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Farm income sources, farm size and farm technical efficiency in Slovenia

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  • Štefan Bojnec
  • Imre Fertő

Abstract

The impact of off-farm income on farm technical efficiency of Slovenian Farm Accountancy Data Network farms is analysed for 2004--08 employing stochastic frontier analysis. Results suggest that family farms and off-farm income are dominant in the farming structures. Estimations confirm technical efficiency is slightly higher for farms with off-farm income. The quantile regression analysis confirmed the positive impact of farm size and negative impact of government subsidies on technical efficiency of farms with and without off-farm incomes. The impact of family farm organisation on farm technical efficiency is positive for farms without off-farm income but differs by quantiles of technical efficiency for farms with off-farm income.

Suggested Citation

  • Štefan Bojnec & Imre Fertő, 2013. "Farm income sources, farm size and farm technical efficiency in Slovenia," Post-Communist Economies, Taylor & Francis Journals, vol. 25(3), pages 343-356, September.
    • Handle: RePEc:taf:pocoec:v:25:y:2013:i:3:p:343-356
    DOI: 10.1080/14631377.2013.813140
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    1. Bojnec, Stefan & Swinnen, Johan F. M., 1997. "The pattern of agricultural price distortions in Central and Eastern Europe," Food Policy, Elsevier, vol. 22(4), pages 289-306, August.
    2. Fernandez-Cornejo, Jorge & Mishra, Ashok K. & Nehring, Richard F. & Hendricks, Chad & Southern, Malaya & Gregory, Alexandra, 2007. "Off-Farm Income, Technology Adoption, And Farm Economic Performance," Economic Research Report 7234, United States Department of Agriculture, Economic Research Service.
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    2. Musa Hasen Ahmed & Kumilachew Alamerie Melesse, 2018. "Impact of off-farm activities on technical efficiency: evidence from maize producers of eastern Ethiopia," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 6(1), pages 1-15, December.
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    4. Štefan Bojnec & Kristina Knific, 2021. "Farm Household Income Diversification as a Survival Strategy," Sustainability, MDPI, vol. 13(11), pages 1-16, June.
    5. Lajos Baráth & Imre Fertő & Štefan Bojnec, 2018. "Are farms in less favored areas less efficient?," Agricultural Economics, International Association of Agricultural Economists, vol. 49(1), pages 3-12, January.
    6. Minviel, Jean Joseph & Latruffe, Laure, 2014. "Meta-regression analysis of the impact of agricultural subsidies on farm technical efficiency," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182767, European Association of Agricultural Economists.
    7. Kryszak, Łukasz & Herzfeld, Thomas, 2021. "One or many European models of agriculture? How heterogeneity influences income creation among farms in the European Union," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 67(11), pages 445-456.
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    11. Guiomar, N. & Godinho, S. & Pinto-Correia, T. & Almeida, M. & Bartolini, F. & Bezák, P. & Biró, M. & Bjørkhaug, H. & Bojnec, Š. & Brunori, G. & Corazzin, M. & Czekaj, M. & Davidova, S. & Kania, J. & K, 2018. "Typology and distribution of small farms in Europe: Towards a better picture," Land Use Policy, Elsevier, vol. 75(C), pages 784-798.
    12. Baležentis, Tomas & De Witte, Kristof, 2015. "One- and multi-directional conditional efficiency measurement – Efficiency in Lithuanian family farms," European Journal of Operational Research, Elsevier, vol. 245(2), pages 612-622.
    13. Fang Song & Xuerong Xu, 2023. "How Operation Scale Improve the Production Technical Efficiency of Grape Growers? An Empirical Evidence of Novel Panel Methods for China’s Survey Data," Sustainability, MDPI, vol. 15(4), pages 1-19, February.
    14. Radosław PASTUSIAK & Magdalena JASINIAK & Michał SOLIWODA & Joanna STAWSKA, 2017. "What may determine off-farm income? A review," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 63(8), pages 380-391.
    15. Łukasz Kryszak & Marta Guth & Bazyli Czyżewski, 2021. "Determinants of farm profitability in the EU regions. Does farm size matter?," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(3), pages 90-100.
    16. Lajos Baráth & Imre Fertő & Štefan Bojnec, 2020. "The Effect of Investment, LFA and Agri‐environmental Subsidies on the Components of Total Factor Productivity: The Case of Slovenian Farms," Journal of Agricultural Economics, Wiley Blackwell, vol. 71(3), pages 853-876, September.
    17. Nihal Ahmed & Zeeshan Hamid & Farhan Mahboob & Khalil Ur Rehman & Muhammad Sibt e Ali & Piotr Senkus & Aneta Wysokińska-Senkus & Paweł Siemiński & Adam Skrzypek, 2022. "Causal Linkage among Agricultural Insurance, Air Pollution, and Agricultural Green Total Factor Productivity in United States: Pairwise Granger Causality Approach," Agriculture, MDPI, vol. 12(9), pages 1-17, August.
    18. Bożena Kusz & Dariusz Kusz & Iwona Bąk & Maciej Oesterreich & Ludwik Wicki & Grzegorz Zimon, 2022. "Selected Economic Determinants of Labor Profitability in Family Farms in Poland in Relation to Economic Size," Sustainability, MDPI, vol. 14(21), pages 1-25, October.
    19. Eliška Svobodová & Radka Redlichová & Gabriela Chmelíková & Ivana Blažková, 2022. "Are the Agricultural Subsidies Based on the Farm Size Justified? Empirical Evidence from the Czech Republic," Agriculture, MDPI, vol. 12(10), pages 1-18, September.
    20. Frýd, Lukáš & Sokol, Ondřej, 2021. "Relationships between technical efficiency and subsidies for Czech farms: A two-stage robust approach," Socio-Economic Planning Sciences, Elsevier, vol. 78(C).
    21. Juanjuan Cheng & Qian Wang & Huanmin Zhang & Toyohiko Matsubara & Naoki Yoshikawa & Jin Yu, 2022. "Does Farm Size Expansion Improve the Agricultural Environment? Evidence from Apple Farmers in China," Agriculture, MDPI, vol. 12(11), pages 1-23, October.
    22. Kuhle Prudence Mnisi & Abdul Latif Alhassan, 2021. "Financial structure and cooperative efficiency: A pecking‐order evidence from sugarcane farmers in Eswatini," Annals of Public and Cooperative Economics, Wiley Blackwell, vol. 92(2), pages 261-281, June.
    23. Shoaib Akhtar & Azhar Abbas & Muhammad Faisal & Muhammad Haseeb Raza & Abdus Samie & Mark Yu & Ashley Lovell, 2023. "Roles of Personal, Household, Physical, and Institutional Factors on Farmers’ Efficiency of Hybrid Maize Production: Implications for Food Security," Agriculture, MDPI, vol. 13(9), pages 1-13, September.
    24. Fertö, Imre, 2014. "The Structural Transformation in Central and Eastern European Agriculture," CEI Working Paper Series 2014-9, Center for Economic Institutions, Institute of Economic Research, Hitotsubashi University.
    25. Garcia, Luis & Laepple, Doris & Dillon, Emma & Thorne, Fiona, 2020. "The role of hired labor in transient and persistent technical efficiency on Irish dairy farms," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304395, Agricultural and Applied Economics Association.

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