scholarly journals Productive Performance of Indian Mining Industry: A Stochastic Frontier Decomposition

Author(s):  
Auro Kumar Sahoo ◽  
Dukhabandhu Sahoo ◽  
Naresh Chandra Sahu

This paper has estimated the Total Factor Productivity (TFP) growth of Indian mining Industry for the period 1989-2014 based on a decomposed formulation of stochastic production frontier. Productivity growth and its decomposed components have been compared over the study period. It is found that the annual average TFP growth of mining industry rose up from 3.66 % during 1989-2005 to 8.76 % during 2006-2014. Further, the result of decomposition reflects that the major source of productivity growth has changed from Technological Progress (TP) in initial years to Technical Efficiency Change (TEC) in recent years. In view of this, it could be suggested that mining industry in India requires to focus on investment in innovation and up-gradation of existing technology to further enhance productivity. Keywords: Total Factor productivity; Mining Industry; Panel data; Stochastic Frontier Analysis (SFA) 

2016 ◽  
Vol 76 (4) ◽  
pp. 1113-1151
Author(s):  
Tobias A. Jopp

The discussion of the rationalization wave in German industry (1924–1929) still lacks proper industry-level estimates of the rate of technological progress. To close part of this gap, this article investigates total factor productivity (TFP) growth in hard coal mining over the extended period 1913–1938. Stochastic Frontier Analysis is applied to a sample of firms from the Ruhr coal district. TFP grew positively overall and specifically from 1924–1929. Surprisingly, however, TFP growth was even faster from 1933–1938, suggesting that the Nazi economy heavily capitalized on the Weimar rationalization movement, the effects of which are usually not traced beyond 1932.


2022 ◽  
pp. 1-23
Author(s):  
Noor Aini Khalifah

Abstract Does “openness” determine “catching-up” of establishments to frontier technology and total factor productivity (TFP) in Malaysia's electrical and electronic (E&E) industries? We contribute to this debate by applying a new measurement of processing trade intensity. Utilizing stochastic frontier analysis and Levinsohn and Pertrin (LP) TFP, we investigate determinants of technical efficiency (TE) and TFP. The results show that processing trade intensity and not export intensity determines TE and TFP for the overall sample and subsample of foreign establishments. In the processing trade subsample, export intensity is negatively related to TE and unrelated to TFP, obtaining an unconventional result that exporters are inefficient and not associated with TFP. The results show that higher foreign ownership shares of establishments are negatively associated with LP TFP.


2021 ◽  
Vol 6 (1) ◽  
pp. 15
Author(s):  
Muhamad Nur Wafi ◽  
Dyah Wulan Sari, Ph.D

This study aims to analyze the growth of TFP in the textile industry and textile product (TPT) in Indonesia. Productivity analysis is carried out to determine the extent of performance development and how efficient the textile industry in Indonesia. Calculation of the growth value of Total Factor Productivity (TFP) by decomposing the components of TFP namely TEC, TC, and SEC using the Stochastic Frontier Analysis (SFA). This study uses the type of firm level TPT data in the years 2010-2014. The data used is secondary data which is the result of an annual survey of large and medium manufacturing industry companies conducted by the Central Statistics Agency (BPS) in the form of raw data. The data is in the form of unbalance raw data which is then selected and adjusted to balance data. With 2 industry groups namely the textile industry (ISIC 13) and the garment industry (ISIC 14). Based on the results of the study showed that the average value of TFP growth in 2010-2014 experienced negative growth or <1, this is due to the average growth value of TEC, SEC, and TC which decreased and tended to have negative values in the study period. This shows that the level of efficiency, use of technology, and scale of efficiency of the textile industry tends to be weak in the 2010-2014 period. The reduced level of industrial productivity can affect the decline in the competitiveness of textile products in the global market. Keywords: Textile Industry and Textile Products (TPT), Total Factor Productivity (TFP), Stochastic Frontier Analysis (SFA)Jel : L67, C23; O47


Author(s):  
Yingyu Zhu ◽  
Yan Zhang ◽  
Huilan Piao

Agricultural mechanization is an important factor to improve the green total factor productivity of planting industry, which is the key way to realize the sustainable development and high-quality development of agriculture. Based on the panel data of 30 provinces in China from 2001 to 2019, this paper uses the stochastic frontier analysis method of output oriented distance function to measure the green total factor productivity of China&rsquo;s planting industry based on net carbon sink, and empirically studies the impact of agricultural mechanization on the green total factor productivity in China&rsquo;s planting industry. The empirical analysis finds that mechanization can significantly promote the planting green total factor productivity, and this basic conclusion is still robust after using instrumental variables, sub sample regression. Further research found that the path of mechanization on planting green total factor productivity is mainly reflected in technology progress and spatial spillover. The mechanism of operation scale expansion, factor allocation optimization and technical efficiency change is not significant. Given these findings, the paper adds considerable value to the empirical literature and also provides various policy- and practical implications.


Author(s):  
Yingyu Zhu ◽  
Yan Zhang ◽  
Huilan Piao

Mechanization is an important factor to improve the green total factor productivity of planting industry, which is the key way to realize the sustainable development and high-quality development of agriculture. Using the panel data of 30 provinces in China from 2001 to 2019, this paper uses the stochastic frontier analysis method of output oriented distance function to measure the green total factor productivity of planting industry based on net carbon sink, and empirically studies the impact of mechanization on the planting green total factor productivity. The empirical analysis finds that mechanization can significantly promote the planting green total factor productivity, and this basic conclusion is still robust after using instrumental variables, sub sample regression. Further research found that the path of mechanization on planting green total factor productivity is mainly reflected in technology progress and spatial spillover. The mechanism of operation scale expansion, factor allocation optimization and technical efficiency change is not significant. Given these findings, the paper adds considerable value to the empirical literature and also provides various policy- and practical implications.


Bina Ekonomi ◽  
2019 ◽  
Vol 22 (1) ◽  
pp. 27-42
Author(s):  
Luxy Lutfiana Rachmawati ◽  
Fitri Kartiasih

The Milk Self-sufficiency Program that is targeted to be reached by the year of 2020 is threatened by the increasing of milk imports. Local milk production can only meet 18 to 20 percent of the national milk demand. This study aims to investigate the level of technical efficiency of the people's small hold farmers’ cattles in Java and to analyze factors that influence milk production using Stochastic Frontier Analysis. The results showed that the feed per animal per day had a positive effect on the average milk production per animal per day; while the size of cage per animal had a negative effect. The average level of efficiency of dairy cattle business in Java is 83.56 percent, but statistically there are effects of inefficiency in this business. Factors that influence the inefficiency of livestock businesses are: the farmer’s age, the farmer’s educational level, participation of the farmers in cooperatives and farmer groups.Keywords: dairy cows; Stochastic Production Frontier; technical efficiency


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