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Technical Efficiency in Agribusiness: A Meta‐Analysis on Ghana

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  • Justice G. Djokoto
  • Korbla F. Gidiglo

Abstract

ABSTRACT The few meta‐analyses published on efficiency in agriculture focused on traditional agriculture to the neglect of agribusiness. This article presents a meta‐analysis on agribusiness using Ghana as a case. Databases including AgEconsearch, Google scholar, EBSCOHost, EmeraldInsight, and Wiley online Library among others were searched in order to identify published studies relating to the subsectors of agribusiness. The selected loglog fractional regression model revealed that mean technical efficiency (MTE) increased over time with a mean value of 62%. MTEs of geographical sections of Ghana are also similar. Time series models possess higher MTE than panel data MTEs. In line with theory, models without functional forms and distance functions elicited higher MTE than Cobb–Douglas and translog functions. Nontraditional agricultural production showed higher MTE than traditional agriculture. MTEs in the production subsector do not differ from those in the manufacturing subsector. While this indifference suggests that value adding manufacturing subsector is as efficient as the primary production agriculture, and the increasing MTE notwithstanding, efficiency improving measures including training in farm management are required to make up for the mean difference of 38% found. [JEL Classification: Q13].

Suggested Citation

  • Justice G. Djokoto & Korbla F. Gidiglo, 2016. "Technical Efficiency in Agribusiness: A Meta‐Analysis on Ghana," Agribusiness, John Wiley & Sons, Ltd., vol. 32(3), pages 397-415, July.
    • Handle: RePEc:wly:agribz:v:32:y:2016:i:3:p:397-415
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    File URL: http://hdl.handle.net/10.1002/agr.21457
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    2. Daraio, Cinzia & Kerstens, Kristiaan & Nepomuceno, Thyago & Sickles, Robin C., 2019. "Empirical Surveys of Frontier Applications: A Meta-Review," Working Papers 19-005, Rice University, Department of Economics.
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    JEL classification:

    • Q13 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Markets and Marketing; Cooperatives; Agribusiness

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