Two dimensions of farmers decision making on record keeping

to keep physical and financial records about any enterprises is essential if control of the productive process is to be achieved. some venezuelan farms belong to commercial systems that keep records (internal information), but a large proportion of farms are managed by farmers who base their performance on familiar knowledge (their own experience), with, little or no concern about systematic record keeping of their activities. record keeping choice is modeled through a qualitative response model (probit) and its impact is evaluated using a production function model. the methodology is refined in order to take full account of the possible presence of self-selectivity problems given the simultaneous equations bias in the production function and probit used in the study. this simultaneous equations system is applied to a sample of 128 pig farmers; and some general conclusions from the study are: farmer experience and farm size (capital investment and stock) are important factors determining farmer propensity to keep records or not. record keeping choice is an important input that positively influences economic results in the farm. however, keeping physical records has a significantly greater impact on farm output than does keeping financial records.