Seemingly Unrelated Regression models were used to examine the factors that influence the corn acreage in selected states in the US. Planted acre was modelled as a function of lagged planted acres, lagged production, and lagged price for states California, Florida, New Jersey, New York, Pennsylvania, and the US. States such as New Jersey and New York which have a short growing season compared to California and Florida. Also there is a notion that the small acreage in New Jersey is affected by production from other states such as California, Florida, New York, and Pennsylvania. The results indicate that lagged planted acreage significantly contributes toward current planted acres of sweet corn in all the five states and in the US Production lag significantly contributes toward planted acres only in New York. Finally, the price lag significantly contributes toward planted acres in New York and Pennsylvania. The sign of the significant variable indicates that the current planted acre is positively influenced by the lagged planted acres, production lag and the price lag.
All Science Journal Classification (ASJC) codes
- Economics and Econometrics