Impact of diversification on technical efficiency of organic farming in Switzerland, Austria and Southern Germany
Bernhard Brümmer and
No 1508, DARE Discussion Papers from Georg-August University of Göttingen, Department of Agricultural Economics and Rural Development (DARE)
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: Technical Efficiency; Organic Farming; Grassland Farming; Para-Agriculture (search for similar items in EconPapers)
JEL-codes: Q12 Q18 D24 C54 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-agr and nep-eff
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Persistent link: https://EconPapers.repec.org/RePEc:zbw:daredp:1508
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