chapter  II
Theoretical Approaches to the Inverse Relationship: Qualitative and Quantitative Factor Differences
Pages 21

In the previous chapter, we saw that the empirical data points to a number of clustered relationships involving factors of production. That evidence has spawned a vast theoretical literature which has attempted to explain how the inverse relationship arises. It is both convenient and logical to examine the principal theoretical approaches to the inverse relationship under three broad conceptual headings: (1) the first approach attempts to explain the inverse relationship in terms of qualitative factor differences between farmsize categories; (2) the second, and more substantial approach, attempts to explain the inverse relationship in terms of differential factor use intensities between farm-size categories; (3) the third is a class-based political economy explanation of the inverse relationship. This is discussed in Chapter III.