Work

Cost Efficiency and Scope Economies of Crop and Livestock Farms in Missouri

Year: 2006

Type: article

Abstract: This study investigates productive efficiency for a sample of Missouri crop-only (specialized) and integrated crop-livestock (diversified) farms using a cost frontier approach. Results suggest that significant cost inefficiency exists among sample farms. Lower cost efficiency in both types of farms was attributed to improper scale of operations and misallocation of inputs. On average, diversified farms were as technically and scale efficient as specialized farms. Lower allocative efficiency diluted gains in technical efficiency and resulted in greater cost inefficiency for diversified farms than for specialized farms. Technical efficiency was independent of farm size, whereas allocative, scale, and scope efficiencies were not.

Source: Journal of Agricultural and Applied Economics

DOI: 10.1017/s1074070800022604

Authors: Shunxiang Wu, Tony Prato

Institutions: American Express (United States), University of Missouri

Language: English

Topic: Efficiency Analysis Using DEA

Subfield: Management Science and Operations Research

Field: Decision Sciences

Domain: Social Sciences

SDG: Zero hunger

Open Access status: green

OpenAlex ID: W2141663586

FWCI: 1.41

Cites: 35

Cited by: 28

Related to: 10