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Efficiency, environmental Contaminants and Farm Size: Testing for Links Using Stochastic Production Frontiers

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  • Hadri, K.
  • Whittaker, J.

Abstract

This paper investigates whether there is any relationship between farm size, technical efficiency and the use of agrichemicals which are potentially environmentally contaminating. These questions are pertinent in the context of current EU policy decions. Using two models of stochastic frontier production and a set of panel data on 35 farms from the South West of England for the years 1987-1991, we obtain an indication that there is a positive, though weak relationship between technical efficiency and the use of contaminants, and between technical efficiency and farm size. However, there is a negligible negative relationship between farm size and use of contaminants.

Suggested Citation

  • Hadri, K. & Whittaker, J., 1995. "Efficiency, environmental Contaminants and Farm Size: Testing for Links Using Stochastic Production Frontiers," Discussion Papers 9505, University of Exeter, Department of Economics.
    • Handle: RePEc:exe:wpaper:9505
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    Cited by:

    1. Jiang, Nan & Sharp, Basil, 2014. "Cost Efficiency of Dairy Farming in New Zealand: A Stochastic Frontier Analysis," Agricultural and Resource Economics Review, Cambridge University Press, vol. 43(3), pages 406-418, December.
    2. Zhu, Huanyu & Ma, Wanglin & Vatsa, Puneet & Zheng, Hongyun, 2023. "Clean energy use and subjective and objective health outcomes in rural China," Energy Policy, Elsevier, vol. 183(C).
    3. Nan Jiang & Basil Sharp, 2015. "Technical efficiency and technological gap of New Zealand dairy farms: a stochastic meta-frontier model," Journal of Productivity Analysis, Springer, vol. 44(1), pages 39-49, August.
    4. Wanglin Ma & Kathryn Bicknell & Alan Renwick, 2019. "Feed use intensification and technical efficiency of dairy farms in New Zealand," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 63(1), pages 20-38, January.
    5. Markus Lampe & Paul Sharp, 2015. "Just add milk: a productivity analysis of the revolutionary changes in nineteenth-century Danish dairying," Economic History Review, Economic History Society, vol. 68(4), pages 1132-1153, November.
    6. Kaddour Hadri & Cherif Guermat & Julie Whittaker, 2003. "Estimating Farm Efficiency in the Presence of Double Heteroscedasticity Using Panel Data," Journal of Applied Economics, Universidad del CEMA, vol. 6, pages 255-268, November.
    7. Karunarathna, Muditha & Wilson, Clevo, 2017. "Agricultural biodiversity and farm level technical efficiency: An empirical investigation," Journal of Forest Economics, Elsevier, vol. 29(PA), pages 38-46.
    8. U Pascual, 2001. "Soil Degradation and Technical Efficiency in Shifting Cultivation: The Case of Yucatán (Mexico)," Economics Discussion Paper Series 0116, Economics, The University of Manchester.
    9. Munksgaard, Jesper & Christoffersen, Line Block & Keiding, Hans & Pedersen, Ole Gravgard & Jensen, Trine S., 2007. "An environmental performance index for products reflecting damage costs," Ecological Economics, Elsevier, vol. 64(1), pages 119-130, October.

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    More about this item

    Keywords

    FARMS; POLLUTION;

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • C24 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Truncated and Censored Models; Switching Regression Models; Threshold Regression Models
    • D24 - Microeconomics - - Production and Organizations - - - Production; Cost; Capital; Capital, Total Factor, and Multifactor Productivity; Capacity

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