Pattern of investment allocation to chemical inputs and technical efficiency: A stochastic frontier analysis of farm households in Laguna, Philippines
AbstractThis study focuses on the pattern between investment in chemical inputs such as fertilizer, pesticides and herbicides and technical efficiency of farm households in Laguna, Philippines. Using a one‐stage maximum likelihood estimation procedure, the stochastic production frontier model was estimated simultaneously with the determinants of efficiency. Results show that farmers with a low technical efficiency score have a high investment share in chemical inputs. Farmers who invested more in chemical inputs relative to other variable inputs attained the same or even lower output and were less efficient than those farmers who invested less. The result shows that farmers who invested wisely in chemical inputs can encourage farmers to apply chemical inputs more optimally.
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Bibliographic InfoPaper provided by Australian Agricultural and Resource Economics Society in its series 2013 Conference (57th), February 5-8, 2013, Sydney, Australia with number 152203.
Date of creation: Feb 2013
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Agricultural Management; Agricultural Productivity; Farm Household; Fertilizer Use; Rice; Crop Production/Industries; Environmental Economics and Policy; Research and Development/Tech Change/Emerging Technologies; Q12;
Find related papers by JEL classification:
- Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
This paper has been announced in the following NEP Reports:
- NEP-AGR-2013-07-15 (Agricultural Economics)
- NEP-ALL-2013-07-15 (All new papers)
- NEP-EFF-2013-07-15 (Efficiency & Productivity)
- NEP-SEA-2013-07-15 (South East Asia)
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