productivity growth in australia’s broadacre agriculture? a semi-parametric smooth coefficient approach
url http://hdl.handle.net/20.500.11937/69198