Technical efficiency of organic milk-farms in Germany - the role of subsidies and of regional factors
AbstractThis paper investigates the efficiency of organic milk farms in Germany based on data from 1994/95 to 2005/06. Five inputs and one output are analyzed by means of a stochastic frontier production function, allowing for heteroscedasticity and technical effects. The selection of determinants of technical efficiency includes 5 groups of indicators. The analysis is focused on the impacts of farm support of organic farms and of regional factors, that can influence technical efficiency. The results show, that the agri-environmental payments show a negative effect on efficiency. Farms, which receive investment aid, show lower efficiency scores. Finally, the implication for agricultural policy are discussed.
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Bibliographic InfoPaper provided by International Association of Agricultural Economists in its series 2009 Conference, August 16-22, 2009, Beijing, China with number 51301.
Date of creation: Aug 2009
Date of revision:
Efficiency Analysis; Organic Farming; Agglomerations Effects; Subsidies; Agricultural and Food Policy; Production Economics; Productivity Analysis; Q12; Q18; D24;
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
- Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy
- D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
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