DYNAMIC MICROECONOMETRIC APPROACHES TO ANALYSING AGRICULTURAL POLICY

Micro-econometric models have become a standard and powerful tool in analysing agricultural policies. In this paper we assess the contributions that have been made in the agricultural economics literature to dynamic microeconometric models of firms and households that are estimated using microdata. After discussing developments in dynamic investment models, dynamic household models, dynamic discrete choice models and dynamic efficiency models we give promising directions for future research and discuss implications for future data collection.