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An Analysis of Scope Economies and Technical Efficiency in Intensive Rainfed Lowland Rice-based Cropping Systems in Northwest Luzon, Philippines

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  • Villano, Renato A.
  • Lucas, Marilou P.
  • Pandey, Sushil

Abstract

Farming in the rainfed lowlands of northwest Luzon, Philippines, is highly intensive, diversified, and commercialised. The cropping-system is predominantly rice-based in the wet season and high-value cash crops are grown during the dry season. Using panel data from 100 randomly selected farmers, a stochastic input distance function is used to investigate scope economies in this environment. Results show that significant scope economies exist between rice and the major dry-season crops of garlic and mungbean. Scope diseconomies exist between rice and maize.

Suggested Citation

  • Villano, Renato A. & Lucas, Marilou P. & Pandey, Sushil, 2005. "An Analysis of Scope Economies and Technical Efficiency in Intensive Rainfed Lowland Rice-based Cropping Systems in Northwest Luzon, Philippines," 2005 Conference (49th), February 9-11, 2005, Coff's Harbour, Australia 139294, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare05:139294
    DOI: 10.22004/ag.econ.139294
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    References listed on IDEAS

    as
    1. Kodde, David A & Palm, Franz C, 1986. "Wald Criteria for Jointly Testing Equality and Inequality Restriction s," Econometrica, Econometric Society, vol. 54(5), pages 1243-1248, September.
    2. Villano, Renato A. & Fleming, Euan M., 2004. "Analysis of Technical Efficiency in a Rainfed Lowland Rice Environment in Central Luzon Philippines Using a Stochastic Frontier Production Function with a Heteroskedastic Error Structure," Working Papers 12906, University of New England, School of Economics.
    3. Coelli, Tim & Fleming, Euan, 2004. "Diversification economies and specialisation efficiencies in a mixed food and coffee smallholder farming system in Papua New Guinea," Agricultural Economics, Blackwell, vol. 31(2-3), pages 229-239, December.
    4. 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.
    5. Villano, Renato A. & O'Donnell, Christopher J. & Battese, George E., 2005. "An Investigation of Production Risk, Risk Preferences and Technical Efficiency: Evidence From Rainfed Lowland Rice Farms in the Philippines," Working Papers 12953, University of New England, School of Economics.
    6. Chavas, Jean-Paul & Aliber, Michael, 1993. "An Analysis Of Economic Efficiency In Agriculture: A Nonparametric Approach," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 18(01), pages 1-16, July.
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    Cited by:

    1. Ofori-Bah, Adeline & Asafu-Adjaye, John, 2011. "Scope economies and technical efficiency of cocoa agroforesty systems in Ghana," Ecological Economics, Elsevier, vol. 70(8), pages 1508-1518, June.

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