Economic Analysis of Water Demand in Greenhouses of Khash Township

Subject Areas : Environmental policy and management

Javad Shahraki ¹ ( Assistant Professor of Agricultural Economics, University of Sistan and Baluchestan )
Neda AliAhmadi ² ( Master of Agricultural Economics in MA great of the University of Sistan and Baluchestan )

Received: 2013-12-15 Accepted : 2014-02-18 Published : 2014-06-01

Keywords: Irrigation water demand, Price elasticity of demand, Succession elasticity of demand, Translog Cost Function,

Abstract :

The main goal of this study was to investigate the way of affecting of water in production of cucumber. From aspect of econometrics, mutual relationships of production function and expenses have been analyzed in which Translog cost function has been used. This function has been estimated using the conditional input demand functions, the shefard theorem, chemical fertilizer, animal fertilizer, labour force, seed, and pesticide in the framework of a system of equations by taking advantage of the irrelevant regression method. Applied inputs is for 151 cucumber Beneficiaries in Khash in farming year of 2011-12 that insider and crossing tendency of input demand for this product has been investigated through collecting questionnaires and using obtained coefficients. The results show that the translog cost model is a good fit compared to the data of research. According to the reviews, demand for water has a minor Insider- succession tendency more than one which shows possible stretch of demand function rather than the price of the inputs. Hence, appropriate pricing policies can be used to take a positive step in preventing the extreme usage of this input and directing beneficiaries for optimum use of these inputs.

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