nep-eff New Economics Papers
on Efficiency and Productivity
Issue of 2016‒03‒17
seven papers chosen by
Angelo Zago
Università degli Studi di Verona

  1. Technical efficiency in Ghana's cocoa production: evidence from Twifo Hemang Lower Denkyira Area By Obeng, Isaac Antwarko; Adu, Kofi Osei
  2. Reform of public administration in Greece: evaluating structural reform of central government departments in Greece: application of the DEA methodology By Anthony Makrydemetres; Panagiotis D. Zervopoulos; Maria-Eliana Pravita
  3. Returns to agricultural public spending in Ghana: Cocoa versus noncocoa subsector: By Benin, Samuel
  4. The impact of agricultural extension services in the context of a heavily subsidized input system: The case of Malawi: By Ragasa, Catherine; Mazunda, John; Kadzamira, Mariam
  5. Technical Efficiency of Takaful Industry: A Comparative Study of Malaysia and GCC Countries By Hela Miniaoui; Anissa Chaibi
  6. Is small better? A comparison of the effect of large and small dams on cropland productivity in South Africa By Elodie Blanc; Eric Strobl
  7. Large farm establishment, smallholder productivity, labor market participation, and resilience : evidence from Ethiopia By Ali,Daniel Ayalew; Deininger,Klaus W.; Harris,Charles Anthony Philip

  1. By: Obeng, Isaac Antwarko; Adu, Kofi Osei
    Abstract: This study examined the production efficiency of cocoa farmers in Twifo Hemang Lower Denkyira area composed of two districts namely Twifo Ati Mokwa district and Hemang Lower Denkyira districts in the central region of Ghana using farm level data. Results presented were based on data collected from multi-stage sampling of 326 cocoa farmers in twenty (20) communities using standardized structured questionnaires. The productivity and technical efficiency in cocoa production were estimated through stochastic frontier production function analysis using the Frontier 4.1 software. Empirical results showed that cocoa farms in the study area exhibited increasing returns-to-scale (RTS=1.2109), indicating reducing average costs (AC) of production. This implies that cocoa farmers were operating in the irrational zone of production (stage I), an indication of inefficiency in production. The technical efficiency indexes of farmers varied from 0.116 (11.6%) to 0.9998 (99.98%), with mean of 0.54 (54%). The main factors that significantly affected technical efficiency in cocoa production were found to be estimated number of hybrid plant, level of education and age of tree. Among others, the study recommended that the Cocoa Rehabilitation Unit of the Cocobod should help farmers to rejuvenate and or re-plant the aged cocoa farms with hybrid varieties improve resource use efficiency in cocoa production in cocoa production.
    Keywords: cocoa, technical efficiency, production functions, stochastic frontier analysis
    JEL: Q1
    Date: 2016–02–23
  2. By: Anthony Makrydemetres; Panagiotis D. Zervopoulos; Maria-Eliana Pravita
    Abstract: The focus of this study is the evaluation of the efficiency and effectiveness of Central Government Departments (CGDs) in Greece. Measurements are compared with those defined by the Administrative Reform 2013 (AR2013) to assess whether the reforms introduced by the AR2013 to the CGDs attain the objectives of efficiency and effectiveness. The efficiency and effectiveness measurements of 19 CGDs drew on four Data Envelopment Analysis (DEA) models (i.e. Variable Returns to Scale DEA; Targeted factor-oriented radial DEA; Stochastic DEA; and Quality-driven Efficiency-adjusted DEA). This analytical methodology does more than merely attempt to defend or argue against the AR2013. It rather provides a concrete analytical framework for evaluating the performance of public organisations across the board, suggesting reforms that promote efficiency and effectiveness, and advance managerial capacity.
    Keywords: Public administration; central government departments; administrative
    JEL: C67 D24 H11
    Date: 2016–02
  3. By: Benin, Samuel
    Abstract: Using public expenditure and agricultural production data on Ghana from 1970 to 2012, this paper assesses the returns to public spending in the agricultural sector, taking into consideration expenditures on agriculture as a whole and then separately for expenditures in the cocoa versus the noncocoa subsectors. Production functions for the agricultural sector as a whole are estimated first, and then separately for the two subsectors, to obtain elasticities of land productivity with respect to total and sectorial agricultural expenditure. Different regression methods and related diagnostic tests are used to address potential endogeneity of agricultural expenditure, cross-subsector dependence of the production function error terms, and within-subsector serial correlation of the error terms. The estimated elasticities are then used to calculate the rate of return (ROR) to expenditures in the sector as a whole and within the two subsectors. The elasticities are estimated at 0.43 for total agricultural expenditure; 0.13 for aggregate expenditure in the noncocoa subsector; and 0.19–0.53 for expenditure in the cocoa sector, depending on aggregation or disaggregation of expenditure on the Ghana Cocoa Board and other industry costs. The ROR is estimated at 141–190 percent for total agricultural expenditure, 124 percent for expenditure in the noncocoa subsector, and 11–39 percent for expenditure in the cocoa subsector. The relatively higher ROR in the noncocoa subsector is mostly due to a much lower expenditure-to-productivity ratio. Implications are discussed for raising overall productivity of expenditure in the sector, as well as for further studies, such as obtaining actual time-series data on some of the production factors in the two subsectors and obtaining information on the quality of sectorial expenditures to model different time-lag effects of spending in the different subsectors.
    Keywords: cocoa beans, public expenditure, productivity, agricultural expenditure, rate of return, regression,
    Date: 2016
  4. By: Ragasa, Catherine; Mazunda, John; Kadzamira, Mariam
    Abstract: This paper aims to test this hypothesis and to contribute to better understanding of strategies to revitalize the agricultural extension system in Malawi. Specifically, it examines the interplay between the fertilizer subsidy and access to extension services, and their impact on farm productivity and food security in Malawi. Results show that the fertilizer subsidy has inconsistent impact on farm productivity and food security; at the same time, access to agricultural advice was consistently insignificant in explaining farm productivity and food security. Further analysis, however, shows that when access to extension services is unpacked to include indicators of usefulness and farmers’ satisfaction, these indicators were statistically significant. Households who reported that they received very useful agricultural advice had greater productivity and greater food security than those who reported receiving advice that they considered not useful. This result implies the need to ensure the provision of relevant and useful agricultural advice to increase the likelihood of achieving agricultural development outcomes
    Keywords: extension services, fertilizers, subsidies, productivity, food security,
    Date: 2016
  5. By: Hela Miniaoui; Anissa Chaibi
    Date: 2016–02–18
  6. By: Elodie Blanc; Eric Strobl
    Date: 2016–02–18
  7. By: Ali,Daniel Ayalew; Deininger,Klaus W.; Harris,Charles Anthony Philip
    Abstract: Although the nature and magnitude of (positive or negative) spillovers from large farm establishment are hotly debated, most evidence relies on case studies. Ethiopia's large farms census together with 11 years of nation-wide smallholder surveys allows examination and quantification of spillovers using intertemporal changes in smallholders'proximity and exposure to large farms, generally or growing the same crop, for identification. The results suggest positive spillovers on fertilizer and improved seed use, yields, and risk coping, but not local job creation, for some crops, most notably maize. Most spillovers are crop-specific and limited to large farms'immediate vicinity. The implications for policy and research are drawn out.
    Keywords: Livestock and Animal Husbandry,Climate Change and Agriculture,Agricultural Knowledge and Information Systems,Agriculture and Farming Systems,Crops and Crop Management Systems
    Date: 2016–02–23

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