A dynamic equation system of factor demand, based on the adjustment cost hypothesis, is estimated using an incomplete panel of Dutch dairy farms. An instrumental variable estimator is used, based on first differences of the variables. The theoretical framework fits the data well. Investments are...

A system of factor demand and output supply is estimated using an incomplete panel of Dutch dairy farms. The intercepts of the two equations vary over the farms, reflecting differences in quality of labor and land. Comparison of fixed effects estimates and random effects estimates using a...

A unified framework for analyzing the short-term production relationships between outputs and inputs on Dutch dairy farms before and after the introduction of the milk quota system is presented. It is derived from duality theory and estimated using an incomplete panel of Dutch dairy farms. The...

Two models of profit-maximizing farms are developed using the duality that exists between the normalized profit function and the production function. Some production factors are fixed in the short term. The specification used is the translog form with variable intercepts. The equations are...