A MATHEMATICAL MODEL FOR SMALL FARMERS IN RONDONIA, BRAZIL

Abstract

This paper contributes towards the economic evaluation of small farms in the tropics and demonstrates why this analysis can be both complex and unique. A Cobb-Douglas type Production Function has been developed, for a number of micro regions within the state of Rondonia, Brazil, as the basis for constructing predictive models. The models have been based on an empirical study and illustrate the relationship between the production output of a number perennial crops and certain physical and socio-economic variables. The results indicate that a significant relationship exists between output and certain constraints. In many cases, expected relationships do not exist and this is explained in the study by the unique dynamics of the small farmer situation.