Determining the Productivity of Surface and Underground Water in Agricultural Sector of Iran

The purpose of this study is the estimation of agricultural production function and productivity measurement of underground and surface water in this section. Data were gathered through library research and time series data daring 1977-2007. Inputs that use in model for estimating the production function are: surface water consumption, water consumption underground, inventory capital and labor employed in agriculture. After estimating the production function, marginal and average productivity and elasticity of surface water and underground water in 2007 was calculated.
According to the results, marginal productivity of surface water and underground water in this year is 1012.36 and 2190.31rial/m^3. Also average productivity of these inputs is 2183.2 and 1133.4 rial/m^3.The elasticity of surface water and underground water in 1386 is 0.5 and 1.93. Also the results show that we use surface water very close to the optimal situation. But consumption of underground water is in the first area.but Since we face with the limitation of the underground resource can not increase consumption of these inputs and must seek another solution to increase the productivity of the underground water.

JEL Classification: C13, C24