Total factor productivity and its components for sheep and goat farms in 37 Southern European regions (2004-2012)
DOI:
https://doi.org/10.7201/earn.2017.02.01Keywords:
Europe, Regional analysis, sheep and goats, Total Factor Productivity.Abstract
The decline of Southern Europe’s traditional sheep- and goat-farming systems creates a need for studies on the economic determinants that underlie their production processes. Using data from the FADN, we built a panel of 37 regions from 5 countries over an 8-year period (2004–2012). A Cobb-Douglas was specified and a stochastic frontier production was estimated. Total Factor Productivity (TFP) and its components were calculated. The farms have had sustained, positive development of TFP since 2008, with a significant correlation with the labour factor of production. We detected moderate technical progress change, which was accompanied by decreasing efficiency.
Downloads
References
Aigner, D., Lovell, C.A.K. & Schmidt, P. (1977). “Formulation and estimation of stochastic frontier production function models”. Journal of Econometrics, 6(1), 21-37. https://doi.org/10.1016/0304-4076(77)90052-5.
Aldaz, N. & Millán, J.A. (1996). “Comparación de medidas de productividad total de los factores en las agriculturas de las comunidades autónomas españolas”. Revista Española de Economía Agraria, 178, 73-114.
Álvarez, A. & Orea, L. (2003). “Descomposición del crecimiento de la productividad. una aplicación a las regiones españolas”. XXIX Reunión de Estudios Regionales. Santander, 1-17.
Araujo, J. & Feitosa, D. (2014). “América Latina: productividad total de los factores y su descomposición”. Revista de la CEPAL, 114, 53-69. http://hdl.handle. net/11362/37436.
Battese, G.E. & Coelli, T.J. (1992). “Frontier production functions, technical efficiency and panel data: With application to paddy farmers in India”. In Gulledge, T. & Knox Lovell, C.A. (Eds.): International Applications of Productivity and Efficiency Analysis, 149-165. Netherlands: Springer. https://doi.org/10.1007/978-94-017-1923-0_10.
Battese, G.E. & Coelli, T.J. (1995). A model for technical inefficiency effects in a stochastic frontier production function for panel data. Empirical Economics, 20(2), 325-332. https://doi.org/10.1007/BF01205442.
Coelli, T.J.,& Rao, D.S. (2005). “Total factor productivity growth in agriculture: A Malmquist index analysis of 93 countries, 1980-2000”. Agricultural Economics, 32(s1), 115-134. http://dx.doi.org/10.1111/j.0169-5150.2004.00018.x.
El Aich, A., Landau, S., Napoleone, M. & Borbouze, A. (1995). “Goat production systems in the Mediterranean: A comparative study”. In El Aich, A., Landau, S.,Borbouze, A., Rubino, R. & Morand-Fehr, P. (Eds.): Goat Production Systems in the Mediterranean, vol. 71. EAAP Publication, Wageningen: Wageningen Press 222-237.
European Commission. (2015). The Farm Accountancy Data Network (FADN)[WWW Document]. Standard Results Database. URL http://ec.europa.eu/agriculture/rica/.
Expósito, P. & Rodríguez, X.A. (2002). “Evolución de la producción en el sector agrario español, 1970-95”. Estudios Económicos Regionales y Sectoriales.AEEADE. 2(1), 7-41.
Ezcurra, R., Iráizoz, B., Pascual, P. & Rapún, M. (2011). “Agricultural productivity in the European regions: Trends and explanatory factors”. European Urban and Regional Studies, 18(2), 113-135. https://doi.org/10.1177/0969776410381037.
FAO (Organización de las Naciones Unidas para la alimentación y la agricultura). (2015). El estado mundial de la agricultura y la alimentación 2014. Roma.
Fried, H.O., Lovell, C.K. & Schmidt, S.S. (Eds.). (2008). The measurement of productive efficiency and productivity growth. Oxford: Oxford University Press. DOI:10.1093/acprof:oso/9780195183528.001.0001.
Fuglie, K.O. (2010). “Total factor productivity in the global agricultural economy: Evidence from FAO data”. In Alston, J.M., Babcock, B.A. & Pardey, P.G. (Eds):The Shifting Patterns of Agricultural Production and Productivity Worldwide. Iowa State University, The Midwest Agribusiness Trade Research and Information Center (MATRIC), 63-95.
Greene, W.H. (1990). “A gamma-distributed stochastic frontier model”. Journal of Econometrics, 46(1-2), 141-163. https://doi.org/10.1016/0304-4076(90)90052-U.
Hadjigeorgiou, I., Vallerand, F., Tsimpoukas, K. & Zervas, G. (2002). “The socioeconomics of sheep and goat farming in Greece and the implications for future rural development”. Options Méditerranéennes, Series B, 39, 83-93.
Haniotis, T. (2013). “Agricultural productivity: Introductory comments 2013”. International Agricultural Trade Research Consortium. Proceedings Issues 2013: Productivity and Its Impacts on Global Trade. Sevilla, 24-25. https://EconPapers.repec.orgRePEc:ags:iatr13:152333.
Hidalgo, C., Rodríguez, M.P. & Álvarez, R. (2011). “La productividad del capital del ovino español 1997-2005. Un análisis mediante la función Cobb-Douglas”. Libro de Actas XXXVI Congreso Nacional de La Sociedad Española de Ovinotecnia y Caprinotecnia. Sociedad Española de Ovinotecnia y Caprinotecnia. San Sebastián, 235-239.
Johnson, D.G. (1997). “Agriculture and the Wealth of Nations”. The American Economic Review, 87(2), 1-12. http://0-search.proquest.com.catoute.unileon.es/docview/233042800?accountid=17214.
Karagiannis, G. & Tzouvelekas, V. (2005). “Explaining output growth with a heteroscedastic non-neutral production frontier: The case of sheep farms in Greece”. European Review of Agricultural Economics, 32(1), 51-74. https://doi.org/10.1093/erae/jbi004.
Kodde, D.A. & Palm, F.C. (1986). “Wald criteria for jointly testing equality and inequalityrestrictions”. Econometrica: Journal of the Econometric Society, 54(5),1243-1248. https://doi.org/10.2307/1912331.
Kumbhakar, S.C., Denny, M. & Fuss, M. (2000). “Estimation and decomposition of productivity change when production is not efficient: A paneldata approach”. Econometric Reviews, 19(4), 312-320. https://doi.org/10.1080/07474930008800481.
Kumbhakar, S.C. & Lovell, C.K. (2003). Stochastic frontier analysis. Cambridge: Cambridge University Press.
Loaiza Quintero, O. & Franco Vásquez, L.Y. (2013). Un estudio acerca de los determinantes de la productividad y la ineficiencia técnica en la industria colombiana, 1992-2007. Munich: University Library of Munich. https://mpra.ub.unimuenchen.de/id/eprint/47736.
Meeusen, W. & van Den Broeck, J. (1977). “Efficiency estimation from Cobb-Douglas production functions with composed error”. International Economic Review, 18(2), 435-444. https://doi.org/10.2307/2525757.
Sauer, J. & Latacz-Lohmann, U. (2015). “Investment, technical change and efficiency: Empirical evidence from German dairy production”. European Review of Agricultural Economics, 42(1), 151-175. https://doi.org/10.1093/erae/jbu015.
Schultz, T.W. (1964). Transforming traditional agriculture. New Haven: Yale University Press.
Schultz, T.W. (1965). Economic crises in world agriculture. Ann Arbor. Univ. Michigan Press.
Stevenson, R. E. (1980). “Likelihood functions for generalized stochastic frontier estimation”. Journal of Econometrics, 13(1), 57-66. https://doi.org/10.1016/0304-4076(80)90042-1.
Tiberio, M.L. & Diniz, F. (2014). “Sheep and Goat Production in Portugal: A Dynamic View”. Modern Economy, 5(6), 703-722. https://doi.org/10.4236/me.2014.56066.
Trillo, D. (2002). “Análisis económico y eficiencia del sector público”. Presented to VII Congreso Internacional del CLAD sobre la Reforma del Estado y de la Administración Pública, Lisboa. 8-11.
Downloads
Published
Issue
Section
License
This journal is licensed under a Creative Commons Attribution-NonCommercial-NoDerivatives 4.0 International License
