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Impact of Direct Income Payments on Productive Efficiency of Korean Rice Farms 31
Kang, Hye-Jung; Kim, Jeong-Ho.
This paper examines the impact of direct income payments on productive efficiency of Korean rice farms, using farm-level cross sectional data in 2006. For representation of efficiency and its determinants, this paper uses a model that estimates the deviations of farms from a translog distance function and the determinants of these deviations. This paper especially estimates a stochastic frontier production function to explain deviations from best-practice productivity with a two-part error term including statistical noise from measurement error and technical inefficiency arising from farms not reaching the production frontier boundary. The empirical evidence finds that farms that get a higher share of direct payments in farm revenue are less efficient than...
Tipo: Journal Article Palavras-chave: Direct income payments; Productive efficiency; Stochastic frontier production function; Korea; Agribusiness; Agricultural and Food Policy; Crop Production/Industries.
Ano: 2008 URL: http://purl.umn.edu/45650
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Effects on Investment of the 2003 CAP Reform: A Household Production Model for Dutch Dairy Farms 31
Peerlings, Jack H.M..
This paper develops a non-separable household production model capable of analysing the effects of the 2003 CAP reform, and especially EU farm payments, on individual Dutch dairy farms. Model results show that the 2003 CAP reform farm payments do not fully compensate the income loss caused by the milk price decrease. This implies that savings, and therefore, investment decreases. Investment shifts away from on-farm investment to off-farm investment. On-farm investment in milk quotas falls compared to investment in capital and land because the shadow price of milk quotas decreases relatively to the shadow prices of land and capital.
Tipo: Conference Paper or Presentation Palavras-chave: Direct income payments; Investment; Household production model; Agricultural and Food Policy; Q12; Q18.
Ano: 2005 URL: http://purl.umn.edu/24649
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Systematic Policy Decisions on Direct Income Payments in Agricultural Policies 31
Fellmann, Thomas; Mollers, Judith.
Direct income payments (DIP) are in the centre of the discussion in the ongoing political debate whether agricultural policy objectives can be pursued in an economically more efficient and less distorting way. This paper discusses under which circumstances DIP are an appropriate and efficient measure to address the objectives of agricultural policies. It identifies and examines the characteristics that DIP should have in the context of different objectives. If governments want to meet their policy objectives by the use of DIP efficiently, a precise definition of the objective is crucial. An optimal policy design achieves a specific objective while keeping the impact on economic distortions low and ensuring efficiency in the allocation of resources. The...
Tipo: Conference Paper or Presentation Palavras-chave: Direct income payments; Agricultural policy; Policy objectives; Decision tree; Agricultural and Food Policy; Q18; E6; H5.
Ano: 2006 URL: http://purl.umn.edu/25684
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