IDEAS home Printed from https://ideas.repec.org/a/cup/agrerw/v41y2012i03p298-312_00.html
   My bibliography  Save this article

Labor Productivity Growth in the Kansas Farm Sector: A Tripartite Decomposition Using a Non-Parametric Approach

Author

Listed:
  • Mugera, Amin W.
  • Langemeier, Michael R.
  • Featherstone, Allen M.

Abstract

We use nonparametric production function methods to decompose farm-level labor productivity growth into components attributable to efficiency change, technical change, and factor intensity. The estimation is accomplished using balanced panel data drawn from the Kansas Farm Management Association for the period 1993 to 2007. We find that labor productivity growth is primarily driven by factor intensity and technical change. Efficiency change is declining with increasing productivity growth, and technical change is not Hicks-neutral and occurs at high levels of factor intensity, suggesting that innovation is embodied in factor intensity.

Suggested Citation

  • Mugera, Amin W. & Langemeier, Michael R. & Featherstone, Allen M., 2012. "Labor Productivity Growth in the Kansas Farm Sector: A Tripartite Decomposition Using a Non-Parametric Approach," Agricultural and Resource Economics Review, Cambridge University Press, vol. 41(3), pages 298-312, December.
    • Handle: RePEc:cup:agrerw:v:41:y:2012:i:03:p:298-312_00
    as

    Download full text from publisher

    File URL: https://www.cambridge.org/core/product/identifier/S1068280500001271/type/journal_article
    File Function: link to article abstract page
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Alfons Weersink & Loren W. Tauer, 1991. "Causality between Dairy Farm Size and Productivity," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(4), pages 1138-1145.
    2. Craig S. Hakkio, 2008. "PCE and CPI inflation differentials: converting inflation forecasts," Economic Review, Federal Reserve Bank of Kansas City, vol. 93(Q I), pages 51-68.
    3. Serra, Teresa & Zilberman, David & Gil, Jose Maria, 2008. "Farms' technical inefficiencies in the presence of government programs," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 52(01), pages 1-20.
    4. Boris Bravo-Ureta & Daniel Solís & Víctor Moreira López & José Maripani & Abdourahmane Thiam & Teodoro Rivas, 2007. "Technical efficiency in farming: a meta-regression analysis," Journal of Productivity Analysis, Springer, vol. 27(1), pages 57-72, February.
    5. Léopold Simar & Paul W. Wilson, 1998. "Sensitivity Analysis of Efficiency Scores: How to Bootstrap in Nonparametric Frontier Models," Management Science, INFORMS, vol. 44(1), pages 49-61, January.
    6. Caves, Douglas W & Christensen, Laurits R & Diewert, W Erwin, 1982. "The Economic Theory of Index Numbers and the Measurement of Input, Output, and Productivity," Econometrica, Econometric Society, vol. 50(6), pages 1393-1414, November.
    7. Nigel Key & William McBride, 2003. "Production Contracts and Productivity in the U.S. Hog Sector," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 121-133.
    8. V. Eldon Ball & Charles Hallahan & Richard Nehring, 2004. "Convergence of Productivity: An Analysis of the Catch-up Hypothesis within a Panel of States," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(5), pages 1315-1321.
    9. Fuglie, Keith O. & MacDonald, James C. & Ball, V. Eldon, 2007. "Productivity Growth in U.S. Agriculture," Economic Brief 6382, United States Department of Agriculture, Economic Research Service.
    10. Ma Jesús Delgado‐Rodríguez & Inmaculada Álvarez‐Ayuso, 2008. "Economic Growth and Convergence of EU Member States: An Empirical Investigation," Review of Development Economics, Wiley Blackwell, vol. 12(3), pages 486-497, August.
    11. Daniel J. Henderson & Valentin Zelenyuk, 2007. "Testing for (Efficiency) Catching-up," Southern Economic Journal, Southern Economic Association, vol. 73(4), pages 1003-1019, April.
    12. Weber, William L. & Domazlicky, Bruce R., 2006. "Capital Deepening and Manufacturing's Contribution to Regional Economic Convergence," Journal of Regional Analysis and Policy, Mid-Continent Regional Science Association, vol. 36(01), pages 1-14.
    13. Wallace E. Huffman & Robert E. Evenson, 1992. "Contributions of Public and Private Science and Technology to U.S. Agricultural Productivity," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(3), pages 751-756.
    14. Teresa Serra & David Zilberman & Barry K. Goodwin & Allen Featherstone, 2006. "Effects of decoupling on the mean and variability of output," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 33(3), pages 269-288, September.
    15. Daniel J. Henderson & Valentin Zelenyuk, 2007. "Testing for (Efficiency) Catching-up," Southern Economic Journal, John Wiley & Sons, vol. 73(4), pages 1003-1019, April.
    16. Seaver, Bill L & Triantis, Konstantinos P, 1989. "The Implications of Using Messy Data to Estimate Production-Frontier-Based Technical Efficiency Measures," Journal of Business & Economic Statistics, American Statistical Association, vol. 7(1), pages 49-59, January.
    17. Teresa Serra & Barry K. Goodwin & Allen M. Featherstone, 2005. "Agricultural Policy Reform and Off‐farm Labour Decisions," Journal of Agricultural Economics, Wiley Blackwell, vol. 56(2), pages 271-285, July.
    18. Albert K. A. Acquaye & Julian M. Alston & Philip G. Pardey, 2003. "Post-War Productivity Patterns in U.S. Agriculture: Influences of Aggregation Procedures in a State-Level Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 59-80.
    19. Shunsuke Managi & David Karemera, 2004. "Input and output biased technological change in US agriculture," Applied Economics Letters, Taylor & Francis Journals, vol. 11(5), pages 283-286.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Amin W. Mugera & Michael R. Langemeier & Andrew Ojede, 2016. "Contributions of Productivity and Relative Price Changes to Farm-level Profitability Change," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 98(4), pages 1210-1229.
    2. Baležentis, Tomas & Li, Tianxiang & Chen, Xueli, 2021. "Has agricultural labor restructuring improved agricultural labor productivity in China? A decomposition approach," Socio-Economic Planning Sciences, Elsevier, vol. 76(C).
    3. Tomas Baležentis, 2014. "Total factor productivity in the Lithuanian family farms after accession to the EU: application of the bias-corrected Malmquist indices," Empirica, Springer;Austrian Institute for Economic Research;Austrian Economic Association, vol. 41(4), pages 731-746, November.
    4. Giannakis, Elias & Bruggeman, Adriana, 2018. "Exploring the labour productivity of agricultural systems across European regions: A multilevel approach," Land Use Policy, Elsevier, vol. 77(C), pages 94-106.
    5. Franck Essosinam KARABOU & Komlan Ametowoyo ADEVE, 2018. "ICT and Economic Growth in WAEMU: An Analysis of Labor Productivity," Economics and Applied Informatics, "Dunarea de Jos" University of Galati, Faculty of Economics and Business Administration, issue 2, pages 12-20.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Mugera, Amin W. & Langemeier, Michael R., 2008. "Labor Productivity Growth And Convergence In The Kansas Farm Sector: A Tripartite Decomposition Using The Dea Approach," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6069, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Amin Mugera & Michael Langemeier & Allen Featherstone, 2012. "Labor productivity convergence in the Kansas farm sector: a three-stage procedure using data envelopment analysis and semiparametric regression analysis," Journal of Productivity Analysis, Springer, vol. 38(1), pages 63-79, August.
    3. Mugera, Amin W. & Langemeier, Michael R., 2011. "Does Farm Size and Specialization Matter for Productive Efficiency? Results from Kansas," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 43(4), pages 515-528, November.
    4. Yucan Liu & C. Richard Shumway & Robert Rosenman & Virgil Eldon Ball, 2011. "Productivity growth and convergence in US agriculture: new cointegration panel data results," Applied Economics, Taylor & Francis Journals, vol. 43(1), pages 91-102.
    5. Yeager, Elizabeth A. & Langemeier, Michael R., 2011. "Productivity Divergence across Kansas Farms," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 40(2), pages 1-11, August.
    6. Eric Njuki & Boris E Bravo-Ureta & Christopher J O’Donnell, 2018. "A new look at the decomposition of agricultural productivity growth incorporating weather effects," PLOS ONE, Public Library of Science, vol. 13(2), pages 1-21, February.
    7. Eric Njuki & Boris E. Bravo-Ureta & Christopher J. O’Donnell, 2019. "Decomposing agricultural productivity growth using a random-parameters stochastic production frontier," Empirical Economics, Springer, vol. 57(3), pages 839-860, September.
    8. Zhu, Xueqin & Milán Demeter, Róbert, 2012. "Technical efficiency and productivity differentials of dairy farms in three EU countries: the role of CAP subsidies," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 13(01), pages 1-27.
    9. Kerstin Enflo & Per Hjertstrand, 2009. "Relative Sources of European Regional Productivity Convergence: A Bootstrap Frontier Approach," Regional Studies, Taylor & Francis Journals, vol. 43(5), pages 643-659.
    10. Oleg Badunenko & Daniel Henderson & Romain Houssa, 2014. "Significant drivers of growth in Africa," Journal of Productivity Analysis, Springer, vol. 42(3), pages 339-354, December.
    11. Fadzlan Sufian & Fakarudin Kamarudin, 2014. "The impact of ownership structure on bank productivity and efficiency: Evidence from semi-parametric Malmquist Productivity Index," Cogent Economics & Finance, Taylor & Francis Journals, vol. 2(1), pages 1-27, December.
    12. Alessandra Cepparulo & Gilles Mourre, 2020. "How and How Much? The Growth-Friendliness of Public Spending through the Lens," European Economy - Discussion Papers 132, Directorate General Economic and Financial Affairs (DG ECFIN), European Commission.
    13. Isabel-María García-Sánchez & Luis Rodríguez-Domínguez & Javier Parra-Domínguez, 2013. "Yearly evolution of police efficiency in Spain and explanatory factors," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 21(1), pages 31-62, January.
    14. Torbjørn, Hanson, 2012. "Efficiency and Productivity in the Operational Units of the Armed Forces," Memorandum 07/2012, Oslo University, Department of Economics.
    15. Zhao, Xiaoli & Ma, Chunbo, 2013. "Deregulation, vertical unbundling and the performance of China's large coal-fired power plants," Energy Economics, Elsevier, vol. 40(C), pages 474-483.
    16. Gary Koop & Lise Tole, 2008. "What is the environmental performance of firms overseas? An empirical investigation of the global gold mining industry," Journal of Productivity Analysis, Springer, vol. 30(2), pages 129-143, October.
    17. repec:agr:journl:v:4(621):y:2019:i:4(621):p:241-264 is not listed on IDEAS
    18. Minviel, Jean Joseph & De Witte, Kristof, 2017. "The influence of public subsidies on farm technical efficiency: A robust conditional nonparametric approach," European Journal of Operational Research, Elsevier, vol. 259(3), pages 1112-1120.
    19. A. Camanho & R. Dyson, 2006. "Data envelopment analysis and Malmquist indices for measuring group performance," Journal of Productivity Analysis, Springer, vol. 26(1), pages 35-49, August.
    20. Latruffe, Laure & Bravo-Ureta, Boris E. & Moreira, Victor H. & Desjeux, Yann & Dupraz, Pierre, 2011. "Productivity and Subsidies in European Union Countries: An Analysis for Dairy Farms Using Input Distance Frontiers," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114396, European Association of Agricultural Economists.
    21. Alejandro Plastina & Lilyan Fulginiti, 2012. "Rates of return to public agricultural research in 48 US states," Journal of Productivity Analysis, Springer, vol. 37(2), pages 95-113, April.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cup:agrerw:v:41:y:2012:i:03:p:298-312_00. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kirk Stebbing (email available below). General contact details of provider: https://www.cambridge.org/age .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.