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Multi-directional productivity change: MEA-Malmquist

Author

Listed:
  • Mette Asmild

    (IFRO, University of Copenhagen)

  • Tomas Baležentis

    (Lithuanian Institute of Agrarian Economics)

  • Jens Leth Hougaard

    (IFRO, University of Copenhagen
    Lithuanian Institute of Agrarian Economics)

Abstract

In this paper we introduce an extension of the Malmquist total factor productivity index, which utilizes the Multi-directional Efficiency Analysis approach. This enables variable-specific analysis of productivity change as well as its components (efficiency change and technical change). The new approach is illustrated and compared to the conventional Data Envelopment Analysis Malmquist approach by considering a empirical data set on Lithuanian family farms. The results highlight that important differences in variable-specific performance of the farms can be hidden when using the conventional (radial) Data Envelopment Analysis-based Malmquist index.

Suggested Citation

  • Mette Asmild & Tomas Baležentis & Jens Leth Hougaard, 2016. "Multi-directional productivity change: MEA-Malmquist," Journal of Productivity Analysis, Springer, vol. 46(2), pages 109-119, December.
  • Handle: RePEc:kap:jproda:v:46:y:2016:i:2:d:10.1007_s11123-016-0486-y
    DOI: 10.1007/s11123-016-0486-y
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    Cited by:

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    2. Manevska-Tasevska, Gordana & Hansson, Helena & Asmild, Mette & Surry, Yves, 2018. "Assessing the regional efficiency of Swedish agriculture under the CAP ‒ a multidirectional efficiency approach," 162nd Seminar, April 26-27, 2018, Budapest, Hungary 271971, European Association of Agricultural Economists.
    3. Rongrong Xu & Yongxiang Wu & Ming Chen & Xuan Zhang & Wei Wu & Long Tan & Gaoxu Wang & Yi Xu & Bing Yan & Yuedong Xia, 2019. "Calculation of the contribution rate of China’s hydraulic science and technology based on a feedforward neural network," PLOS ONE, Public Library of Science, vol. 14(9), pages 1-22, September.
    4. Tziogkidis, Panagiotis & Philippas, Dionisis & Tsionas, Mike G., 2020. "Multidirectional conditional convergence in European banking," Journal of Economic Behavior & Organization, Elsevier, vol. 173(C), pages 88-106.
    5. Binlei Gong & Robin C. Sickles, 2020. "Non-structural and structural models in productivity analysis: study of the British Isles during the 2007–2009 financial crisis," Journal of Productivity Analysis, Springer, vol. 53(2), pages 243-263, April.
    6. Manevska-Tasevska, Gordana & Hansson, Helena & Asmild, Mette & Surry, Yves, 2021. "Exploring the regional efficiency of the Swedish agricultural sector during the CAP reforms ‒ multi-directional efficiency analysis approach," Land Use Policy, Elsevier, vol. 100(C).

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    More about this item

    Keywords

    Total factor productivity; Malmquist TFP index; Multi-directional efficiency analysis; Agricultural efficiency;
    All these keywords.

    JEL classification:

    • C43 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Index Numbers and Aggregation
    • C44 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Operations Research; Statistical Decision Theory
    • C61 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Optimization Techniques; Programming Models; Dynamic Analysis
    • Q10 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - General
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

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