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Efficiency, Environmental Contaminants and Farm Size: Testing for Links Using Stochastic Production Frontiers

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Author Info
Kaddour Hadri () (University of Liverpool)
Julie Whittaker (University of Exeter)

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Abstract

This paper investigates whether there is any relationship between farm size, technical efficiency and the use of agrochemicals which are potentially environmentally contaminating. These questions are pertinent in the context of current EU policy decisions. Using two models of stochastic frontier production and a set of panel data on 35 farms from the South West of England for the years 1987-1991, we obtain an indication, that there is a positive relationship between technical efficiency and use of contaminants, and between technical efficiency and farm size. However, there is a weak negative relationship between farm size and use of contaminants.

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File URL: http://www.cema.edu.ar/publicaciones/download/volume2/hadri_whittaker.pdf
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Publisher Info
Article provided by Universidad del CEMA in its journal Journal of Applied Economics.

Volume (Year): II (1999)
Issue (Month): (November)
Pages: 337-356
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Handle: RePEc:cem:jaecon:v:2:y:1999:n:2:p:337-356

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Related research
Keywords: Frontier production; technical efficiency; panel data; environment; farm size;

Other versions of this item:

Find related papers by JEL classification:
C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data
C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models
D24 - Microeconomics - - Production and Organizations - - - Production; Capital and Total Factor Productivity; Capacity
Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

  1. Battese, George E. & Coelli, Tim J., 1988. "Prediction of firm-level technical efficiencies with a generalized frontier production function and panel data," Journal of Econometrics, Elsevier, vol. 38(3), pages 387-399, July. [Downloadable!] (restricted)
  2. Hadri, Kaddour, 1997. "A Frontier Approach to Disequilibrium Models," Applied Economics Letters, Taylor and Francis Journals, vol. 4(11), pages 699-701, November. [Downloadable!] (restricted)
  3. Schmidt, Peter & Knox Lovell, C. A., 1979. "Estimating technical and allocative inefficiency relative to stochastic production and cost frontiers," Journal of Econometrics, Elsevier, vol. 9(3), pages 343-366, February. [Downloadable!] (restricted)
  4. Dawson, P J, 1987. "Farm-Specific Technical Efficiency in the England and Wales Dairy Sector," European Review of Agricultural Economics, Oxford University Press for the Foundation for the European Review of Agricultural Economics, vol. 14(4), pages 383-94.
  5. Hadri, K. & Guermat, C. & Whittaker, J., 1998. "Doubly Heteroscedastic Stochastic Production Frontiers with an English Cere al Farms," Discussion Papers 99/08, University of Exeter, School of Business and Economics.
  6. Guermat, C. & Hadri, K., 1999. "Heteroscedasticity in Stochastic Frontier Models: a Monte Carlo Analysis," Discussion Papers 99/14, University of Exeter, School of Business and Economics.
  7. Moussa, M Z & Jones, T T, 1991. "Efficiency and Farm Size in Egypt: A Unit Output Price Profit Function Approach," Applied Economics, Taylor and Francis Journals, vol. 23(1), pages 21-29, Part A, J.
  8. Kumbhakar, Subal C, 1993. "Short-Run Returns to Scale, Farm-Size, and Economic Efficiency," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 336-41, May. [Downloadable!] (restricted)
  9. Battese, George E. & Corra, Greg. S., 1977. "Estimation Of A Production Frontier Model: With Application To The Pastoral Zone Of Eastern Australia," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 21(03), December. [Downloadable!]
  10. Trosper, Ronald L, 1978. "American Indian Relative Ranching Efficiency," American Economic Review, American Economic Association, vol. 68(4), pages 503-16, September. [Downloadable!] (restricted)
  11. Bagi, Faqir Singh, 1982. "Relationship Between Farm Size And Technical Efficiency In West Tennessee Agriculture," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 14(02), December. [Downloadable!]
  12. Guermat, C. & Hadri, K., 1999. "Backpropagation Neural Network versus Translog Model in Stochastic Frontiers: a Note Carlo Compatrison," Discussion Papers 99/16, University of Exeter, School of Business and Economics.
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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Mary Graham, 2006. "Sustainability: Meaning and Measurement with Application to Agriculture," Economics Series 2006_31, Deakin University, Faculty of Business and Law, School of Accounting, Economics and Finance. [Downloadable!]
  2. Kaddour Hadri & Cherif Guermat & Julie Whittaker, 2003. "Estimating Farm Efficiency in the Presence of Double Heteroscedasticity Using Panel Data," Journal of Applied Economics, Universidad del CEMA, vol. 0, pages 255-268, November. [Downloadable!]
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