IDEAS home Printed from https://ideas.repec.org/p/ags/aaae16/249280.html
   My bibliography  Save this paper

Understanding the Effect of Land Fragmentation on Farm Level Efficiency: An Application of Quantile Regression-Based Thick Frontier Approach to Maize Production in Kenya

Author

Listed:
  • Kiplimo, L.B.
  • Ngeno, V.

Abstract

Amidst declining agricultural productivity, farm level efficiency and persistent food security problems in Africa, land fragmentation is emerging as a key empirical and policy question in the region. In this paper, a novel approach is used to estimate the effects of land fragmentation. Quantile Regression-Based Thick Frontier (TFA) is applied to show how the overall change in landholding affects production efficiency in production. Applying cross-sectional survey data from Kenya, the results showed that the least efficient group of maize farmers in Kenya were those with the small average land holding attaining a maximum output of 70% of the actual attainable output. In terms of scale of production, the least efficient group fall short by 58% compared to their large scale peers. This approach is semi-parametric requiring few assumptions with simplified figures easy for policy communication.

Suggested Citation

  • Kiplimo, L.B. & Ngeno, V., 2016. "Understanding the Effect of Land Fragmentation on Farm Level Efficiency: An Application of Quantile Regression-Based Thick Frontier Approach to Maize Production in Kenya," 2016 Fifth International Conference, September 23-26, 2016, Addis Ababa, Ethiopia 249280, African Association of Agricultural Economists (AAAE).
    • Handle: RePEc:ags:aaae16:249280
    DOI: 10.22004/ag.econ.249280
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/249280/files/337.%20Land%20fragmentation%20in%20Kenya.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.249280?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Chunping Liu & Audrey Laporte & Brian S. Ferguson, 2008. "The quantile regression approach to efficiency measurement: insights from Monte Carlo simulations," Health Economics, John Wiley & Sons, Ltd., vol. 17(9), pages 1073-1087, September.
    2. Blarel, Benoit, et al, 1992. "The Economics of Farm Fragmentation: Evidence from Ghana and Rwanda," The World Bank Economic Review, World Bank, vol. 6(2), pages 233-254, May.
    3. Berger, Allen N. & Humphrey, David B., 1991. "The dominance of inefficiencies over scale and product mix economies in banking," Journal of Monetary Economics, Elsevier, vol. 28(1), pages 117-148, August.
    4. Philip J. Dawson & John Lingard & Christopher H. Woodford, 1991. "A Generalized Measure of Farm-Specific Technical Efficiency," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(4), pages 1098-1104.
    5. Jeffrey D. Michler & Gerald E. Shively, 2015. "Land Tenure, Tenure Security and Farm Efficiency: Panel Evidence from the Philippines," Journal of Agricultural Economics, Wiley Blackwell, vol. 66(1), pages 155-169, February.
    6. Sauer, J. & Davidova, S. & Gorton, M., 2013. "Land Fragmentation and Market Integration- Heterogenous Technologies in Kosovo," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 48, March.
    7. Kumbhakar,Subal C. & Wang,Hung-Jen & Horncastle,Alan P., 2015. "A Practitioner's Guide to Stochastic Frontier Analysis Using Stata," Cambridge Books, Cambridge University Press, number 9781107029514.
    8. Sauer, Johannes & Davidova, Sophia & Gorton, Matthew, 2012. "Land Fragmentation, Market Integration and Farm Efficiency: Empirical Evidence from Kosovo," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 123236, Agricultural and Applied Economics Association.
    9. Popp, J. & Lakner, Z. & Harangi-Rákos, M. & Fári, M., 2014. "The effect of bioenergy expansion: Food, energy, and environment," Renewable and Sustainable Energy Reviews, Elsevier, vol. 32(C), pages 559-578.
    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. Debonne, Niels & van Vliet, Jasper & Ramkat, Rose & Snelder, Denyse & Verburg, Peter, 2021. "Farm scale as a driver of agricultural development in the Kenyan Rift Valley," Agricultural Systems, Elsevier, vol. 186(C).

    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. Shi, X. & Zhou, Y. & Heerink, N. & Ma, X., 2018. "The effect of land tenure governance on grain efficiency: Evidence from three provinces in eastern China," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 277477, International Association of Agricultural Economists.
    2. Subal C. Kumbhakar & Christopher F. Parmeter & Valentin Zelenyuk, 2022. "Stochastic Frontier Analysis: Foundations and Advances I," Springer Books, in: Subhash C. Ray & Robert G. Chambers & Subal C. Kumbhakar (ed.), Handbook of Production Economics, chapter 8, pages 331-370, Springer.
    3. Tesfaye C. Cholo & Jack Peerlings & Luuk Fleskens, 2020. "Land Fragmentation, Technical Efficiency, and Adaptation to Climate Change by Farmers in the Gamo Highlands of Ethiopia," Sustainability, MDPI, vol. 12(24), pages 1-15, December.
    4. Mototsugu Fukushige & Yingxin Shi, 2022. "Quantile regression approach for measuring production inefficiency with empirical application to the primary production sector for the Xinjiang Production and Construction Corps in China," Asia-Pacific Journal of Regional Science, Springer, vol. 6(2), pages 777-805, June.
    5. Juan Cabas Monje & Bouali Guesmi & Amer Ait Sidhoum & José María Gil, 2023. "Measuring technical efficiency of Spanish pig farming: Quantile stochastic frontier approach," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 67(4), pages 688-703, October.
    6. Yakubu Abdul-Salam & Euan Phimister, 2017. "Efficiency Effects of Access to Information on Small-scale Agriculture: Empirical Evidence from Uganda using Stochastic Frontier and IRT Models," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(2), pages 494-517, June.
    7. Hou, Xiaohui & Li, Shuo & Guo, Pin & Wang, Qing, 2018. "The cost effects of shadow banking activities and political intervention: Evidence from the banking sector in China," International Review of Economics & Finance, Elsevier, vol. 57(C), pages 307-318.
    8. Andriakopoulos, Konstantinos & Ladas, Augoustinos & Andriakopoulos, Panagiotis, 2020. "Bank efficiency and leasing in U.S.A. banking system," MPRA Paper 112645, University Library of Munich, Germany.
    9. Berger, Allen N. & Hasan, Iftekhar & Zhou, Mingming, 2010. "The effects of focus versus diversification on bank performance: Evidence from Chinese banks," Journal of Banking & Finance, Elsevier, vol. 34(7), pages 1417-1435, July.
    10. Rodriguez-Alvarez, Ana & Llorca, Manuel & Jamasb, Tooraj, 2021. "Alleviating energy poverty in Europe: Front-runners and laggards," Energy Economics, Elsevier, vol. 103(C).
    11. Anne Musson & Damien Rousselière, 2020. "Exploring the effect of crisis on cooperatives: a Bayesian performance analysis of French craftsmen cooperatives," Applied Economics, Taylor & Francis Journals, vol. 52(25), pages 2657-2678, May.
    12. Santiago Carbó Valverde & David Humphrey & Rafael López del Paso, 2007. "Opening the black box: Finding the source of cost inefficiency," Journal of Productivity Analysis, Springer, vol. 27(3), pages 209-220, June.
    13. J. David Cummins & Mary A. Weiss & Hongmin Zi, 1998. "Organizational Form and Efficiency: An Analysis of Stock and Mutual Property-Liability Insurers," Center for Financial Institutions Working Papers 97-02, Wharton School Center for Financial Institutions, University of Pennsylvania.
    14. Markose Chekol Zewdie & Michele Moretti & Daregot Berihun Tenessa & Zemen Ayalew Ayele & Jan Nyssen & Enyew Adgo Tsegaye & Amare Sewnet Minale & Steven Van Passel, 2021. "Agricultural Technical Efficiency of Smallholder Farmers in Ethiopia: A Stochastic Frontier Approach," Land, MDPI, vol. 10(3), pages 1-17, March.
    15. Allen Berger & Robert DeYoung, 2001. "The Effects of Geographic Expansion on Bank Efficiency," Journal of Financial Services Research, Springer;Western Finance Association, vol. 19(2), pages 163-184, April.
    16. Stephen M. Miller & Terrence M. Clauretie & Thomas M. Springer, 2006. "Economies Of Scale And Cost Efficiencies: A Panel‐Data Stochastic‐Frontier Analysis Of Real Estate Investment Trusts," Manchester School, University of Manchester, vol. 74(4), pages 483-499, July.
    17. Andrea Orame, 2020. "The role of bank supply in the Italian credit market: evidence from a new regional survey," Temi di discussione (Economic working papers) 1279, Bank of Italy, Economic Research and International Relations Area.
    18. Necmi Avkiran, 2000. "Rising productivity of Australian trading banks under deregulation 1986–1995," Journal of Economics and Finance, Springer;Academy of Economics and Finance, vol. 24(2), pages 122-140, June.
    19. Latruffe, Laure & Piet, Laurent, 2013. "Does land fragmentation affect farm performance? A case study from Brittany," Factor Markets Working Papers 151, Centre for European Policy Studies.
    20. Williams, Jonathan, 2004. "Determining management behaviour in European banking," Journal of Banking & Finance, Elsevier, vol. 28(10), pages 2427-2460, October.

    More about this item

    Keywords

    Crop Production/Industries; Land Economics/Use;

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:ags:aaae16:249280. 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: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/aaaeaea.html .

    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.