Crop diversification, economic performance and household’s behaviours Evidence from Vietnam

Huy Nguyen

MPRA Paper from University Library of Munich, Germany

Abstract: This study examines economic performances and household’s behaviours in multiple crops farming in Vietnam. Smallholder farming systems in Vietnam is being transformed by integration between cash cropping and main food cropping operations. This transformation into diversified farming systems can affect the economies of scope, technical efficiency, and performances of farms. By using the approach of input distance function, we find the first evidence of both scale and scope economies that have important economic performance implications. There is an existence of substantial technical inefficiency in multiple crops farming, which implies that there may be opportunities to expand crop outputs by eliminating technical inefficiency. Enhancing education and further land reforms are main technical efficiency shifters. We also find the complementarity evidence between family labour and other inputs, except hired labour. Thus, policies that lead to more incentives to invest in crop faming activities should focus on the reduction of input costs.

Keywords: crop diversification; input distance function; elasticity of substitution; stochastic frontier; and technical efficiency (search for similar items in EconPapers)
JEL-codes: D13 O3 O33 (search for similar items in EconPapers)
Date: 2014-09-30, Revised 2014-10-05
New Economics Papers: this item is included in nep-agr, nep-eff, nep-sea and nep-tra
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

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Related works:
Working Paper: Crop diversification, economic performance and household behaviour Evidence from Vietnam (2015)
Working Paper: Crop diversification, economic performance and household’s behaviours Evidence from Vietnam (2014)
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:59168

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