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Technical Efficiency on Flue-cured Tobacco Productin and Its Hierarchical Influencing Factors: An Empirical Study in China

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  • Peng, Yan-ling
  • Kong, Rong

Abstract

This is one of the first empirical studies to estimate the technical efficiency of farmers’ flue-cured tobacco production, and explore the influencing factor of technical inefficiency on the perspective of within effects and between effects, aiming to provide a basic evaluation of farmers’ flue-cured tobacco production, and promote producers optimize their production. Results showed that the average technical efficiency level of flue-cured tobacco farmers was 0.7685; the scale elasticity was 2.67. Our study also revealed that the variation of farm household factors contributed 80.07% to technical inefficiency, and the other could be attributed to the variation of regional factors. Technical inefficiency of flue-cured tobacco production was significantly relative to producers’ education, planting scales, and planting years. In addition, regional disaster increased the possibility of technical inefficiency, while subsidies from flue-cured tobacco companies and government were to benefit reducing the technical inefficiency.

Suggested Citation

  • Peng, Yan-ling & Kong, Rong, 2015. "Technical Efficiency on Flue-cured Tobacco Productin and Its Hierarchical Influencing Factors: An Empirical Study in China," 2015 Conference, August 9-14, 2015, Milan, Italy 212620, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae15:212620
    DOI: 10.22004/ag.econ.212620
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    3. Battese, G E & Coelli, T J, 1995. "A Model for Technical Inefficiency Effects in a Stochastic Frontier Production Function for Panel Data," Empirical Economics, Springer, vol. 20(2), pages 325-332.
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    Agricultural and Food Policy; Research and Development/Tech Change/Emerging Technologies;

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