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Measuring Eco-efficiency of Agricultural Activity in European Countries: A Malmquist Index Analysis

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Author Info
Serrao, Amilcar
Abstract

This paper develops an environmental performance index by applying the benefit of the doubt weighting and the Malmquist index concepts using Kuosmanen and Kortelainen’s approaches. The main difference between these approaches and other methods is that environmental performance is based on the definition of the eco-efficiency as the ratio of economic value added to the environmental damage index. The overall environmental performance index is also decomposed into two components representing changes due to technological progress (or regress) and due to changes in relative eco-efficiency. The dynamic environmental performance analysis is applied to 15 European agricultures from 1990 to 2004. Model results show that technical progress mostly explain overall environmental performance growth, while relative eco-efficiency changes have been minor for most European agricultures for the sample period.

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Publisher Info
Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida with number 6152.

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Date of creation: 2008
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Handle: RePEc:ags:aaea08:6152

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Related research
Keywords: Benefit of the doubt weighting; Data Envelopment Analysis; Eco-efficiency; Environmental performance analysis; Malmquist Index; Agricultural Activity; Environmental Economics and Policy; Research Methods/ Statistical Methods; Q57; C43; C61;

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  1. Cherchye, Laurens, 2001. "Using Data Envelopment Analysis to Assess Macroeconomic Policy Performance," Applied Economics, Taylor and Francis Journals, vol. 33(3), pages 407-16, February. [Downloadable!] (restricted)
  2. Fare, Rolf & Shawna Grosskopf & Mary Norris & Zhongyang Zhang, 1994. "Productivity Growth, Technical Progress, and Efficiency Change in Industrialized Countries," American Economic Review, American Economic Association, vol. 84(1), pages 66-83, March. [Downloadable!] (restricted)
  3. Laurens Cherchye & & Timo Kuosmanen, 2002. "Benchmarking Sustainable Development: A Synthetic Meta-index Approach," Others 0210001, EconWPA, revised 08 Oct 2002. [Downloadable!]
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  4. Ebert, Udo & Welsch, Heinz, 2004. "Meaningful environmental indices: a social choice approach," Journal of Environmental Economics and Management, Elsevier, vol. 47(2), pages 270-283, March. [Downloadable!] (restricted)
  5. Laurens Cherchye & Wim Moesen & Tom Van Puyenbroeck, 2003. "Legitimately Diverse, yet Comparable: On Synthesising Social Inclusion Performance in the EU," Public Economics Working Paper Series ces0301, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Working Group Public Economics. [Downloadable!]
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This page was last updated on 2009-11-26.

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