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Institutions, policy reforms and efficiency in new member states from Centraland Eastern Europe

Author

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  • Bojnec, Štefan
  • Fertő, Imre
  • Jámbor, Attila
  • Tóth, József

Abstract

This paper investigates determinants of agricultural sector efficiency in ten new member states (NMS-10) of the European Union (EU) from Central and Eastern European countries by the non-parametric method Data Envelopment Analysis (DEA) and the panel data analysis. The agricultural sector efficiency varies between the NMS-10. We have found positive and significant association of the agricultural sector efficiency with the natural agricultural factor endowments, average farm size, farm specialization, small-scale farms, and the EU integration process. The foreign direct investments have an ambiguous affect, while the nominal assistance rate is not found significant. Reform and institutional developments and liberalization are associated with the agricultural sector efficiency positively, and vice versa infrastructure development and agricultural policy reforms, which have caused job flows and agricultural employment adjustments. The urban-rural income gap with job flows and agricultural labour adjustments have caused the agricultural sector efficiency positively.

Suggested Citation

  • Bojnec, Štefan & Fertő, Imre & Jámbor, Attila & Tóth, József, 2010. "Institutions, policy reforms and efficiency in new member states from Centraland Eastern Europe," IAMO Forum 2010: Institutions in Transition – Challenges for New Modes of Governance 52712, Leibniz Institute of Agricultural Development in Central and Eastern Europe (IAMO).
    • Handle: RePEc:zbw:iamo10:52712
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    Cited by:

    1. Záhorský, T. & Pokrivčák, J., 2017. "Assessment of the Agricultural Performance in Central and Eastern European Countries," AGRIS on-line Papers in Economics and Informatics, Czech University of Life Sciences Prague, Faculty of Economics and Management, vol. 9(01), March.

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    More about this item

    Keywords

    agricultural efficiency; institutions; policy reforms;
    All these keywords.

    JEL classification:

    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets

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