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Estimating confidence intervals for technical efficiency: the case of private farms in slovenia

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  • Bernhard Brümmer

Abstract

This paper analyses the technical efficiency of private farms in Slovenia. Both parametric and non-parametric frontier techniques are employed. The results of the competing methods are compared, and variables that might determine the differences in efficiency are identified. Special attention is directed to the construction of confidence intervals for the individual efficiency estimates. For this purpose, distributional assumptions as well as bootstrapping methods are employed. The analysis reveals a significant degree of inefficiency. However, the confidence intervals suggest a more cautious interpretation of the efficiency scores. Copyright 2001, Oxford University Press.

Suggested Citation

  • Bernhard Brümmer, 2001. "Estimating confidence intervals for technical efficiency: the case of private farms in slovenia," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 28(3), pages 285-306, October.
    • Handle: RePEc:oup:erevae:v:28:y:2001:i:3:p:285-306
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    1. Breustedt, Gunnar & Latacz-Lohmann, Uwe & Tiedemann, Torben, 2011. "Organic or conventional? Optimal dairy farming technology under the EU milk quota system and organic subsidies," Food Policy, Elsevier, vol. 36(2), pages 223-229, April.
    2. Chand, Narendra & Kerr, Geoffrey N. & Bigsby, Hugh R., "undated". "Why some community forests are performing better than others: a case of forest user groups in Nepal," 2010 Conference, August 26-27, 2010, Nelson, New Zealand 96827, New Zealand Agricultural and Resource Economics Society.
    3. Puig-Junoy, Jaume & Argiles, Josep M., 2004. "The influence of management accounting use on farm inefficiency," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 5(2), pages 1-20, August.
    4. Hansson, Helena, 2007. "Strategy factors as drivers and restraints on dairy farm performance: Evidence from Sweden," Agricultural Systems, Elsevier, vol. 94(3), pages 726-737, June.
    5. Wang, Tung-Pao & Shyu, Stacy Huey-Pyng & Chou, Han-Chung, 2012. "The impact of defense expenditure on economic productivity in OECD countries," Economic Modelling, Elsevier, vol. 29(6), pages 2104-2114.
    6. Lien, Gudbrand D. & Kumbhakar, Subal C. & Hardaker, J. Brian, 2008. "Determinants Of Part-Time Farming And Its Effect On Farm Productivity And Efficiency," 107th Seminar, January 30-February 1, 2008, Sevilla, Spain 6701, European Association of Agricultural Economists.
    7. Chyan Yang & Tung-Pao Wang, 2016. "Productivity comparison of European airlines: bootstrapping Malmquist indices," Applied Economics, Taylor & Francis Journals, vol. 48(52), pages 5106-5116, November.
    8. Glynn T. Tonsor & Allen M. Featherstone, 2009. "Production Efficiency of Specialized Swine Producers," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 31(3), pages 493-510, September.
    9. Kelvin Balcombe & Sophia Davidova & Laure Latruffe, 2008. "The use of bootstrapped Malmquist indices to reassess productivity change findings: an application to a sample of Polish farms," Applied Economics, Taylor & Francis Journals, vol. 40(16), pages 2055-2061.
    10. Johannes Sauer & Klaus Frohberg & Henrich Hockmann, 2006. "Stochastic efficiency measurement: The curse of theoretical consistency," Journal of Applied Economics, Universidad del CEMA, vol. 9, pages 139-166, May.
    11. Giannis Karagiannis, 2005. "Explaining output growth with a heteroscedastic non-neutral production frontier: the case of sheep farms in Greece," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 32(1), pages 51-74, March.
    12. Kelvin Balcombe & Iain Fraser & Laure Latruffe & Mizanur Rahman & Laurence Smith, 2008. "An application of the DEA double bootstrap to examine sources of efficiency in Bangladesh rice farming," Applied Economics, Taylor & Francis Journals, vol. 40(15), pages 1919-1925.
    13. Stefan Bojnec & Laure Latruffe, 2009. "Determinants of technical efficiency of Slovenian farms," Post-Communist Economies, Taylor & Francis Journals, vol. 21(1), pages 117-124.
    14. Sophia Davidova & Laure Latruffe & Tomas Ratinger, 2005. "Performance of different institutional units in the Czech Republic and the role of external financing," Post-Print hal-02285613, HAL.
    15. Iraizoz, Belen & Rapun, Manuel & Zabaleta, Idoia, 2003. "Assessing the technical efficiency of horticultural production in Navarra, Spain," Agricultural Systems, Elsevier, vol. 78(3), pages 387-403, December.
    16. Fraser, Iain & Davis, Junior & Balcombe, Kelvin & Bezemer, Dirk, 2005. "Is Rural Income Diversity Pro-Growth? Is It Pro-Poor? Evidence from Georgia," Proceedings of the German Development Economics Conference, Kiel 2005 4, Verein für Socialpolitik, Research Committee Development Economics.
    17. Odeck, James, 2009. "Statistical precision of DEA and Malmquist indices: A bootstrap application to Norwegian grain producers," Omega, Elsevier, vol. 37(5), pages 1007-1017, October.
    18. Álvaro Ramírez Suárez, 2013. "Análisis de eficiencia económica de fincas arroceras: una aplicación de una función determinística de ingresos brutos frontera," Revista Lebret, Universidad Santo Tomás - Bucaramanga, vol. 5, pages 213-240, December.
    19. Latruffe, Laure & Balcombe, Kelvin George & Davidova, Sophia & Zawalinska, Katarzyna, 2003. "Technical Efficiency Of Polish Farms: Estimation According To Specialisation And Lessons From Confidence Intervals," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25894, International Association of Agricultural Economists.
    20. Kourtesi, Sofia & De Witte, Kristof & Polymeros, Apostolos, 2016. "Technical Efficiency in the Agricultural Sector - Evidence from a Conditional Quantile-Based Approach," Agricultural Economics Review, Greek Association of Agricultural Economists, vol. 17(2), June.
    21. Álvaro Ramírez Suárez, 2013. "Análisis de eficiencia económica de fincas arroceras: una aplicación de una función determinística de ingresos brutos frontera," Revista Lebret, Universidad Santo Tomás - Bucaramanga, vol. 5, pages 213-240, December.
    22. Tao Zhang, 2007. "Part-time farming: off-farm and on-farm household efficiency measurement of Ireland farm households," Working Papers 0705, Rural Economy and Development Programme,Teagasc.

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