Estimating Capital Stock in Iran Sub-agricultural Sectors
Author(s):
Abstract:
One of the obvious problems in developing countries that caused inefficiency in forecasting is the inaccurate of statistical information about capital stock. In this research in deal with the problem of lack of statistical information about net investment, a model has estimated that can calculate capital depreciation rate and capital stock simultaneously in Iran's sub-agricultural sectors was estimated. Required data and information were gathered from statistical year's books. In this research capital stock has formulated in form of a function which has unknown depreciation rate, then this estimated capital stock substituted in production function, while production function and depreciation rate would estimate simultaneously. So capital stock time series in sub agricultural sectors establish. Results show that the best form of production function for Agronomy and Horticultural sectors is Cobb-Douglas, for Husbandry sector is Transcendental and for Fishery and Forestry sectors is Cobb-Douglas. Results show also Agronomy and Gardening sectors have the maximum share of capital stock among other sectors. At end it suggested during investment and credit allocation, should pay lot attention on capital stock trend and its depreciation rate.
Language:
Persian
Published:
Agricultural Economics, Volume:3 Issue: 1, 2009
Page:
141
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