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Latent Class Modelling for a Robust Assessment of Productivity: Application to French Grazing Livestock Farms

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  • K Hervé Dakpo
  • Laure Latruffe
  • Yann Desjeux
  • Philippe Jeanneaux

Abstract

Our objective is to extend the latent class stochastic frontier (LCSFM) model to compute productivity change, using the robust transitive productivity Färe‐Primont index. The application is to three types of grazing livestock farms in France over the period 2002–2016. The LCSFM identified two classes of farms, intensive farms and extensive farms. Results indicate that productivity change and its components show only small differences between the LCSFM and the pooled model that does not account for heterogeneity. Differences across classes exist, but depend on farm type.

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  • K Hervé Dakpo & Laure Latruffe & Yann Desjeux & Philippe Jeanneaux, 2021. "Latent Class Modelling for a Robust Assessment of Productivity: Application to French Grazing Livestock Farms," Journal of Agricultural Economics, Wiley Blackwell, vol. 72(3), pages 760-781, September.
  • Handle: RePEc:bla:jageco:v:72:y:2021:i:3:p:760-781
    DOI: 10.1111/1477-9552.12422
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    1. Amer Ait Sidhoum & K Hervé Dakpo & Laure Latruffe, 2022. "Trade-offs between economic, environmental and social sustainability on farms using a latent class frontier efficiency model: Evidence for Spanish crop farms," PLOS ONE, Public Library of Science, vol. 17(1), pages 1-17, January.
    2. Andrew P. Barnes, 2023. "The role of family life‐cycle events on persistent and transient inefficiencies in less favoured areas," Journal of Agricultural Economics, Wiley Blackwell, vol. 74(1), pages 295-315, February.
    3. K Hervé Dakpo & Laure Latruffe & Yann Desjeux & Philippe Jeanneaux, 2022. "Modeling heterogeneous technologies in the presence of sample selection: The case of dairy farms and the adoption of agri‐environmental schemes in France," Agricultural Economics, International Association of Agricultural Economists, vol. 53(3), pages 422-438, May.
    4. Laure Latruffe & Andreas Niedermayr & Yann Desjeux & K Herve Dakpo & Kassoum Ayouba & Lena Schaller & Jochen Kantelhardt & Yan Jin & Kevin Kilcline & Mary Ryan & Cathal O’Donoghue, 2023. "Identifying and assessing intensive and extensive technologies in European dairy farming," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 50(4), pages 1482-1519.
    5. Stefan Wimmer & K Hervé Dakpo, 2023. "Components of agricultural productivity change: Replication of US evidence and extension to the EU," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 45(3), pages 1332-1355, September.
    6. Barnes, Andrew P. & Bevan, Kev & Moxey, Andrew & Grierson, Sascha & Toma, Luiza, 2023. "Identifying best practice in Less Favoured Area mixed livestock systems," Agricultural Systems, Elsevier, vol. 208(C).

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