A NONPARAMETRIC EFFICIENCY ANALYSIS OF CALIFORNIA COTTON GINNING COOPERATIVES

Michael Caputo and Lori Lynch

Journal of Agricultural and Resource Economics, 1993, vol. 18, issue 2, 15

Abstract: In the spirit of Leamer's commitment to sensitivity analysis, we employ Farrell's nonparametric efficiency methodology and compare our results with those of Sexton, Wilson, and Wann. Testing the implicit assumption of technical efficiency in the methodology employed by Sexton, Wilson, and Wann, we find that the lack of technical efficiency is the cotton gins' main cause of overall inefficiency. We extend the nonparametric methodology by subjecting the shadow prices of technical efficiency to nonparametric statistical tests to draw stronger conclusions. In addition, the nonparametric methodology permits us to make gin-specific recommendations to improve the performance of the gins.

Keywords: Agribusiness (search for similar items in EconPapers)
Date: 1993
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Citations: View citations in EconPapers (7)

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Persistent link: https://EconPapers.repec.org/RePEc:ags:jlaare:30966

DOI: 10.22004/ag.econ.30966

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