The cost of milk production by farm size was decomposed into frontier and efficiency components with a stochastic cost curve using data on 755 USA dairy farms from the year 2000. The estimated frontier function is much flatter than the composite cost curve, and although the frontier cost of...

The productivity of individual dairy farms, decomposed into efficiency and technological change components, was measured annually from 1985 through 1993 from distance functions estimated using nonparametric programming methods. Technology is measured regressively only if it is regressive to all...