An estimation of the costs function and economies of scale and supply functions for calves rearing projects in Hait for the year 2009

Abstract

Calves fattening projects are considered important economical projects as they supply read meat which is valuable food stuff. The aim of this study is to estimate the optimum quantity of meat as well as the optimum herd size and also to drive supply function for fro calves rearing projects projects in Hait for the year 2009. This could be achieved by estimating long run cost function from cross-section data for claves farmer The results showed that the optimum quantity was (32944) kgs per year and optimum herd was (224) calves, this mean that the average weight of each calf was (150) kgs, and the herd size from the sample was about (74) calves. The results also showed that the minimum average cost was (4026.13) dinars/kgs. The supply function could be derived by equating long run marginal cost with price. The optimum quantity supply was (66478) kgs at (10000) I.D.