scholarly journals Stochastic Frontier Analysis on Technical Efficiency of Strawberry Farming in Purbalingga Regency Indonesia

2020 ◽  
Vol 9 (2) ◽  
pp. 105
Author(s):  
Irene Kartika Eka Wijayanti, ◽  
Jamhari Jamhari, ◽  
Dwidjono, Hadi Darwanto ◽  
Any Suryantini
Keyword(s):  
Technical Efficiency ◽  
Formal Education ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Technical Inefficiency ◽  
Factors Affecting ◽  
Frontier Analysis ◽  
Central Java ◽  
Frontier Production Function ◽  
Central Java Province

The objective of this study is to determine technical efficiency and factors affecting technical inefficiency of strawberry farming in Purbalingga Regency. This study was conducted in Karangreja Subdistrict, Purbalingga Regency, Central Java Province. Purposive sampling method was utilized to select 100 farmers as the respondents. All of whom have been running their farm business for at least three years consecutively from 2015 to 2017. Stochastic frontier production function was applied to measure technical efficiency and factors affecting technical inefficiency. The findings show that strawberry farming in Purbalingga Regency, Central Java Province, is technically efficient with efficiency number varies between 26.50-99.40% and the average efficiency number of 77.80%. Furthermore, the results indicate that the farmers’ formal education and the number of household members significantly affect the technical efficiency of strawberry farming.

A Stochastic Frontier Analysis of Exporting Small and Medium Sized Enterprises in India

2016 ◽  
Vol 7 (3) ◽  
pp. 1-23
Author(s):  
Manoj Kumar
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Returns To Scale ◽  
Key Factors ◽  
Technical Inefficiency ◽  
Frontier Analysis ◽  
Efficiency Performance ◽  
Size Firm ◽  
Almost All

This study employs a stochastic frontier analysis (SFA) and technical inefficiency effects model to predict the technical efficiency of 3,168 Indian manufacturing and exporting SMEs, analyze their returns to scale and key factors impacting on their technical efficiency. Indian manufacturing and exporting SMEs extensively rely on labor rather than capital to increase their output, including almost all exporting SME groups, except those exporting to North & South America. The production of Indian manufacturing SMEs exporting to Oceania, however, has increasing returns to scale (1.1965). The inefficiency effects model reveals that firm size, firm age, foreign ownership, location and government assistance are firm-specific factors that significantly affect the technical inefficiency of production. Finally, evidence-based policies are also provided to facilitate improvement in the technical efficiency performance of Indian manufacturing and exporting SMEs.

scholarly journals Analysis of Factors Affecting the Technical Inefficiency on Indonesian Palm Oil Plantation

2021 ◽  
Author(s):  
Irawati Abdul ◽  
Dyah Wulan Sari ◽  
Tri Haryanto
Keyword(s):  
Production Function ◽  
Palm Oil ◽  
Household Income ◽  
Stochastic Frontier Analysis ◽  
Seed Quality ◽  
Stochastic Frontier ◽  
Technical Inefficiency ◽  
Factors Affecting ◽  
Frontier Analysis ◽  
Agricultural Business

Abstract This study aims to analyze the factors affecting the technical inefficiency of palm oil plantations in Indonesia by using the stochastic frontier analysis based on the translog production function. The data used in this study are taken from the Central Statistics Agency (Agricultural Business Household Income Survey) in 2013. The number of samples used was 14367 farmers. The results revealed that there is still to increase in the efficiency of palm oil plantations in Indonesia. The production function suggests that increasing the number of trees can help to increase the number of outputs. Additionally, education, age, planting system, seed quality, extension service, and plasma farmer significantly influence the technical efficiency of palm oil plantation.

scholarly journals TECHNICAL EFFICIENCY OF PADDY’S FARMING IN VARIOUS TYPES OF PADDY’S SEEDS IN INDONESIA

2020 ◽  
Vol 13 (3) ◽  
pp. 286
Author(s):  
Venessa Vasthi Winata ◽  
M. Rondhi ◽  
Yasuhiro Mori ◽  
Takumi Kondo
Keyword(s):  
Technical Efficiency ◽  
Formal Education ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Secondary Data ◽  
Household Survey ◽  
Rice Farming ◽  
Frontier Analysis ◽  
Rice Seeds ◽  
The Government

The increasing need for food along with increasing population is one of the problems that must be resolved by Indonesia nation. The government is trying to increase rice production and productivity by using certified seeds. Certified seeds is expected to affect technical efficiency of rice farming. The objectives of this studies are to analyze the level of technical efficiency and to identify the factors that influence the technical efficiency of rice farming in various types of main sources of rice seeds in Indonesia. The study uses secondary data that obtained from Central Bureau of Statistic (BPS) as a results from the 2014 Rice Plant Business Household Survey (SPD 2014). Data were analyzed using stochastic frontier. The results showed that the average technical efficiency level achieved by farmers in rice farming is 0,656 or less than 0,70 (<0,70) so it can be said that rice farming in Indonesia is still technically inefficient. Factors that affecting the technical efficiency of rice farming in various types of main sources of rice seeds in Indonesia were age, formal education, dummy participation of agricultural extension, and dummy certified seeds.  Keywords: certified seeds, rice farming, stochastic frontier analysis, technical efficiency, non-certified seeds

scholarly journals Technical Efficiency Analysis of Smallholder Cacao Plantations in Lampung Province

2017 ◽  
Vol 4 (1) ◽  
pp. 31
Author(s):  
Dewi Mulia Sari ◽  
Anna Fariyanti ◽  
Netti Tinaprilla
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier Analysis ◽  
Group Membership ◽  
Stochastic Frontier ◽  
Rehabilitation Program ◽  
Cocoa Bean ◽  
Factors Affecting ◽  
Frontier Analysis ◽  
Grafting Technique ◽  
Cacao Plantation

<em>Low productivity is the main problem in smallholder cacao plantation. One effort to overcome the problem is through rehabilitation. The research aimed to (1) analyze the factors affecting cocoa bean production, (2) analyze technical efficiency level, and (3) analyze the factors affecting technical efficiency of smallholder cacao plantation in Lampung Province. The research was conducted in Tanggamus and Pringsewu Regency, Lampung, from September to November 2015. A purposive sampling was used which obtained 32 samples of farmers as respondents from rehabilitated plantation with side-grafting technique and non-rehabilitated plantation, respectively. Data were analyzed using stochastic frontier analysis. The results indicated 4 factors affecting smallholders cacao production in Lampung Province, namely land, chemical fertilizer, family-labour, and rent-labour. Smallholder cacao plantation in Lampung Province was technically efficient (0.82) which affected by farmers’ age, farmers’ dependents, farmers group membership, and side-grafting application. Rehabilitated smallholder cacao plantation also showed higher level (ET=0.92) than non-rehabilitated one (ET=0.73). The research implicates on increasing smallholder cacao productivity in Lampung Province, especially the local government, to put more priorities in those factors significantly affecting smallholder cacao production, as well as to give support and facilitate plant rehabilitation program using side-grafting  methods.</em>

The Effects of Improved Cassava Variety Adoption on Farmers’ Technical Efficiency in Indonesia

2021 ◽  
Vol 11 (4) ◽  
pp. 269-278
Author(s):  
Syafrial ◽  
Hery Toiba ◽  
Moh Shadiqur Rahman ◽  
Dwi Retnoningsih
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Probit Regression ◽  
Cross Sectional ◽  
Factors Affecting ◽  
Frontier Analysis ◽  
Access To Credit ◽  
Farm Work ◽  
The Impact

The adoption of technological innovations, such as an improved variety, has been widely promoted worldwide to improve agricultural productivity. This study aimed to examine factors affecting farmers’ decision to adopt a new improved cassava varieties (NICV), and to estimate the effects of NICV adoption on farmers’ technical efficiency. This research used cross-sectional data from 300 cassava farmers in East Java, Indonesia. Furthermore, the data were analyzed by probit regression to examine factors affecting farmers’ decision to adopt NICV. Propensity score matching (PSM) procedures and stochastic frontier analysis were applied to evaluate the impact of NICV adoption on farmers’ technical efficiency. The results indicated that adoption was highly influenced by cooperative membership, access to credit, internet access, certified land, and off-farm work. The stochastic frontier analysis, by controlling the matched sample using PSM procedures, demonstrated that NICV adoption positively and significantly impacted farmers’ technical efficiency. Those who adopted NICV showed a higher technical efficiency level than those who did not. This finding implies that improved varieties could be further promoted to increase productivity. The research suggests that there is a need to improve NICV adoption to increase the levels of technical efficiency and productivity.

scholarly journals Technical Efficiency of Manufacturing Enterprises in Libya: A Stochastic Frontier Analysis

2013 ◽  
Vol 5 (2) ◽  
pp. 528-535
Author(s):  
Hodud Essmui ◽  
Madeline Berma ◽  
Faridah Bt. Shahadan ◽  
Shamshubarida Bt. Ramlee
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier Analysis ◽  
Stochastic Frontier ◽  
Manufacturing Firms ◽  
Firm Level ◽  
Frontier Analysis ◽  
Manufacturing Enterprises ◽  
Stochastic Frontier Production Function ◽  
Econometric Approach ◽  
Frontier Production Function

This paper examines the performance of manufacturing firms in Libya. Specifically, it evaluates firm level technical efficiency. The paper uses an econometric approach based on a stochastic frontier production function to analyze 207 firms from survey conducted from March to May 2013. The results from estimations reveal that technical efficiencies of Libyan manufacturing firms ranging from 37.77 percent to 95.27 percent, with an average of 71.27 percent. While, the percent of firms that considered technically efficient is only 17.87 percent of the total firms.

scholarly journals Technical Efficiency of Smallholder Tomato Production in Semi-Urban Farms in Cameroon: A Stochastic Frontier Production Approach

2017 ◽  
Vol 7 (4) ◽  
pp. 27 ◽  
Author(s):  
Martin Paul Jr. Tabe-Ojong ◽  
Ernest L. Molua
Keyword(s):  
Technical Efficiency ◽  
Stochastic Frontier Analysis ◽  
Smallholder Farmers ◽  
Research Question ◽  
Stochastic Frontier ◽  
Negative Influence ◽  
Farm Size ◽  
Primary Data ◽  
Tomato Production ◽  
Frontier Analysis

Agriculture is the mainstay of Cameroon’s economy as it serves the purposes of food, livelihood and employment. Nevertheless, the country’s agriculture is plagued by low productivity and inefficiency in production. One of the main reasons for low productivity is the inability of farmers to fully exploit available technologies and production techniques. An important research question that comes to mind is, what are the major factors that hinder the technical efficiency of smallholder farmers? This study thus aimed to determine the level of technical efficiency in the production of tomato in smallholder farms, relying on primary data collected using a structured survey instrument administered to 80 tomato farmers in the Buea municipality of Cameroon. Data was analyzed using descriptive statistics and a stochastic frontier analysis method in the Cobb-Douglas production function. The STATA.14 software was used to obtain both stochastic frontier estimates and the determinants of technical efficiency. The results indicate that farmers are not fully technically efficient with a mean technical efficiency score of 0.68 with one farmer operating on the frontier. The study also revealed that most of the farmers irrespective of the size of the holdings have shown technical inefficiency problems. The older farmers were observed with the best measures of technical efficiency. Education, age and the adoption and practice of agronomic techniques had a positive and significant influence on technical efficiency while the nearest distance to the extension agent had a rather negative influence on technical efficiency. The input-output relationship showed that the area of tomato cultivation and the quantity of improved seed used were positive and significantly related to output at the 5% level of probability. As a result, it is recommended that farmers should increase their farm size, use of improved seeds and the adoption and practice of novel techniques in production. More emphasis should be placed on extension agents as they have a significant role to play in terms of improving and augmenting farmers’ education and information base through on farm demonstrations and result oriented workshops as all this will ensure increased production and productivity thereby increasing technical efficiency and achieving food self-sufficiency.

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