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Measuring Environmental Performance of Irrigated Cotton Enterprises

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Author Info

  • Azad, Md Abdus Samad
  • Liem, Monica
  • Ancev, Tihomir
  • Lee, Lisa Yu-Ting

Abstract

Irrigation enterprises can be evaluated from a perspective of technical and environmental efficiency. This study determines the technical and environmental efficiency in irrigated cotton enterprises. This is achieved by investigating efficiency at cotton enterprise in the case study area of the Mooki Catchment, located in northern New South Wales. Deep drainage loss which contributes to salinity is considered as an environmental detrimental output. Using four different specifications of Data Envelopment Analysis relative efficiency rankings are determined for each agricultural area in the catchment. This result is then compared to biophysical characteristics from previous studies to help identify the particular features of an area which may influence outcomes that are both environmentally sound and economically efficient. With the identification of the most and least efficient cotton irrigating areas in the region, policymakers can construct a relative ranking system to best determine policy directions in order to achieve economic and environmental objectives.

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Bibliographic Info

Paper provided by Australian Agricultural and Resource Economics Society in its series 2008 Conference (52nd), February 5-8, 2008, Canberra, Australia with number 6004.

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Date of creation: 2008
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Handle: RePEc:ags:aare08:6004

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Related research

Keywords: Cotton; Irrigation; Deep Drainage; Environmental Efficiency; Crop Production/Industries; Environmental Economics and Policy; Land Economics/Use;

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References

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  1. Chakraborty, Kalyan & Misra, Sukant K. & Johnson, Phillip N., 2002. "Cotton Farmers' Technical Efficiency: Stochastic and Nonstochastic Production Function Approaches," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 31(2), October.
  2. Mika Kortelainen & Timo Kuosmanen, 2004. "Measuring Eco-efficiency of Production: A Frontier Approach," Econometrics 0411006, EconWPA.
  3. Reinhard, Stijn & Knox Lovell, C. A. & Thijssen, Geert J., 2000. "Environmental efficiency with multiple environmentally detrimental variables; estimated with SFA and DEA," European Journal of Operational Research, Elsevier, vol. 121(2), pages 287-303, March.
  4. Cinzia Daraio & LĂ©opold Simar, 2005. "Introducing Environmental Variables in Nonparametric Frontier Models: a Probabilistic Approach," Journal of Productivity Analysis, Springer, vol. 24(1), pages 93-121, 09.
  5. Fare, Rolf, et al, 1993. "Derivation of Shadow Prices for Undesirable Outputs: A Distance Function Approach," The Review of Economics and Statistics, MIT Press, vol. 75(2), pages 374-80, May.
  6. Fare, Rolf, et al, 1989. "Multilateral Productivity Comparisons When Some Outputs Are Undesirable: A Nonparametric Approach," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 90-98, February.
  7. Philip W. Gassman & Manuel R. Reyes & Colleen H. Green & Jeffrey G. Arnold, 2007. "Soil and Water Assessment Tool: Historical Development, Applications, and Future Research Directions, The," Center for Agricultural and Rural Development (CARD) Publications 07-wp443, Center for Agricultural and Rural Development (CARD) at Iowa State University.
  8. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
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