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Does Farm Size and Specialization Matter for ProductiveEfficiency? Results from Kansas

Published online by Cambridge University Press:  26 January 2015

Amin W. Mugera
Affiliation:
Institute of Agriculture and School of Agriculture and Resource Economics, Faculty of Agriculture and Natural Sciences, The University of Western Australia, Perth, Australia
Michael R. Langemeier
Affiliation:
Department of Agricultural Economics, Kansas State University, Manhattan, Kansas

Abstract

In this article, we used bootstrap data envelopment analysis techniques toexamine technical and scale efficiency scores for a balanced panel of 564farms in Kansas for the period 1993–2007. The production technology isestimated under three different assumptions of returns to scale and theresults are compared. Technical and scale efficiency is disaggregated byfarm size and specialization. Our results suggest that farms are both scaleand technically inefficient. On average, technical efficiency hasdeteriorated over the sample period. Technical efficiency varies directly byfarm size and the differences are significant. Differences across farmspecializations are not significant.

Type
Research Article
Copyright
Copyright © Southern Agricultural Economics Association 2011

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