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Technical Efficiency of Organic Farming in the Alpine Region – the Impact of Farm Structures and Policies

Sebastian Lakner, Stefan Kirchweger, Daniel Hoop, Bernhard Brümmer and Jochen Kantelhardt

No 182763, 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia from European Association of Agricultural Economists

Abstract: The paper investigates the impact of subsidies and of para-agriculture on the technical efficiency of organic farms in Switzerland, Austria and Southern Germany. The data-set consists of bookkeeping data with 1,704 observations in the years 2003 to 2005. Technical efficiency is modelled using a stochastic distance-frontier model combined with a Metafrontier-model. The results show almost no efficiency differences among the farms in the three countries. Para-agriculture shows a strong impact on farm’s efficiency and output in Austria and Switzerland, whereas in Germany the effect is rather small. The study confirms that agricultural subsidies have a direct impact on farm’s efficiency.

Keywords: Environmental Economics and Policy; Productivity Analysis (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr, nep-eff and nep-env
Date: 2014-08
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