Finite mixture estimation (FME) is compared to estimated generalized least squares (EGLS) in the estimation of economies of size and production cost frontiers for Alabama dairy farms. FME provides several unique insights into the economic forces behind recent changes in Alabama's dairy industry....

Optimal crop and livestock mix was determined for a representative Alabama farm using a dynamic programming model. Results indicate that decisions concerning livestock production are highly influenced by the amount of cotton base available on the farm. In most cases, increasing cotton base...