The paper examines the production efficiency of wheat
producing states of India using state level data for the periods 1990-91 to
2004-05 and 2005-06 to 2013-14 using stochastic production frontier model
proposed by Battese and Coelli (1995). The results show that inefficiency is
present in agricultural production of the states where mean efficiency
estimates ranges from 0.8776 to 0.6634 for 1990-91 to 2004-05 and from 0.9611
to 0.6167 for 2005-06 to 2013-14. For both sub-periods, institutional credit,
net irrigated area and consumption of fertilizers are seen to have a
significant positive impact on agricultural production in these states. Total
state road length per unit of area is seen to be statistically significant in
reducing inefficiency for the period 1990-91 to 2004-05. For 2005-06 to
2013-14, the variables found
to be statistically
significant for the
variations in technical efficiency are rate of rural
literacy, rate of technical education, share of agricultural NSDP to state NSDP
and total state road length per unit of area.
Author (s) Details
Dr. Pia Ghoshal Department of Economics, St. Xavier’s College (Autonomous), Kolkata, West Bengal, India.
Dr. Bhaskar Goswami
Department of Economics, University of Burdwan, Bardhaman, West Bengal, India.
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