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Production Efficiency in Indian Agriculture: An Assessment of the Post Green Evolution Years

Subhash Ray and Arpita Ghose
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Arpita Ghose: Jadavpur University

No 2010-26, Working papers from University of Connecticut, Department of Economics

Abstract: In this paper we use the nonparametric approach of Data Envelopment Analysis (DEA) to obtain Pareto-Koopmans measures of technical efficiency of individual states in India over the years 1970-71 through 2000-01 in a multi-output, multi-input model of agricultural production. The Pareto-Koopmans measure is a complete measure of efficiency that reflects all unrealized potential for increasing \textit{any} output and decreasing \textit{any} input that the firm has failed to exploit. In our empirical analysis, we disaggregate overall efficiency into two distinct components representing output and input efficiencies and identify the contributions of individual outputs and inputs to the measured level of overall efficiency. Because introduction of modern inputs has been a major component of the process of modernization of Indian agriculture, we examine to what extent different states succeeded in utilizing the modern inputs compared to the traditional inputs. Finally, we use regression analysis to explain variations in efficiency across states in terms of differences in various infra-structural, institutional, and demographic factors.

Keywords: Data Envelopment Analysis; Pareto-Koopmans Efficiency; Modern and traditional inputs. (search for similar items in EconPapers)
JEL-codes: C61 O33 Q16 (search for similar items in EconPapers)
Pages: 30 pages
Date: 2010-10
New Economics Papers: this item is included in nep-agr and nep-eff
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

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Journal Article: Production efficiency in Indian agriculture: An assessment of the post green revolution years (2014) Downloads
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