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Abstract

Using the data on production cost of agricultural products (Available from the production cost project, Conducted by Statistics and Infromation General Office of MOV) and on the basis of production factors the cost of production was sorted out and the share of individual factors constituting the production cost and cost price were assesed .Then using the weighted average, the impact of theincrease in the price of production factors on the cost price of the products were assessed and the cost priceimpacted by the price of the factors were evaluted. Finally the Gobb Douglas function was fitted on the production function and through using the obtained models the cost price due to cost of production factors was evaluted.