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Do Field Crop Farms and Mixed Farms of Old and New EU Members Improve Productivity at the Same Rate? A Regional Level Approach

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  • Blasejczyk-Majka, Lucyna
  • Kala, Radoslaw
  • Maciejewski, Krzysztof
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    Abstract

    data contained in the Farm Accounting Data Network (FADN). Analyses covered the first four years following the extension of the European Union in 2004. The adopted units comprised average farms representing 80 regions belonging to eleven countries of EU-15 and four new EU member states. Estimation of the Malmquist total factor productivity (TFP) and its components was conducted using data envelopment analysis, separately for each of the two types of farms taking into consideration their economic size. The main findings concerning the pure technical efficiency change indicate that in the units from the old regions there was a slight improvement for field crop farms and stagnation for mixed farms, and a decrease in the units from the new regions, being bigger for mixed farms and smaller for field crop farms. The biggest effect was observed for the technical change index, with a bigger increase for crop farms from old regions than those from the new member states. The estimated Malmquist index confirms a conjecture that the more specialized farms more effectively improve overall productivity than mixed farms, where modernization efforts are more scattered. At the same time the average growth rate of TFP in crop farms from the EU-15 regions in the analyzed period was much faster that in analogous farms from the new regions. For mixed farms the difference in the rate of change was similar, but at a much lower level.

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    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland with number 114254.

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    Date of creation: 2011
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    Handle: RePEc:ags:eaae11:114254

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    Related research

    Keywords: data envelopment analysis; technical efficiency change; scale efficiency change; Malmquist index; Crop Production/Industries; Productivity Analysis;

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    1. Finn Førsund & Nikias Sarafoglou, 2002. "On the Origins of Data Envelopment Analysis," Journal of Productivity Analysis, Springer, vol. 17(1), pages 23-40, January.
    2. Gorton, Matthew & Davidova, Sophia, 2004. "Farm productivity and efficiency in the CEE applicant countries: a synthesis of results," Agricultural Economics, Blackwell, vol. 30(1), pages 1-16, January.
    3. Afriat, Sidney N, 1972. "Efficiency Estimation of Production Function," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 13(3), pages 568-98, October.
    4. 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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