Science and Technology Contribution to Improvements on Rice Production in Taiwan Analyzed by Ridge Regression Model

A ridge regression model for the rice production in Taiwan from 2000 to 2014 was constructed with the trans-log production function and parameter estimation. Information on the output elasticity, as well as the contribution of various factors toward the improvements, of the rice production in Taiwan was obtained. It was found that the scientific and technological advancements was the major driving force contributing 51.51% on the rice production improvements in Taiwan during those years. As a result, capital investment ushered in the progress and became the main factor, followed by projects executed that upgraded the land use on the island. The generally improved skills of the farmers also appeared to play a crucial role in Taiwan's rice productivity.