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On Estimating Allocative Efficiency In Cross-Sectional Analysis Of Production

Author

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  • Anderson, Jock R.
  • Dillon, John L.

Abstract

In a recent reappraisal of evidence adduced for allocative efficiency in traditional agriculture, Dillon and Anderson employed a method based on a combination of traditional economic aspects and statistical aspects of estimated production functions. However, their reappraisal involved using marginal rather than the (appropriate) joint distributions of the regression coefficients. This paper investigates the error associated with using the inappropriate marginal distribution in a reassessment of allocative efficiency in wool growing in the Australian pastoral zone.

Suggested Citation

  • Anderson, Jock R. & Dillon, John L., 1971. "On Estimating Allocative Efficiency In Cross-Sectional Analysis Of Production," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 15(03), December.
  • Handle: RePEc:ags:ajaeau:22983
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    References listed on IDEAS

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    1. John L. Dillon & J. R. Anderson, 1971. "Allocative Efficiency, Traditional Agriculture, and Risk," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 53(1), pages 26-32.
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    Cited by:

    1. Ryan, James G., 1973. "Some Implications of Rice Price and Policy Changes for Irrigated Farms," Review of Marketing and Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 41, September.

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    Keywords

    Production Economics;

    Statistics

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