Crops and Livestock Productivity Measures for Selected Countries
In: The journal of developing areas, Volume 44, Issue 2, p. 329-348
ISSN: 1548-2278
A programming problem is introduced which calculates efficiency scores for two jointly produced products. These scores, as well as Malmquist total factor productivity indices, were calculated and reported for both the crop and livestock sectors for 27 countries. Our two-score method allows us to determine whether technical change favors crops or livestock sectors. While numerous other studies have found total factor productivity falling for developing country agriculture, this study indicates that it applies less to livestock production than to crop production. The study also shows that, given its existing set of resources, some developing countries could be more efficient than developed countries. We also show how two-sector scores can be used to determine whether technical change favors one sector over another, which could help to determine a country's comparative advantage and thereby assist with better allocation of its resources.