Hostname: page-component-586b7cd67f-t7fkt Total loading time: 0 Render date: 2024-11-29T11:45:41.057Z Has data issue: false hasContentIssue false

Establishing Priorities Among Multiple Management Goals

Published online by Cambridge University Press:  28 April 2015

Donnie Smith
Affiliation:
Department of Agricultural Economics, University of Arkansas, Fayetteville, Arkansas
Daniel F. Capstick
Affiliation:
Department of Agricultural Economics, University of Arkansas, Fayetteville, Arkansas

Extract

If inferences from research are to be correct, economists, research workers and extension specialists should distinguish between adjustment recommendations for an individual farmer with his unique set of values as opposed to recommendations for a hypothetical group of farmers. Too often, economic analyses are based on the implied assumption that all individuals fit a general definition of the economic man whose one objective is to maximize profits. A single goal, such as profit maximization, is often used to derive the “otpimum” plan because the planning model is operational and is assumed to provide an analytical approximation of firm behavior. Other goals may be relevant to the firm's decision-maker, and economists generally recognize that multiple goals are important in making business decisions. Consequently, single goal models are not always a realistic approach to the decision process and may not provide the farmer with an acceptable solution.

Type
Research Article
Copyright
Copyright © Southern Agricultural Economics Association 1976

Access options

Get access to the full version of this content by using one of the access options below. (Log in options will check for institutional or personal access. Content may require purchase if you do not have access.)

References

[1] Baumol, William J.Economic Theory and Operations Analysis, 2nd Edition, New Jersey, Prentice-Hall, 1965, pp. 295310.Google Scholar
[2] Edwards, A. L.Techniques of Attitude Scale Construction, New York, 1957, pp. 5966.CrossRefGoogle Scholar
[3] Harman, Wyatte L., Hatch, Roy E., Eidman, Vernon R. and Claypool., P.L.An Evaluation of Factors Affecting the Hierarchy of Multiple Goals, Technical Bulletin T-134, Oklahoma State University, Agricultural Experimental Station and U.S.D.A., June 1972.Google Scholar
[4] Kendall, M. G.Rank Correlation Methods, 3rd Edition, New York, Hafner, 1962.Google Scholar
[5] Mosteller, F.Remarks on the Method of Paired Comparison: III. A Test of Significance for Paired Comparisons when Equal Standard Deviations and Equal Correlations are Assumed,Psychometrika, 16(1951 b), pp. 207218.CrossRefGoogle Scholar