Comparing productivity growth in conventional and grassland dairy farms
AbstractThis paper analyzes technical efficiency and productivity growth of dairy farms in southern Germany. We compare the performance of farms operating on permanent grassland and conventional farms using fodder crops from arable land. Using a latent class stochastic frontier model, intensive and extensive production systems are identified for both types of farms. We estimate stochastic output distance functions to represent the production technology. TFP change is calculated and decomposed using a generalized Malmquist productivity index. Our results show that grassland farms can in general keep up with conventional farms. The productivity on intensive (extensive) grassland dairy farms grew by 1.15% (0.93%) per year, compared to 1.19% (intensive) and 1.0% (extensive) on conventional farms.
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Bibliographic InfoPaper provided by European Association of Agricultural Economists in its series 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland with number 114763.
Date of creation: 02 Sep 2011
Date of revision:
productivity; dairy farming; stochastic frontier analysis; Livestock Production/Industries; Productivity Analysis;
This paper has been announced in the following NEP Reports:
- NEP-AGR-2011-10-15 (Agricultural Economics)
- NEP-ALL-2011-10-15 (All new papers)
- NEP-EFF-2011-10-15 (Efficiency & Productivity)
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