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Technical Efficiency Effects of Technological Change: Another Perspective on GM Crops

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  • Weaver, Robert D.
  • Curtiss, Jarmila
  • Brümmer, Bernhard

Abstract

An important approach to reducing persistent technical inefficiency is through technical change. This paper considers the case of genetically modified crop production. A stochastic frontier approach is used to examine how a drastic change from non-GM to GM technology effects the position of the production frontier as well as the extent and nature of technical inefficiency. A one-step method is applied to consider firm-level effects on technical inefficiency. Using soybean production from the U.S. we find that GM technology improves productivity and reduces technical inefficiency though these effects vary across farm characteristics.

Suggested Citation

  • Weaver, Robert D. & Curtiss, Jarmila & Brümmer, Bernhard, 2005. "Technical Efficiency Effects of Technological Change: Another Perspective on GM Crops," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24528, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae05:24528
    DOI: 10.22004/ag.econ.24528
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