Economic analysis of the functions of production costs and economies of scale for the wheat crop: Aljimhoriah locality, Aldujeel country as classification model. | ||
| AL-dananeer | ||
| Article 1, Volume 1, Issue 9, September 2018, Pages 129-140 | ||
| Author | ||
| Assistant lecturer Alia Hussain Lafta | ||
| Abstract | ||
| People over the world depend on the food produced from wheat.Although it is one of the economic cash crops which are possible contribute to raising the incomes of farmers. However its cultivation has become a narrow range throughout the country in the recent time due to the difficulties facing the farmers including increases in the cost productivity.Salahuddin province-Dujailhas been chosen as case study because of significantly decline in the area planted in this region. Farm survey was carried out covering 26% of the community of wheat farmers. This study aims to shed light on wheat production in Salahuddin province and to estimate cost function and also the optimal size of the production as well as estimating the space that achieve optimum economic efficiency. The research includes analysis of the cost structure of crop production. The result, found that the average actual cost per unit of production for the total sample was(271.014)thousand dinars per ton, while the average actual cost per unit area was(172,835)thousand dinars per donum. Statistical analysis was used in determining the representative model of the relationship between the production and its cost. The result of costs function estimation and its derivations had shown that the optimum level of production was 25.64 tones, while the optimum that could be cultivated to achieve the optimum level of production was about 39.38donums./in conclusion, this study gets the optimal output that we need to expansion in the cultivation of crop. Key Words: wheat – Costs Function – Optimum Size | ||
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