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A metafrontier directional distance function approach to assessing eco-efficiency

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  • Mercedes Beltrán-Esteve
  • José Gómez-Limón
  • Andrés Picazo-Tadeo
  • Ernest Reig-Martínez

Abstract

This paper uses directional distance functions to extend the non-parametric metafrontier approach to efficiency measurement proposed by O’Donnell et al. (Empir Econ 34:231–255, 2008 ) to the assessment of technological differences in eco-efficiency between groups of producers. Furthermore, eco-efficiency is assessed at the level of specific environmental pressure management. This methodology is applied to a sample of Spanish olive producers that belong to both traditional mountain and traditional plain growing systems. We find great potential for both olive growing systems to reduce environmental pressures. In terms of pressures on natural resources, the most eco-efficient technology is the traditional plain system, while the traditional mountain system is the most eco-efficient when considering pressures on biodiversity. These results might help policymakers design strategies to improve the performance of olive growing and meet the demands of society regarding the economic and ecological functions of this farming activity. Copyright Springer Science+Business Media New York 2014

Suggested Citation

  • Mercedes Beltrán-Esteve & José Gómez-Limón & Andrés Picazo-Tadeo & Ernest Reig-Martínez, 2014. "A metafrontier directional distance function approach to assessing eco-efficiency," Journal of Productivity Analysis, Springer, vol. 41(1), pages 69-83, February.
  • Handle: RePEc:kap:jproda:v:41:y:2014:i:1:p:69-83
    DOI: 10.1007/s11123-012-0334-7
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    More about this item

    Keywords

    Agro-environmental policy; Data envelopment analysis; Directional distance functions; Economic-ecological efficiency; Metafrontier; Olive farming; Spain; C61; Q12; Q57; Q58;
    All these keywords.

    JEL classification:

    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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