Crop farm efficiency and climate extremes in Germany

Moritz Hartig, Silke Hüttel and Stefan Seifert

European Review of Agricultural Economics, 2026, vol. 53, issue 1, 248-292

Abstract: Using German crop farm data from the EU Farm Accountancy Data Network for 2004–2020, we investigate how weather and climate extremes interact with farm-level inefficiency, accounting for policy. We use a four-component stochastic production frontier model to disentangle farm heterogeneity from persistent and transient inefficiency, and explicitly address economic and econometric endogeneity. We select weather-related determinants of inefficiency using panel random forests. We find that losses associated with one climate extreme day range from 0.15 to 26.31 Euro/hectare. Water-related extremes appear less detrimental than temperature-related extremes. Our results suggest that efficiency can be underestimated if agro-climatic conditions are not acknowledged.

Keywords: efficiency; crop farm specialist; climate extremes; panel data (search for similar items in EconPapers)
Date: 2026
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1093/erae/jbaf047 (application/pdf)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:oup:erevae:v:53:y:2026:i:1:p:248-292.

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

European Review of Agricultural Economics is currently edited by Timothy Richards, Salvatore Di Falco, Céline Nauges and Vincenzina Caputo

More articles in European Review of Agricultural Economics from Oxford University Press and the European Agricultural and Applied Economics Publications Foundation Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK. Contact information at EDIRC.
Bibliographic data for series maintained by Oxford University Press ().