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A dynamic stochastic frontier approach with persistent and transient inefficiency and unobserved heterogeneity

Jean-Joseph Minviel () and Timo Sipiläinen
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Jean-Joseph Minviel: UMRH - Unité Mixte de Recherche sur les Herbivores - UMR 1213 - VAS - VetAgro Sup - Institut national d'enseignement supérieur et de recherche en alimentation, santé animale, sciences agronomiques et de l'environnement - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement
Timo Sipiläinen: Helsingin yliopisto = Helsingfors universitet = University of Helsinki

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Abstract: This article introduces a dynamic stochastic frontier analysis (SFA) framework with unobserved heterogeneity, persistent and transient inefficiency effects, based on recent advances in the SFA literature. The newly developed dynamic frontier model is applied on a sample of French crop-livestock farms. The estimates provide useful insights for the estimation of the technical efficiency scores as well as for the analysis of the associations of contextual drivers, such as public subsidies and indebtedness, with technical efficiency.

Keywords: crop‐; livestock farms; dynamic efficiency; persistent and transient inefficiency; unobserved heterogeneity (search for similar items in EconPapers)
Date: 2021-02-26
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Citations: View citations in EconPapers (7)

Published in Agricultural Economics, 2021, ⟨10.1111/agec.12636⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03236127

DOI: 10.1111/agec.12636

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