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Reforms and Efficiency Change in Transition Agriculture

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  • Swinnen, Johan F.M.
  • Vranken, Liesbet

Abstract

Studies on efficiency changes in transition agriculture yield mixed results. This paper develops both a theoretical model and an empirical analysis of how distribution of efficiency scores changes with the various stages of transition. We use a unique set of representative farm survey data to calculate farm level efficiency scores, compare the efficiency distributions of different transition countries and correlate these with various indicators of particular reforms. Our study indicates that, in particular, general institutional reforms and reforms focused on market institutions and on reducing market imperfections in input and output markets have an important positive impact on farm efficiency.

Suggested Citation

  • Swinnen, Johan F.M. & Vranken, Liesbet, 2005. "Reforms and Efficiency Change in Transition Agriculture," 94th Seminar, April 9-10, 2005, Ashford, UK 24411, European Association of Agricultural Economists.
    • Handle: RePEc:ags:eaae94:24411
    DOI: 10.22004/ag.econ.24411
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    References listed on IDEAS

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    1. Lerman, Zvi & Csaki, Csaba & Feder, Gershon, 2002. "Land policies and evolving farm structures in transition countries," Policy Research Working Paper Series 2794, The World Bank.
    2. Erik Mathijs & Johan F. M. Swinnen, 2001. "Production Organization And Efficiency During Transition: An Empirical Analysis Of East German Agriculture," The Review of Economics and Statistics, MIT Press, vol. 83(1), pages 100-107, February.
    3. Gow, Hamish R & Swinnen, Johan F M, 1998. "Up- and Downstream Restructuring, Foreign Direct Investment, and Hold-Up Problems in Agricultural Transition," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 25(3), pages 331-350.
    4. Sedik, David & Trueblood, Michael & Arnade, Carlos, 1999. "Corporate Farm Performance in Russia, 1991-1995: An Efficiency Analysis," Journal of Comparative Economics, Elsevier, vol. 27(3), pages 514-533, September.
    5. Karen Macours & Johan F. M. Swinnen, 2000. "Impact of Initial Conditions and Reform Policies on Agricultural Performance in Central and Eastern Europe, the Former Soviet Union, and East Asia," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(5), pages 1149-1155.
    6. Noev, Nivelin & Swinnen, Johan F.M., 2001. "The Transition Of The Wine Industry, Policy And Trade In Eastern Europe And The Former Soviet Union," PRG Working Papers 31871, Katholieke Universiteit Leuven, LICOS - Centre for Institutions and Economic Performance.
    7. Pingali, Prabhu L & Xuan, Vo-Tong, 1992. "Vietnam: Decollectivization and Rice Productivity Growth," Economic Development and Cultural Change, University of Chicago Press, vol. 40(4), pages 697-718, July.
    8. Erik Mathijs & Liesbet Vranken, 2001. "Human Capital, Gender and Organisation in Transition Agriculture: Measuring and Explaining the Technical Efficiency of Bulgarian and Hungarian Farms," Post-Communist Economies, Taylor & Francis Journals, vol. 13(2), pages 171-187.
    9. Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
    10. Scott Rozelle & Johan F.M. Swinnen, 2004. "Success and Failure of Reform: Insights from the Transition of Agriculture," Journal of Economic Literature, American Economic Association, vol. 42(2), pages 404-456, June.
    11. Csaki, Csaba & Lerman, Zvi, 1997. "Land Reform and Farm Restructuring in East Central Europe and CIS in the 1990s: Expectations and Achievements after the First Five Years," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 24(3-4), pages 428-452.
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    Cited by:

    1. A. Tonini, 2012. "A Bayesian stochastic frontier: an application to agricultural productivity growth in European countries," Economic Change and Restructuring, Springer, vol. 45(4), pages 247-269, November.
    2. Sauer, Johannes & Balint, Borbala, 2006. "Romanian Maize - Distorted Prices and Producer Efficiency," 2006 Annual meeting, July 23-26, Long Beach, CA 21410, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. J. Sauer & B. Balint, 2008. "Distorted prices and producer efficiency: the case of Romania," Journal of Productivity Analysis, Springer, vol. 29(2), pages 131-142, April.
    4. Johan Swinnen & Liesbet Vranken, 2010. "Reforms and agricultural productivity in Central and Eastern Europe and the Former Soviet Republics: 1989–2005," Journal of Productivity Analysis, Springer, vol. 33(3), pages 241-258, June.

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    More about this item

    Keywords

    Agribusiness;

    JEL classification:

    • P2 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies
    • E2 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment
    • P21 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Planning, Coordination, and Reform

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