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Eficiencia técnica en la producción de café en Nicaragua: Un análisis de fronteras estocásticas
[Technical efficiency in coffee production: a stochastic frontier analysis for Nicaragua]

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  • Urbina, Jilber

Abstract

This article analyses the technical efficiency of coffee production in Nicaragua. We apply a stochastic frontier model to estimate the technical efficiency which reaches 60%; this means that Nicaraguan coffee producers have chances to improve the way they get things done. This level of efficiency prevents Nicaragua from capturing 340 million dollars for coffee exports. At the end of 2015, revenues from coffee exports represented 3.09 percent of gross domestic product (GDP), if 100 percent productive efficiency had been achieved, the relative importance of this item would have represented 5.77 percent of GDP. A counterfactual analysis shows the gains that would be derived from achieving technical efficiency.

Suggested Citation

  • Urbina, Jilber, 2017. "Eficiencia técnica en la producción de café en Nicaragua: Un análisis de fronteras estocásticas [Technical efficiency in coffee production: a stochastic frontier analysis for Nicaragua]," MPRA Paper 82690, University Library of Munich, Germany, revised Sep 2017.
    • Handle: RePEc:pra:mprapa:82690
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    File URL: https://mpra.ub.uni-muenchen.de/82690/1/MPRA_paper_82690.pdf
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    References listed on IDEAS

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    3. Joachim Binam & Kalilou Sylla & Ibrahim Diarra & Gwendoline Nyambi, 2003. "Factors Affecting Technical Efficiency among Coffee Farmers in Côte d’Ivoire: Evidence from the Centre West Region," African Development Review, African Development Bank, vol. 15(1), pages 66-76.
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    5. Abdulai, Awudu & Eberlin, Richard, 2001. "Technical efficiency during economic reform in Nicaragua: evidence from farm household survey data," Economic Systems, Elsevier, vol. 25(2), pages 113-125, June.
    6. Coelli, Tim & Fleming, Euan, 2004. "Diversification economies and specialisation efficiencies in a mixed food and coffee smallholder farming system in Papua New Guinea," Agricultural Economics, Blackwell, vol. 31(2-3), pages 229-239, December.
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    More about this item

    Keywords

    technical efficiency; coffee; stochastic frontier model; Nicaragua;
    All these keywords.

    JEL classification:

    • C12 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Hypothesis Testing: General
    • C13 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Estimation: General
    • C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models; Threshold Regression Models
    • C87 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Econometric Software
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity
    • Q00 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - General
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

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