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Mokslo publikacijos
2013-12-19

Productive Efficiency of the Lithuanian Family Farms (2004–2009): A Non–parametric Inference with Post–efficiency Analysis

Abstract. This paper analyses the productive efficiency of the Lithuanian family farms during 2004–2009. The productive efficiency of Lithuanian family farms was estimated on a basis of Farm Accountancy Data Network sample by the means of data envelopment analysis, which did indicate that the average technical efficiency fluctuated around 65.8%, whereas the mean allocative efficiency approached 70.5%. The mean economic efficiency, therefore, was rather low, namely 46%. These figures imply that Lithuanian family farms should improve both technological and managerial practices and thus achieve higher productivity in order to successfully compete in the single market of the EU. The second stage analysis of efficiency scores—which, indeed, had not been performed for Lithuanian agricultural sector before—revealed some causes of inefficiency. Specifically, the tobit model was employed to quantify efficiency effects, whereas the logit model was fitted to estimate factors of increase in efficiency. Basically, these analyses showed that large livestock farms adopted organic farming practices are those most efficient. Moreover, they were more likely to exhibit an increase in the productive efficiency.

 

Keywords: Efficiency, Family farms, Data Envelopment Analysis, Tobit, Logit.

 

JEL Classification: C61, D24, Q12

 

Baležentis, T.; Kriščiukaitienė, I. 2013. Productive Efficiency of the Lithuanian Family Farms (2004–2009): A Non–parametric Inference with Post–efficiency Analysis, Economic Computation and Economic Cybernetics Studies and Research 47(4): 153–172.

 

H Index: 6

 

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Productive Efficiency of the Lithuanian Family Farms (2004–2009): A Non–parametric Inference with Post–efficiency Analysis



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