Optimization of Cooperative Production Function in The Philippines And Indonesia

Purpose – The study aims to identify production function equation between labour and capital also optimal cost of the cooperatives. In order raise level this research be international, compares two countries, namely Philippines Indonesia by applying performances cooperatives in both countries. Methodology/approach Cobb Douglass is applied research. Optimal using partial differential used wage capital. Cooperatives 15 regions 33 provinces were object Findings has an increasing scale return because value constant greater than one, on other hand a declining return. However, countries have common that correlated with cooperative output, while not output significantly. Novelty/value This highlights important use economic analytical Indonesia. Both significant correlation capital, but did correlate significantly labour.