Do Cows Have Negative Returns? The Evidence Revisited
研究了印度安得拉邦农户养牛的盈利性，发现养牛可能产生正回报，但多数农户因规模不经济和前期投入高而处于亏损状态。
This paper addresses the apparent paradox between widespread support of cattle farming through agricultural policy interventions and negative returns to cattle, as stressed in recent works. Using a representative panel data set for Andhra Pradesh, India, we explore the average and marginal profitability of holding cattle. We find that cattle farming might well generate positive returns, but most households seem to operate at unprofitable levels. Our results suggest that cattle farming is associated with sizable nonconvexities in the production technology and that substantial economies of scale, as well as high up-front expenses of acquiring high-productivity animals, might trap poorer households in low-productivity asset levels.