Farm Heterogeneity and Efficiency in Polish Agriculture: A Stochastic Frontier Analysis
AbstractThis paper deals with the estimation of a random coefficient model. The virtue of this approach is that it considers firm heterogeneity, which conventional SFA models do not. Applying the model to Polish farms, the results indicate that the conventional random and fixed effect models overestimate the inefficiency score. In addition, the reasons for inefficiency are analysed. It is shown that despite the fragmentation of Polish agriculture, there is no evidence for scale inefficiency. Moreover, inefficiency could partly be attributed to factors that affect management input and requirements on farms.
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Bibliographic InfoPaper provided by European Association of Agricultural Economists in its series 2008 International Congress, August 26-29, 2008, Ghent, Belgium with number 44278.
Date of creation: 2008
Date of revision:
SFA; random component model; Poland; agriculture; management; Productivity Analysis;
Other versions of this item:
- Hockmann, Heinrich & Pieniadz, Agata, 2007. "Farm Heterogeneity and Efficiency in Polish Agriculture: A Stochastic Frontier Analysis," 104th Seminar, September 5-8, 2007, Budapest, Hungary 7823, European Association of Agricultural Economists.
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