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To meet the food requirement of the growing population, there is a constant need to increase agricultural production, which may be brought about through increasing the area under cultivation or improving the yields. The first approach is argued to be limited particularly in the long run, due to limitations such as the scarcity of land, water and other resources. The most feasible strategy is, therefore, improving the productivity of inputs. The present study aimed at measuring the productivity of the main production factors in order to find the best ways for resource allocation. Data were collected through questionnaire interviews in Hamedan. The transcendental function method was used to evaluate the productivity of major inputs in different production units. The results showed that the use of animal manure and water were close to, whereas the use of labor and pesticide were higher than those of the optimum. Farmers with larger farm holdings made a more optimum use of the inputs as compared to small farmers. The only input used by large farmers in excess of the optimum level was labor, the use of manure, water and chemical fertilizers being close to the optimum.