Measurement of Allocative Efficiency in Tomato Production and its Determinants: Evidence from District Bajaur- Khyber Pakhtunkhwa, Pakistan
Measurement of Allocative Efficiency in Tomato Production and its Determinants: Evidence from District Bajaur- Khyber Pakhtunkhwa, Pakistan
Khuram Nawaz Sadozai1, Amjad Ali1, Munawar Raza Kazmi2, Rizwan Ahmad3 and Hazrat Younas1*
Figure 1:
Diagrammatic representation of allocative efficiency: Adopted from Farrell (1957). The point of tangency (Q) for both the isoquant YY’ and iso-cost II’ that forms the optimal point. The point Q represent best combinations of inputs considering the prevailing market prices. The point also illustrates minimum expenditure that a profit maximizing producer should embrace.
Figure 2:
District Bajaur map.
Source: District director agriculture extension, Bajaur.
Equation 1
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