Production Efficiency of Major Crops among Smallholders Farmers in Central Ethiopia

Agricultural production of most smallholders in Ethiopia is dependent with recurrent rainfall resulted in production variations. Limited input availability and precarious environmental conditions determine smallholders’ decisions on their production and the production efficiencies vary from farmer to farmer. This study was carried out with the aim of analyzing the technical, allocative and economic efficiencies of smallholder farmers in the production of major crops and their determinants in central Ethiopia, Oromia special zone surrounding Addis Ababa. Multistage sampling technique was employed to randomly and proportionally select 386 smallholders from ten PAs. Primary data were collected from smallholders through a semi structured questionnaire using face to face interview. Cross sectional data collected from sampled households in the study area were analyzed using mathematical and econometric methods. Mathematical programming technique selected for this study was Data Envelopment Analysis (DEA) using linear programming technique assuming multi-input and multi-outputs were handled. Tobit regression model was regressed against the socioeconomic, demographic, and institutional variables that are expected to affect the technical, allocative and economic efficiencies of sampled households. The results of estimated efficiency scores show the mean technical, allocative and economic efficiencies were 0.75, 0.60 and 0.45 respectively. The mean scores of efficiencies show underutilization of resources and the possibilities of smallholders to increase their agricultural production by 25%, and reduce cost of production by 40% and total cost by 55%. Marital status, level of education, farming experience, access to credit, cooperative membership, access to farming information, and off/non-farm income has positive influence on the technical, allocative and economic efficiencies. While age of the household head, access to training and livestock size has negative relations to efficiencies. Delivery of agricultural inputs and trainings on time by the government is the key policy implication to improve the efficiencies of smallholders.

IMPACT OF HERD SIZE ON THE PRODUCTIVE EFFICIENCY OF SHEEP BREEDING PROJECTS AT THE KOKJALI REGION IN NINEVEH GOVERNORATE FOR THE PRODUCTION SEASON 2018

This research was aimed study of the impact of at checking the extent of impact of the herd size on the levels of economic efficiency and its components, to indicate the extent of which optimality is realized in the exploitation of sheep breeding fattening inputs and for a sample of 75 farms in the Kokjali region in Nineveh Governorate and for the productive season 2018, spring batch. To achieve the research goal, the sample was divided into three categories according to the numbers of animals in the farms. To measure the economic efficiency and optimality in using the inputs, the DEA data envelopment analysis and the statistical program DEAP were used, and it was found from the results of the analysis that the research sample projects achieved high levels of technical efficiency averaging 0.962, 0.981, and 0.99 for the three categories respectively as a result of breeders having experience and skill in managing the resources used in breeding, whereas the levels of allocative and economic efficiencies were variable in the three categories; the three large volumes achieved the highest levels and averaged 0.852 and 0.843 for the allocative and the economic efficiencies respectively. The results showed that there is an increase in the rates of inputs use of fodder, duration of fattening and labor in the research sample, and a decrease in the use of primary weight inputs and the veterinary services. The third category, which is the largest, achieved the lowest increase and decrease rates compared to other categories, Thus, we recommend the breeders in the research sample projects to take advantage of economies of scale and to exploit barns capacity in proportion to the numbers of animals, and the decision-makers not to follow the open market policy and to put restrictions on smuggling and entry of animals to the country, as well as the necessity of supporting the prices for veterinary services and feed.

Monopolization Standards in US Competition Law: Evolution and Evaluation

The aim of this article is to provide a short overview and analysis of the US antitrust law. Section 2 of the Sherman Act stipulates that it is unlawful to monopolize, or attempt to monopolize, or combine or conspire with any other person or persons, to monopolize any part of the trade or commerce among the several States, or with foreign nations. The article presents case law that reflects the evolution of monopolization standards and provides some interpretations of undertakings’ behavior that can be defined as monopolization. US practice shows that monopolization standards have changed several times, in accordance with the need to increasingly consider economic efficiencies and the consequences of making wrong decisions, which may lead to reduced innovation and other behaviors of undertakings that increase economic efficiency and improve competition, which is a type I error.

Determinants of productivity and efficiency of teff production in southwest Ethiopia: Parametric approach

Agriculture in Ethiopia is characterized by low productivity for most crops including teff which is gaining prominence as both a food and income crop. The low productivity is mostly attributed to inefficiencies. To solve this, improving efficiency of the farmer has received the greatest attention as it is more cost effective than introducing new technologies. This study was undertaken in southwest Ethiopia to assess productivity and technical, allocative and economic efficiencies of teff farmers and identifies factors that determine productivity and inefficiencies. Cross sectional data from a random sample of 323 teff producing farmers collected during 2018/19 production season were used for the analysis. A Cobb-Douglas production function was employed to assess teff productivity and factors conditioning productivity. In addition, stochastic production frontier model was used to estimate technical, allocative and economic efficiency level where as OLS regression was used to identify factors affecting inefficiencies level. The result depicted that productivity of teff was significantly influenced by the use of seed, fertilizer, and labor. The estimated mean values of technical, allocative and economic efficiencies were 69, 60 and 56% respectively, which indicate the presence of inefficiency in teff production in the study area. The OLS model results revealed that education levels, age, soil fertility and frequency of extension contact had a significant negative effect on technical inefficiency. Similarly, education levels, participation in off/non-farm activities, soil fertility and frequency of extension were found to have negative effect on allocative inefficiency while education levels, participation in off/non-farm activities and soil fertility had negative influence on economic inefficiency. Hence, policies and strategies of the government should be directed towards the above mentioned determinants.