Technical efficiency estimates for Sarawak pepper farming: a comparative analysis

Estimating technical efficiency of production technology is important for policy purposes. Four production frontiers consisting of parametric and nonparametric functions were analysed to estimate technical efficiency ratios on a sample of pepper farms in Sarawak. The methodologies employed produced...

Full description

Saved in:
Bibliographic Details
Main Authors: Radam, Alias, Ismail, Mohd Mansor
Format: Article
Language:English
Published: Universiti Putra Malaysia Press 1999
Online Access:http://psasir.upm.edu.my/id/eprint/3257/1/Technical_Efficiency_Estimates_for_Sarawak_Pepper_Farming.pdf
http://psasir.upm.edu.my/id/eprint/3257/
http://www.pertanika.upm.edu.my/view_archives.php?journal=JSSH-7-2-9
Tags: Add Tag
No Tags, Be the first to tag this record!
Institution: Universiti Putra Malaysia
Language: English
Description
Summary:Estimating technical efficiency of production technology is important for policy purposes. Four production frontiers consisting of parametric and nonparametric functions were analysed to estimate technical efficiency ratios on a sample of pepper farms in Sarawak. The methodologies employed produced different estimates, distributions, and rankings of efficiency ratios. The nonparametric estimates were greater than parametric estimates except under stochastic parametric method. Due to the large differences in technical efficiency results, recommendation for policy purpose should not be made without prior detailed analysis of each method.