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Measurement of Technical, Allocative, Economic, and Scale Efficiency of Rice Production in Arkansas Using Data Envelopment Analysis

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  • Watkins, K. Bradley
  • Hristovska, Tatjana
  • Mazzanti, Ralph
  • Wilson, Charles E. Jr
  • Schmidt, Lance

Abstract

Data envelopment analysis is used to calculate technical, allocative, economic, and scale efficiencies for fields enrolled in the University of Arkansas Rice Research Verification Program. The results reveal most fields have high technical and scale efficiencies, implying inputs are used in minimum levels necessary to achieve given output levels and fields are close to optimal in size. However, most fields exhibit allocative and economic inefficiencies and do not use inputs in the right combinations necessary to achieve cost minimization. Tobit analysis indicated allocative and economic efficiencies could be improved with better variety selection and better irrigation management.

Suggested Citation

  • Watkins, K. Bradley & Hristovska, Tatjana & Mazzanti, Ralph & Wilson, Charles E. Jr & Schmidt, Lance, 2014. "Measurement of Technical, Allocative, Economic, and Scale Efficiency of Rice Production in Arkansas Using Data Envelopment Analysis," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 46(01), pages 1-18, February.
    • Handle: RePEc:ags:joaaec:169037
    DOI: 10.22004/ag.econ.169037
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    References listed on IDEAS

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    6. Boyer, Christopher N. & Yu, T. Edward & Rhinehart, Justin & Ahles, Amelia & Gill, Mackenzie, 2020. "Does the Tennessee Master Beef Producer Program Impact Technical Efficiency," Western Economics Forum, Western Agricultural Economics Association, vol. 18(2), December.
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