Abstract
The agricultural productivity is often based on non-parametric models (DEA), or stochastic models (SFA). In this initial article, the editors start by pointing that the models (DEA and SFA) allow estimating the efficiency of the production frontier and their structural forms. Then, it is presented, in general terms, the differences between DEA and SFA models: DEA model involves the use of technical linear programming to construct a non-parametric piecewise surface, and SFA models comprise econometric models with a random variable, or an error term, including two components: one to account for random effects and another to take care of the technical inefficiency effects. Finally, it shows a comparison between the two approaches (SFA and DEA) and the advantages and disadvantages of their utilizations.
Keywords
- Data Envelopment Analysis
- Models
- Non-parametric
- Parametric
- Stochastic Frontier Analysis
This is a preview of subscription content, access via your institution.
Buying options
References
Aigner D, Lovell C, Schmidt P (1977) Formulation and estimation of stochastic frontier production functions models. J Econ 6:21–37
Alvarez A, Gonzalez E (1999) Using cross-section data to adjust technical efficiency indexes estimated with panel data. Am J Econ 81:894–901
Arzubi A, Berbel J (2002) Determinación de índices de eficiencia mediante DEA en explotaciones lecheras de Buenos Aires. Invest Ag Prod Sanid Anim 17(1–2):103–123
Battese G, Broca S (1997) Functional forms of stochastic frontier production function and models for technical inefficiency effects: a comparative study for wheat farmers in Pakistan. J Product Anal 8:395–414
Battese G, Coelli T (1988) Prediction of firm-level technical efficiencies with a generalized frontier production function and panel data. J Econ 38:387–399
Battese G, Coelli T (1992) Frontier production functions. Technical efficiency and panel data: with application to paddy farmers in India. J Product Anal 3:153–169
Battese G, Coelli T (1995) A model for technical inefficiency effects in a stochastic frontier production function for panel data. Empir Econ 20:325–332
Brummer B (2001) Estimating confidence intervals for technical efficiency: the case of private farms in Slovenia. Eur Rev Agric Econ 28(3):285–306
Charnes A, Cooper W, Rhodes E (1978) Measurement the efficiency of decision making units. Eur J Oper Res 2:429–444
Coelli T (1995) Recent developments in frontier modeling and efficiency measurement. Aust J Agric Econ 39:219–245
Coelli T (1996a) A guide to DEAP Version 2.1. A data envelopment analysis computer program. Centre for efficiency and productivity analysis. Department of Econometrics, University of New England, Armidale, Australia
Coelli T (1996b) A Guide to FRONTIER Version 4.1: a computer program for stochastic frontier production and cost function estimation, CEPA Working paper no. 96/07. Department of Econometrics, University of New England, Armidale
Coelli T, Perelman S (1999) A comparison of parametric and non-parametric distance functions: with application to European railways. Eur J Oper Res 117:326–339
Cooper WW (1999) Operational research/management science – where it’s been – where it should be going. J Oper Res Soc 50:3–11
Daryanto H, Battese G, Fleming E (2002) Technical efficiencies of rice farmers under different irrigation systems and cropping seasons in West Java, University of New England, Asia Conference on Efficiency and Productivity Growth. Retrieved April 20, 2003, from http://www.sinica.edu.tw/~teps/A1-1.pdf
Färe R, Whittaker G (1995) An intermediate input model of dairy production using complex survey data. J Agric Econ 46(2):201–213
Farrell M (1957) The measurement of productive efficiency. J R Stat Soc (Ser A) 120(III):253–290
Franco F (2001) Eficiência Comparada Dos Serviços Hospitalares: O Método de Fronteira Estocástica, Tese de Mestrado, Universidade dos Açores
Fraser I, Cordina D (1999) An application of data envelopment analysis to irrigated dairy farms in Northern Victoria, Australia. Agric Syst 59:267–282
González E, Álvarez A, Arias C (1996) Análisis no paramétrico de eficiencia en explotaciones lecheras, Investigación Agraria: Economía 11(1):173–190
Hallam D, Machado F (1996) Efficiency analysis with panel data – a study of Portuguese dairy farms. Eur Rev Agric Resour Econ 23(1):79–93
Jaforullah M, Whiteman J (1999) Scale efficiency in the New Zealand dairy industry: a non-parametric approach. Aust J Agric Resour Econ 43(4):523–541
Lansink A, Reinhard S (2004) Investigating technical efficiency and potential technological change in Dutch pig farming. Agric Syst 79:353–367
Lauwers L, van Huylenbroecks G (2003) Materials balance based modeling of environmental efficiency. Presented at the 25th international conference of agricultural economist, South Africa, 16–22 Aug 2003
Lawson L, Bruun J, Coelli T, Agger J, Lund M (2004) Relationships of efficiency to reproductive disorders in Danish milk production: a stochastic frontier analysis. J Dairy Sci 87:212–224
Meeusen W, van den Broeck J (1977) Efficiency estimation from Cobb-Douglas production function with composed error. Int Econ Rev 18:435–444
Munzir A, Heidhues F (2002) Towards a technically efficient production in rural aquaculture, case study at Lake Maninjau. Presented at Indonesia, International Symposium Sustaining Food Security and Managing Natural Resources in Southeast Asia – Challenges for the 21st Century, Chiang Mai, Thailand. Retrieved July 21, 2003 from http://www.uni-hohenheim.de/symposium2002/pa_full/Full-Pap-S3B-3_Munzir.pdf
Pascoe S, Mardle S (2000) Technical efficiency in EU fisheries: implications for monitoring and management through efforts controls: “TEMEC”. EU funded project QLK5-CT1999-01295. University of Portsmouth, pp 1–5
Pascoe S, Mardle S (2003) Single output measures of technical efficiency in EU fisheries. CEMARE Report 61, CEMARE, University of Portsmouth, UK
Pascoe S, Hassaszahed P, Anderson J, Korsbrekke K (2001) Economic versus physical input measures in the analysis of technical efficiency in fisheries. Presented at the XII Conference of the European Association of Fisheries Economists, Italia. Retrieved April 25, 2003 from http://www.eafe-fish.org/conferences/salerno/papers/paper04_seanpaschoe.doc
Paul C, Nehring R, Banker D, Somwaru A (2004) Scale economies and efficiency in U.S. agricultures: are traditional farms history? J Product Anal 22:185–205
Reig-Martínez E, Picazo-Tadeo A (2004) Analysing framing systems with data envelopment analysis: citrus farming in Spain. Agric Syst 82(1):17–30
Reinhard S, Thijssen G (2000) Nitrogen efficiency of Dutch dairy farms: a shadow cost system approach. Eur Rev Agric Econ 27(2):167–186
Reinhard S, Lovell K, Thijssen G (1999) Econometric estimation of technical and environmental efficiency: an application to Dutch dairy farm. Am J Agric Econ 81:44–60
Reinhard S, Lovell K, Thijssen G (2000) Environmental efficiency with multiple environmentally detrimental variable: estimated SFA e DEA. Eur J Oper Res 121:287–303
Sharma K, Leung P, Zaleski H (1999) Technical, allocative and economic efficiencies in swine production in Hawaii: a comparison of parametric and nonparametric approaches. Agric Econ 20:23–35
Silva E, Arzubi A, Berbel J (2004) An application of data envelopment analysis (DEA) in Azores dairy farms, Portugal. New MEDIT III(3):39–43
Torres J, Basch M, Vergara S (2002) Eficiência Técnica Y Escalas de Operación en Pesca Pelágica: Un Análisis de fronteras estocásticas, Universidade do Chile. Retrieved April 21, 2003 http://www.ilades.cl/economia/Publicaciones/ser_inv/inv137.pdf
Venâncio F, Silva E (2004) A Eficiência de Explorações Agro-pecuárias dos Açores: uma abordagem paramétrica, Actas XIV Jornadas Luso – Espanholas de Gestão Científica
Webster R, Kennedy S, Johnson, L. (1998). Comparing techniques for measuring the efficiency and productivity of Australian private hospitals. Working Papers (98/3) in Econometrics and Applied Statistics, Australian Bureau of Statistics. Retrieved May 9, 2003 from http://www.abs.gov.au/websitedbs/D3110122.NSF/0/31f3a2cdb3dbbf85ca25671b001f1910/$FILE/13510_Nov98.pd
Weersink A, Turvey C, Godah A (1990) Decomposition measures of technical efficiency for Ontario, dairy farms. Can J Agric Econ 38:439–456
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2013 Springer Science+Business Media Dordrecht
About this chapter
Cite this chapter
Silva, E., Mendes, A.B., Santos, J. (2013). Efficiency Measures in the Agricultural Sector: The Beginning. In: Mendes, A., L. D. G. Soares da Silva, E., Azevedo Santos, J. (eds) Efficiency Measures in the Agricultural Sector. Springer, Dordrecht. https://doi.org/10.1007/978-94-007-5739-4_1
Download citation
DOI: https://doi.org/10.1007/978-94-007-5739-4_1
Published:
Publisher Name: Springer, Dordrecht
Print ISBN: 978-94-007-5738-7
Online ISBN: 978-94-007-5739-4
eBook Packages: Earth and Environmental ScienceEarth and Environmental Science (R0)