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Does Type of Tenure Impact on Technical Efficiency of Farmers?


<p><em>This study tries to examine the technical efficiency of farmers and investigate its variation between owner-operators and tenants. A Cobb-Douglas stochastic frontier production function and other econometric tools are employed on a cross-section data of 340 households. Mean technical efficiency of sample households is found to be around 62.8 percent, revealing a considerable potential for output gains under the given technology. Farmers having less than two hectares of land and &quot;literate individua&quot; headed households reported higher efficiency. Wealth, credit, fertilizer and rainfall contributed significantly to increase production. Regardless of tenancy-associated problems, no significant efficiency gap is observed between owner-operators and tenants. Although, it requires further inquiry to have a strong position, encouraging land rent/lease among farmers holding an incompatible resource mix could enhance efficiency. Findings suggested that efforts should be exerted towards providing training and extension services, developing small-scale irrigation schemes and expanding the coverage of credit provision to improve productive use of resources of farmers operating in both tenure systems</em></p>

Corporate Author: 
Ethiopian Economic Association/Ethiopian Economic Policy Research Institute (EEA/EEPRI)
Ethiopian Economic Association (EEA)
Primary Descriptors: 

<p>Agricultural innovations</p>

Secondary Descriptor: 

<p>Farms-Ethiopia -Attitudes</p>

Cataloge Date: 
Broad Subject heading: 
Agricultural productivity - Tenure
Call Number: 
330.05 ETH JOU
Serial Key Title: 
Ethiopian Journal of Economics
Publication catagory: 
Content type: 
April, 2000
Publication date: 
2013-03-02 00:00:00
Forum or Discussion date: 
2013-03-02 00:00:00
Place of publication: 
Addis Ababa, Ethiopia
Type of material: 
Serial (Journal)
Current frequency: