Evidence on Allocative Efficiency and Elasticities of Substitution in the Manufacturing Sector of Pakistan

Zafar, Sohail; Ahmed, Eatzaz

doi:10.30541/v44i4iipp.795-803

Cited by 3 publications

(5 citation statements)

References 56 publications

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“…In Pakistan's perspective, very few studies have estimated Elasticity of Substitution (EOS) at aggregate or dis-aggregate level for manufacturing sector ( Kazi, et al, 1976;Kemal, 1982;Ahmed, 1982;Battese and Malik, 1986;Mahmood, 1989;Kalim, 2001;Chishti and Mahmood, 1991;Zahid et al, 1992;S. F. Mahmud, 2000;Zafar and Ahmed, 2005;Batool and Zulfiqar, 2011), except (Lin and Ahmad, 2016). Alvi et al (2018) have investigated direct RE in case of household electricity sector.…”

Section: Literature Reviewmentioning

confidence: 99%

Energy Substitution Effect in Major Energy Consumption Sectors of Pakistan: Translog Cost Function

Nazir

Mahmood

Hameed

2022

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There is inadequate works available in the case of Pakistan that have tested the rebound effect due to energy use and its impacts on the environment, so in this study, comparative analysis of energy substitution effect on Pakistan’ three major energy consumption sectors industrial, transport and electricity sector has done, by using the translog cost function in time series data framework. And finally, the main aim is to give the Policy suggestion for different implications like energy and output, to the government of Pakistan doing the aggregate. From the analysis, it has been concluded that there are diseconomies of scale in each sector of the economy of Pakistan, as the elasticity of cost concerning output is greater than one. All energy and non-energy inputs are substitutes for each other but labor is needed more than any other input sectoral wise as it is cheaper and easily available in Pakistan. From the results, in the industrial sector capital intensive production has preferred to increase the use of energy. The rebound effect in Pakistan is negative, which means there is super conservation or have less use of energy. This could be due to the high price of energy inputs and underdevelopment, disinvestment so less profit and income generation, and technological progress leads to less use of resources.

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Section: Literature Reviewmentioning

confidence: 99%

Energy Substitution Effect in Major Energy Consumption Sectors of Pakistan: Translog Cost Function

Nazir

Mahmood

Hameed

2022

READS

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“…Thus, according to Zafar and al. [16], by replacing corn with apple by-products in food ingredients, chickens gained more body weight. During the first 2 weeks of breeding, the lab-prepared food powder (LPF) was distributed to the chicks since in the initial stages of growth, due to the inability of broilers to ingest whole granules [17].…”

Section: Growth Performancementioning

confidence: 99%

“…Indeed, Lira et al, by adding tomato waste in the poultry diet, produced the same results, in particular up to the first 28 days of rearing [12], whereas, Zafar and al. indicated that replacing corn with apple byproducts in food ingredients increased the carcass weight [16].…”

Section: Characteristics Of the Carcass And Livermentioning

confidence: 99%

Valorisation of food waste as new raw materials in broiler feed

Mechkirrou¹,

Ouhssine²,

Afilal³

2021

E3S Web Conf.

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In Morocco, the food waste fraction constitutes a large part of the total municipal solid waste generated. In order to promote this fraction as a feed source for poultry, a study was carried out to evaluate its digestive and metabolic effects, as well as its nutritional value on broilers. Indeed, comparative tests were carried out on two separate batches of small broilers fed, successively, with a commercial compound feed (CCF), and a feed prepared in the laboratory using kitchen waste as a substitute (LPF). The results obtained throughout the rearing period revealed the feasibility of the valorization of food waste as a substitute promoted in the poultry feed sector. In addition, the prefabricated feeds gave the same feed consumption index (1.03), compared to the commercial compound feed applied in the same rearing farm, while the weight gain index results were more advantageous for FPL. The study demonstrates the valorisation of feed waste as a new substitute for poultry feed.

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“…Methodologically, Mahmood (1989) pioneered the use of the translog function to estimate substituting elasticity in the case of Pakistan's manufacturing sector and also pioneered the use of the additional factor raw material by using seemingly uncorrelated regression. Other studies, such as (Batool & Zulfiqar, 2011;Khan & Burki, 1999;Mahmud & Chishti, 1990;Zafar & Ahmed, 2005), have also used the translog function to estimate the substitution elasticity on input factors and prices for the manufacturing sector of Pakistan using the Zellner iterative approach.…”

Section: Introductionmentioning

confidence: 99%

“…Also, Batool and Zulfiqar (2011) and Zafar and Ahmed (2005) have done the same for the manufacturing industries…”

Section: Introductionmentioning

confidence: 99%

Output and Substitution Elasticities in Pakistan’s Industrial Sectors: Panel Data Analysis

Nazir

Mahmood²,

Hameed³

2022

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This study performed a panel data analysis of Pakistan’s nine major sub-industries in the years 1980–2019. The primary objective was to conduct a disaggregate analysis of the substitution elasticity of inputs in the different industries, including textile, mining and currying, manufacturing, fuel extraction, electricity, gas, and water supply, using the translog production function. The study used the translog production function to estimate output and substitution elasticities for each sub-industry. Based on the results of the output elasticities, the study concluded that there were negative elasticities for the inputs oil, gas, and labor, except for capital, which had positive elasticity, causing increasing returns to scale for industries. The elasticity of substitution was greater than one and the value was positive, showing that costly energy inputs can and should be replaced with cheaper energy inputs in these industries. For instance, electricity can be replaced with gas, which is cheaper than electricity in Pakistan.

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Evidence on Allocative Efficiency and Elasticities of Substitution in the Manufacturing Sector of Pakistan

Cited by 3 publications

References 56 publications

Energy Substitution Effect in Major Energy Consumption Sectors of Pakistan: Translog Cost Function

Energy Substitution Effect in Major Energy Consumption Sectors of Pakistan: Translog Cost Function

Valorisation of food waste as new raw materials in broiler feed

Output and Substitution Elasticities in Pakistan’s Industrial Sectors: Panel Data Analysis

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