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Evaluation And Policy Analysis Of Japanese Forestry

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  • Managi, Shunsuke

Abstract

This study evaluates efficiency of forest management in Japan. Our results show that efficiency of forest management decreases over 25 years period from 1975-2000 on average. The study indicates a substantial variation in efficiency across prefectures with a potential for output saving in the range of forty percent on average. Our econometric results seem to support the hypothesis that government subsidies had an adverse effect on economic performance of forestry sector. More subsidized prefectures were found to exhibit statistically significantly lower levels of efficiency.

Suggested Citation

  • Managi, Shunsuke, 2005. "Evaluation And Policy Analysis Of Japanese Forestry," 2005 Annual meeting, July 24-27, Providence, RI 19358, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  • Handle: RePEc:ags:aaea05:19358
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    References listed on IDEAS

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    1. Bogetoft, Peter & Strange, Niels & Thorsen, Bo Jellesmark, 2001. "Efficiency and Merger Gains in The Danish Forestry Extension Service," Unit of Economics Working papers 24210, Royal Veterinary and Agricultural University, Food and Resource Economic Institute.
    2. Sedjo, Roger, 1997. "The Forest Sector: Important Innovations," Discussion Papers dp-97-42, Resources For the Future.
    3. Jiro Nemoto & Mika Goto, 2003. "Measurement of Dynamic Efficiency in Production: An Application of Data Envelopment Analysis to Japanese Electric Utilities," Journal of Productivity Analysis, Springer, vol. 19(2), pages 191-210, April.
    4. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    5. Caves, Douglas W & Christensen, Laurits R & Diewert, W Erwin, 1982. "Multilateral Comparisons of Output, Input, and Productivity Using Superlative Index Numbers," Economic Journal, Royal Economic Society, vol. 92(365), pages 73-86, March.
    6. Kao, Chiang & Chi Yang, Yong, 1992. "Reorganization of forest districts via efficiency measurement," European Journal of Operational Research, Elsevier, vol. 58(3), pages 356-362, May.
    7. Caves, Douglas W & Christensen, Laurits R & Diewert, W Erwin, 1982. "The Economic Theory of Index Numbers and the Measurement of Input, Output, and Productivity," Econometrica, Econometric Society, vol. 50(6), pages 1393-1414, November.
    8. Fare, Rolf & Shawna Grosskopf & Mary Norris & Zhongyang Zhang, 1994. "Productivity Growth, Technical Progress, and Efficiency Change in Industrialized Countries," American Economic Review, American Economic Association, vol. 84(1), pages 66-83, March.
    9. Peter Kennedy, 2003. "A Guide to Econometrics, 5th Edition," MIT Press Books, The MIT Press, edition 5, volume 1, number 026261183x, January.
    10. Ian Noble & R. J. Scholes, 2001. "Sinks and the Kyoto Protocol," Climate Policy, Taylor & Francis Journals, vol. 1(1), pages 5-25, March.
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    Cited by:

    1. Koski, Heli & Pajarinen, Mika, 2013. "Subsidies, Shadow of Death and Productivity," ETLA Working Papers 16, The Research Institute of the Finnish Economy.
    2. Heli Koski & Mika Pajarinen, 2015. "Subsidies, the Shadow of Death and Labor Productivity," Journal of Industry, Competition and Trade, Springer, vol. 15(2), pages 189-204, June.
    3. Managi, Shunsuke & Hibiki, Akira & Shimane, Tetsuya, 2014. "Efficiency or technology adoption: A case study in waste-treatment technology," Resource and Energy Economics, Elsevier, vol. 36(2), pages 586-600.
    4. Richard Harris & Shengyu Li, 2016. "Government Assistance and Total Factor Productivity: Firm-level Evidence from China, 1998-2007," CEGAP Working Papers 2016_04, Durham University Business School.
    5. Ang, Frederic & Kerstens, Pieter Jan, 2017. "Decomposing the Luenberger–Hicks–Moorsteen Total Factor Productivity indicator: An application to U.S. agriculture," European Journal of Operational Research, Elsevier, vol. 260(1), pages 359-375.

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    Resource /Energy Economics and Policy;

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