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Productivity Change in Polish Agriculture: An Application of a Bootstrap Procedure to Malmquist Indices

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Author Info
Balcombe, Kelvin
Davidova, Sophia
Latruffe, Laure

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Abstract

This paper employs bootstrapping to correct for bias and to construct confidence intervals for Malmquist TFP indices derived with DEA. It uses these results to investigate the productivity change in Polish agriculture during a crucial period of the country's transition to a market economy, 1996-2000, when Poland was preparing for accession to the European Union. The bias corrected estimates show regress in productivity at an annual rate of 4 percent. The confidence intervals suggest that between two-thirds and four-fifths of the sample farms (250) in different years might have experienced no change in productivity. The cluster analysis based on confidence bounds reveals three paths of productivity change. Farms which recorded an increase in productivity at least in the last year of the analysed period, are larger, more capital intensive, run by younger farmers, and more integrated in factor and product markets. However, they account for only 19 percent of the sample farms. The most important for Poland now is to unlock the forces that can drive ahead structural reform and thus productivity growth.

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Paper provided by European Association of Agricultural Economists in its series 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark with number 24572.

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Date of creation: 2005
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Handle: RePEc:ags:eaae05:24572

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Keywords: Malmquist indices; bootstrapping; Poland; farms; productivity change; Productivity Analysis; D24; Q12; C6;

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References listed on IDEAS
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  1. Dries, Liesbeth & Swinnen, Johan F. M., 2004. "Foreign Direct Investment, Vertical Integration, and Local Suppliers: Evidence from the Polish Dairy Sector," World Development, Elsevier, vol. 32(9), pages 1525-1544, September. [Downloadable!] (restricted)
  2. Simar, L. & Wilson, P.W., 1999. "Statistical Inference in Nonparametric Frontier Models: the State of the Art," Papers 9904, Catholique de Louvain - Institut de statistique.
  3. Brummer, Bernhard & Glauben, Thomas & Thijssen, Geert, 2002. " Decomposition of Productivity Growth Using Distance Functions: The Case of Dairy Farms in Three European Countries," American Journal of Agricultural Economics, American Agricultural Economics Association, vol. 84(3), pages 628-44, August. [Downloadable!] (restricted)
  4. Laure Latruffe & Kelvin Balcombe & Sophia Davidova & Katarzyna Zawalinska, 2004. "Determinants of technical efficiency of crop and livestock farms in Poland," Applied Economics, Taylor and Francis Journals, vol. 36(12), pages 1255-1263, July. [Downloadable!] (restricted)
  5. Sophia Davidova & Matthew Gorton & Tomas Ratinger & Katarzyna Zawalinska & Belen Iraizoz, 2005. "Farm Productivity and Profitability: A Comparative Analysis of Selected New and Existing EU Member States1," Comparative Economic Studies, Palgrave Macmillan Journals, vol. 47(4), pages 652-674, December. [Downloadable!] (restricted)
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  1. Laure Latruffe & Jozsef Fogarasi, 2009. "Farm performance and support in Central and Western Europe: A comparison of Hungary and France," Working Papers SMART - LERECO 200907, INRA UMR SMART. [Downloadable!]
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