Technical efficiency, which is a measure of production performance of a firm, has been estimated generally using a primal production frontier. Since the estimation is carried out for a given level of inputs, the efficiency measure includes the effect of 'input-mix' or 'input-allocation' and...

Agricultural policymakers place increasing emphasis on developing efficiency measures for organic producers in order to evaluate regulatory strategies and evolving organic market conditions. We develop technical efficiency measures for U.S. organic farmers using a stochastic production frontier....

The aim of the article is to create a theoretical support for capital yield determination on the basement of neoclassical microeconomics. The yields of an industrial capital can be used as a discount factor in determination of the value of a firm by discounted cash flow methods. Following the...

A theoretical support for capital yields determination is presented based on the neo-classical microeconomics assumptions. Starting by relevant production function of a sector and having in mind an optimising behaviour of firms, we propose to measure the capital yields by the help of a minimum...

This paper aims to estimate the technical efficiency of the agricultural sector in a group of Mediterranean countries involved in the process of global market liberalization. The analysis applies the stochastic production frontier model to a set of six different crop products. For each product,...

Economic growth has failed to be sufficiently inclusive, particularly after the mid-nineties. Although agriculture is still a single major sector providing livelihood to more than 60 percent of the population, it has lost its growth momentum and the share has been declining continuously for a...

Cornwell, Schmidt, and Sickles (1990) and Kumbhakar (1990), among others, developed stochasticfrontier production models which allow firm specific inefficiency levels to change over time. These studies assumed arbitrary restrictions on the short-run dynamics of efficiency levels which have...

This paper aims to contribute to a better understanding of possible causes of considerable production variability that characterised Russian agriculture during the last decade. The study investigates production risk and technical inefficiency as two sources that influence production variability....

This paper proposes an approach to specify and estimate multiple input, multiple output production frontiers and technical efficiency using a stochastic ray frontier production model A possible model extension is to incorporate a technical efficiency effects model to allow estimation of the...