An econometric decomposition of dairy output growth

Munir Ahmad () and Boris Bravo-Ureta

MPRA Paper from University Library of Munich, Germany

Abstract: Fixed effects production functions and stochastic production frontiers are estimated and used to decompose dairy farm output growth into technological progress, technical efficiency, and increased input use or the size effect. Unbalanced panel data for ninety-six Vermont dairy farmers for the 1971-84 period are utilized. The results show a 2.5% average annual increase in milk output. About 56% of this growth is attributed to the size effect and the remaining 44% to productivity growth. Technological progress contributed about 94% to total productivity growth, while improvements in technical efficiency accounted for only 6%.

Keywords: dairy output growth; fixed effects; productivity; stochastic frontiers (search for similar items in EconPapers)
JEL-codes: A1 (search for similar items in EconPapers)
Date: 1995
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Citations: View citations in EconPapers (39)

Published in American Journal of Agricultural Economics 4.77(1995): pp. 915-921

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Related works:
Journal Article: An Econometric Decomposition of Dairy Output Growth (1995)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:37678

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