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Scale Efficiency in Organic and Conventional Dairy Farming AgEcon
Salhofer, Klaus; Kargiannis, Giannis; Sinabell, Franz.
Recently, several studies compared the performance of conventional and organic farms. Most studies concentrated on technical efficiency. In this paper we add to this literature by also comparing the scale efficiency of conventional and organic milk farms in Austria during the period 1997-2002. To do so we utilize a bilateral production frontier that includes both production technologies and Green’s (1995a,b) true fixed effects model to account for firm specific time-invariant heterogeneity and technical inefficiency. We find both groups of farms to be on average equally technical efficient (when compared to their production frontier), but conventional farms being on average considerably more scale efficient. However, while scale efficiency remained...
Tipo: Presentation Palavras-chave: Scale efficiency; Conventional vs. organic farming; Milk production; Austria; Production Economics; Q12; D20.
Ano: 2012 URL: http://purl.umn.edu/124119
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