The Analysis Of Supply Responsiveness Of Jambi's Rice Farming

Author(s): Edi Edison

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Abstract: Farmers' supply responsiveness and input demand planting rice in Jambi Province were estimated using profit function analysis. The objective of study is to analyze rice farmers' supply response. Research was conducted in Jambi Province in the year of 2014. Result showed that farmers do maximise their profit in short term and response to price changing efficiently. Changing in real wages were estimated to have a greater impact on rice profit and supplies than changes in the real prices of mechanised land preparation, fertilizer or pesticides. Rice supply elasticity considering their price was closed to one.