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Economic resources versus the efficiency of different types of agricultural production in regions of the European union

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  • Marta Guth
  • Katarzyna Smędzik-Ambroży

Abstract

Facing enormous differences in factor endowments across European agriculture the aim of the study was to identify the significance of differences in land, capital and labour endowments on the efficiency of different agricultural production types in the EU. The Ward Cluster Analysis was used to distinguish groups of EU regions, significantly differing in factor endowment, DEA model to determine the relative differences in technical efficiency of different types of agricultural production in EU regions and ANOVA analysis to assess the significance of differences in the efficiency of agricultural production types between these EU regions. It was found that generally the agriculture of the EU-12 regions was characterised in 2015 by higher efficiency of transforming inputs into effects than households in the EU-15 regions. Therefore, factor endowments play a significant role in transformation of production factors into effects. The article shows that there is a diversity of factor endowments in agriculture between EU region groups, which translates into differences in the technical efficiency of agricultural holdings of various types of production.

Suggested Citation

  • Marta Guth & Katarzyna Smędzik-Ambroży, 2020. "Economic resources versus the efficiency of different types of agricultural production in regions of the European union," Economic Research-Ekonomska Istraživanja, Taylor & Francis Journals, vol. 33(1), pages 1036-1051, January.
    • Handle: RePEc:taf:reroxx:v:33:y:2020:i:1:p:1036-1051
    DOI: 10.1080/1331677X.2019.1585270
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    Cited by:

    1. Dejan Živkov & Boris Kuzman & Jonel Subić, 2022. "Measuring the risk-adjusted performance of selected soft agricultural commodities," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 68(3), pages 87-96.
    2. José-Luis Alfaro-Navarro & María-Encarnación Andrés-Martínez, 2021. "A longitudinal and cross-sectional analysis of the distribution of Common Agricultural Policy aids in European countries," Agricultural Economics, Czech Academy of Agricultural Sciences, vol. 67(9), pages 351-362.

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