Parametric Decomposition Of The Malmquist Index In An Output Oriented Distance Function
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Parametric Decomposition of the Malmquist Index in an Output-Oriented Distance Function
Author: Bingxin Yu
language: en
Publisher: Intl Food Policy Res Inst
Release Date: 2013-02-25
The paper extends the methodology of parametric decomposition of the Malmquist productivity index using an output distance function. This approach addresses common methodological issues in total factor productivity estimation to produce credible and relevant results. The Malmquist index can be decomposed into several components: technical change (further broken down into technical change magnitude, input bias, and output bias), technical efficiency change, scale efficiency change, and output-mix effect. A translog output distance function is chosen to represent the production technology, and each component of the Malmquist index is computed using the estimated parameters. This parametric approach allows us to statistically test hypotheses regarding different components of the Malmquist index and the nature of production technology. The empirical application to Chinese agriculture shows that productivity grows at 2 percent per year on average from 1978 through 2010. The growth is mostly driven by technical change, which is found to be technology neutral.
Opportunities and Challenges for Community Involvement in Public Service Provision in Rural Guatemala
Author: Johanna Speer
language: en
Publisher: Intl Food Policy Res Inst
Release Date: 2013-03-11
The purpose of the research summarized in this paper is to provide policy-relevant knowledge on the governance of rural services in Guatemala and thus to contribute to improving the provision of services that are essential for agricultural and rural development. Almost 10 years ago, the Guatemalan government decided to strengthen decentralization and community participation to improve the quality of public services, as well as access to these services for the poor, especially in rural areas. Based on quantitative and qualitative primary data, we examine how services are actually provided today and how community preferences and participation affect service provision in rural Guatemala. Our main finding is that the provision of formally decentralized services by local governments is incomplete. As a result, many rural communities continue to lack access to services, and some of them engage in supplying these services themselves. However, communities do not consider themselves to be more effective at service provision and would therefore prefer to be served by the government. Moreover, we find that community participation in the planning and evaluation of services has a positive impact on the responsiveness of the local governments service provision. However, the effectiveness of community participation varies greatly among the examined cases, with several participatory governance bodies not functioning properly due to low education levels, poverty, and weak civil-society organization.
Factor endowments, wage growth, and changing food self-sufficiency: Evidence from country-level panel data
Author: Keijiro Otsuka
language: en
Publisher: Intl Food Policy Res Inst
Release Date: 2013-02-26
Asian countries have witnessed a sharp increase in real wage as a result of rapid economic growth and structural transformation in recent years. Using a country level panel data from 1980 to 2010, this paper examines the effects of real wage increase on Asian agriculture that traditionally used family labor intensively on small farms. The empirical evidence supports our hypothesis that an increase in real wages, along with absorptions of labor into nonagricultural sectors, has been inducing the substitution of labor by machines in agriculture. However, this process is less successful in the countries that are constrained by their small operational land sizes, resulting in lowered land productivity. We also demonstrated that dynamic changes in yield are an important determinant of food self-sufficiency ratio. The above findings imply that in the near future, Asian agriculture can face a challenge in maintaining domestic food production. Given the large size of consumer demands in the region and its increasing trend, the future path of Asian agriculture could be a significant constraint on the global food supplydemand balance.