Is irrigated farm is more efficient than non-irrigated non-tillage farm and non-irrigated conventional farm for a sample of Kansas corn farmer?

Rulianda P. Wibowo and Allen Featherstone

No 205679, 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California from Agricultural and Applied Economics Association

Abstract: The corn farmer has benefited from high corn price. However, the corn price plunged from its high price in 2012 to as low as $ 4.46 per bushel in 2013. The drop in corn price and intense competition from the global grain markets make farms that are non-efficient struggle economically. Pure technical, overall technical, and scale efficiency were measured to analyze the competitiveness of a sample of Kansas corn farmers. The average of pure technical, overall technical, and scale efficiency for irrigated farm, non-irrigated conventional farm and non-irrigated non-tillage farm are below 70%. Farmers increased their efficiency during drought in 2012 and lower corn price. Government payments and insurance expenditure were found to be negatively correlated with efficiency. Farmers should focus on utilizing land and labor more efficiently rather than expanding their size.

Keywords: Crop Production/Industries; Farm Management; Production Economics (search for similar items in EconPapers)
Pages: 2
Date: 2015-07-26
New Economics Papers: this item is included in nep-agr and nep-eff
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Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea15:205679

DOI: 10.22004/ag.econ.205679

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