In this paper, we assess how production costs and capital accumulation patterns in agriculture have evolved over time, by paying special attention to the influence of risk. A dynamic state-contingent cost-minimisation approach is applied to assess production decisions in US agriculture over the...

This paper develops primal and dual versions of the dynamic Luenberger productivity growth measures that are based on the dynamic directional distance function and intertemporal cost minimization, respectively. The empirical application focuses on panel data of Dutch dairy farms over the period...

This research proposes a parametric estimation of the structural dynamic efficiency measures proposed in 2009 by Silva and Oude Lansink. Overall, technical and allocative efficiency measurements are derived based on a directional distance function and the duality between this function and the...

The stochastic distance function model is extended to allow for the inefficiency component of the error term to be autocorrelated, as implied by a dynamic model of firm behavior. The autocorrelation parameter can then be interpreted as a measure of the persistence of inefficiency. The model is...

This study provides a framework for consistent estimation of a dynamic dual model of investment for the case where data reveal zero and nonzero investments. The threshold model that is developed maintains that investments are zero if the shadow value of machinery is between a lower and an upper...

Pesticides’ dynamic effects and production uncertainty play an important role in farmers’ production decisions. Pesticides have a current production impact through reducing crop damage in the current period and a future impact through impacting the farm biodiversity which alters the future...