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How Inefficient Really Are the Small-Scale Rice Farmers in Eastern India?: Examining the Effects of Microtopography on the Estimation of Technical Efficiency

  • Fuwa, Nobuhiko
  • Edmonds, Christopher M.
  • Banik, Pabitra

We focus on the impact of failing to control for differences in land types defined along toposequence on estimates of farm technical efficiency for small-scale rice farms in eastern India. In contrast with the existing literature, we find that those farms may be considerably more technically efficient than they appear from more aggregated analysis without such control. Farms planted with modern rice varieties are technically efficient. Furthermore, farms planted with traditional rice varieties operate close to the production frontier on less productive lands (upland and mid-upland), but significant technical inefficiency exists on more productive lands (medium land and lowland).

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File URL: http://purl.umn.edu/19435
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Paper provided by American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association) in its series 2005 Annual meeting, July 24-27, Providence, RI with number 19435.

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Date of creation: 2005
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Handle: RePEc:ags:aaea05:19435
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  1. Battese, George E. & Coelli, Tim J., 1988. "Prediction of firm-level technical efficiencies with a generalized frontier production function and panel data," Journal of Econometrics, Elsevier, vol. 38(3), pages 387-399, July.
  2. Datt, Gaurav & Ravallion, Martin, 2002. "Is India's economic growth leaving the poor behind?," Policy Research Working Paper Series 2846, The World Bank.
  3. Sherlund, Shane M. & Barrett, Christopher B. & Adesina, Akinwumi A., 2002. "Smallholder technical efficiency controlling for environmental production conditions," Journal of Development Economics, Elsevier, vol. 69(1), pages 85-101, October.
  4. Christian Ritter & Léopold Simar, 1997. "Pitfalls of Normal-Gamma Stochastic Frontier Models," Journal of Productivity Analysis, Springer, vol. 8(2), pages 167-182, May.
  5. Binam, Joachim Nyemeck & Tonye, Jean & wandji, Njankoua & Nyambi, Gwendoline & Akoa, Mireille, 2004. "Factors affecting the technical efficiency among smallholder farmers in the slash and burn agriculture zone of Cameroon," Food Policy, Elsevier, vol. 29(5), pages 531-545, October.
  6. Jondrow, James & Knox Lovell, C. A. & Materov, Ivan S. & Schmidt, Peter, 1982. "On the estimation of technical inefficiency in the stochastic frontier production function model," Journal of Econometrics, Elsevier, vol. 19(2-3), pages 233-238, August.
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