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Non-linear programming models for sector and policy analysis

Bauer, Siegfried
Kasnakoglu, Haluk
This paper examines the basic problems of the mathematical programming models used for agricultural sector and policy analysis. Experience with traditional programming models shows that a considerable improvement in performance is possible by adequately incorporating non-linear relationships. Particular emphasis will be given to the calibration and validation problems involved in this type of model. With the help of the Turkish agricultural sector model it will be demonstrated that an empirical specification of a non-linear programming model for the agricultural sector is possible even with poor statistical data and that an operational model version can be handled on a PC.