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No Evidence of Trade-Off between Farm Efficiency and Resilience: Dependence of Resource-Use Efficiency on Land-Use Diversity

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  • Helena Kahiluoto
  • Janne Kaseva

Abstract

Efficiency in the use of resources stream-lined for expected conditions could lead to reduced system diversity and consequently endanger resilience. We tested the hypothesis of a trade-off between farm resource-use efficiency and land-use diversity. We applied stochastic frontier production models to assess the dependence of resource-use-efficiency on land-use diversity as illustrated by the Shannon-Weaver index. Total revenue in relation to use of capital, land and labour on the farms in Southern Finland with a size exceeding 30 ha was studied. The data were extracted from the Finnish Profitability Bookkeeping data. Our results indicate that there is either no trade-off or a negligible trade-off of no economic importance. The small dependence of resource-use efficiency on land-use diversity can be positive as well as negative. We conclude that diversification as a strategy to enhance farm resilience does not necessarily constrain resource-use efficiency.

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  • Helena Kahiluoto & Janne Kaseva, 2016. "No Evidence of Trade-Off between Farm Efficiency and Resilience: Dependence of Resource-Use Efficiency on Land-Use Diversity," PLOS ONE, Public Library of Science, vol. 11(9), pages 1-16, September.
    • Handle: RePEc:plo:pone00:0162736
    DOI: 10.1371/journal.pone.0162736
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    2. Yang Ban & Ying Wang & Xiaohong Chen & Liuqing Wei, 2022. "Synergistic Patterns of Urban Economic Efficiency and the Economic Resilience of the Harbin–Changchun Urban Agglomeration in China," Sustainability, MDPI, vol. 15(1), pages 1-21, December.
    3. Ika Darnhofer, 2021. "Farming Resilience: From Maintaining States towards Shaping Transformative Change Processes," Sustainability, MDPI, vol. 13(6), pages 1-21, March.
    4. Helena Kahiluoto, 2020. "Food systems for resilient futures," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 12(4), pages 853-857, August.
    5. Volkov, Artiom & Morkunas, Mangirdas & Balezentis, Tomas & Streimikiene, Dalia, 2022. "Are agricultural sustainability and resilience complementary notions? Evidence from the North European agriculture," Land Use Policy, Elsevier, vol. 112(C).
    6. Stefan J. Hörtenhuber & Verena Größbacher & Lisa Schanz & Werner J. Zollitsch, 2023. "Implementing IPCC 2019 Guidelines into a National Inventory: Impacts of Key Changes in Austrian Cattle and Pig Farming," Sustainability, MDPI, vol. 15(6), pages 1-21, March.
    7. Yevheniia Varyvoda & Douglas Taren, 2022. "Considering Ecosystem Services in Food System Resilience," IJERPH, MDPI, vol. 19(6), pages 1-16, March.

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