A Nonparametric Approach to Estimate Multiproduct and Product-specific Scale and Scope Economies for Agricultural Cooperatives

Krishna P Pokharel and Allen Featherstone

No 236182, 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts from Agricultural and Applied Economics Association

Abstract: The purpose of this research is to estimate product-specific and multiproduct economies of scale and economies of scope using a nonparametric data envelopment analysis (DEA) approach. Product-specific economies of scale exist for other product sales, but not for grain and farm inputs sales. Overall, multiproduct economies of scale and economies of scope exist. However, the median value of multiproduct scale economies are higher and greater than one for small cooperatives, which imply that cooperatives mergers likely to continue to exhaust the benefits from economies of scale.

Keywords: Production; Economics (search for similar items in EconPapers)
Date: 2016-05
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:aaea16:236182

DOI: 10.22004/ag.econ.236182

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