Pede, V O and Areal, F J and Singbo, A and McKinley, J and Kajisa, K (2018) Spatial dependency and technical efficiency: an application of a Bayesian stochastic frontier model to irrigated and rainfed rice farmers in Bohol, Philippines. Agricultural Economics (TSI), 49 (3). pp. 301-312. ISSN 01695150
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Abstract
We investigated the role of spatial dependency in the technical efficiency estimates of rice farmers using panel data from the Central Visayan island of Bohol in the Philippines. Household‐level data were collected from irrigated and rainfed agro‐ecosystems. In each ecosystem, the geographical information on residential and farm‐plot neighborhood structures was recorded to compare household‐level spatial dependency among four types of neighborhoods. A Bayesian stochastic frontier approach that integrates spatial dependency was used to address the effects of neighborhood structures on farmers’ performance. Incorporating the spatial dimension into the neighborhood structures allowed for identification of the relationships between spatial dependency and technical efficiency through comparison with nonspatial models. The neighborhood structure at the residence and plot levels were defined with a spatial weight matrix where cut‐off distances ranged from 100 to 1,000 m. We found that spatial dependency exists at the residential and plot levels and is stronger for irrigated farms than rainfed farms. We also found that technical inefficiency levels decrease as spatial effects are more taken into account. Because the spatial effects increase with a shorter network distance, the decreasing technical inefficiency implies that the unobserved inefficiencies can be explained better by considering small networks of relatively close farmers over large networks of distant farmers.
| Item Type: | Article |
|---|---|
| Divisions: | Research Program : West & Central Africa |
| CRP: | UNSPECIFIED |
| Uncontrolled Keywords: | Rice farming; Spatial dependency; Bayesian approach; Efficiency, Rice; Bayesian Statistics |
| Subjects: | Others > Rainfed Agriculture Others > Rice Others > Statistics |
| Depositing User: | Mr Ramesh K |
| Date Deposited: | 22 Jun 2018 10:09 |
| Last Modified: | 22 Jun 2018 10:09 |
| URI: | http://oar.icrisat.org/id/eprint/10760 |
| Official URL: | http://dx.doi.org/10.1111/agec.12417 |
| Projects: | UNSPECIFIED |
| Funders: | Japan International Cooperation Agency (JICA) and Japan International Research Center for Agricultural Science (JIRCAS) |
| Acknowledgement: | We would like to thank the Japan International Cooperation Agency (JICA) and Japan International Research Center for Agricultural Science (JIRCAS) for their financial support of the survey data collection; Shigeki Yokoyama for co-managing the project; TakujiW. Tsusaka for data analysis; Modesto Membreve, Franklyn Fusingan, Cesar Niluag, Baby Descallar, and Felipa Danoso of the National Irrigation Administration for arranging the interviews with farmers; and Pie Moya, Lolit Garcia, Shiela Valencia, Elmer Su˜naz, Edmund Mendez, Evangeline Austria, Ma. Indira Jose, Neale Paguirigan, Arnel Rala, and Cornelia Garcia for data collection. Authors would like to thank the editor-in-charge and two anonymous reviewers for their helpful comments. Pede’s time on this research was supported by the RICE CGIAR Research Program. |
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