Abstract
Production frontier and panel data : application to grain farmers. This paper deals with the issue of estimating a stochastic production frontier and of measuring technical efficiency from a complete panel of grain farmer from 1982 to 1986. A survey of classical panel data econometric methods (Within and GLS) and their applications underline the limits of their use with respect to the empirical results and the characteristics of our data set. Moreover, the Hausman test shows a correlation between inputs and the error term which represents inefficiency, which invalidates GLS estimation. The use of a new method proposed by Ivaldi, Perrigne and Simioni (1994) based on a co-variance structural analysis allows to reveal correlations between regressors and the individual effect as well as to estimate an individual time-varying technical efficiency. Empirical evidences show a negative correlation between materials and efficiency and a declining trend for efficiency between 1982 and 1986.
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