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Backyard Hog Production Efficiency: Evidence from the Philippines *
Author(s) -
Mugera Amin W.,
Featherstone Allen M.
Publication year - 2008
Publication title -
asian economic journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.345
H-Index - 28
eISSN - 1467-8381
pISSN - 1351-3958
DOI - 10.1111/j.1467-8381.2008.00278.x
Subject(s) - tobit model , data envelopment analysis , economics , production (economics) , production efficiency , sample (material) , capital (architecture) , econometrics , econometric model , economic efficiency , efficiency , productive efficiency , scale (ratio) , microeconomics , statistics , mathematics , engineering , mechanical engineering , chemistry , archaeology , chromatography , estimator , history , physics , quantum mechanics
This article investigates the economic efficiency and the factors associated with efficiency for a sample of 126 hog producers in the Philippines. The input‐oriented efficiency indices are computed and bootstrapped using data envelopment analysis. Econometric analysis of the factors influencing the efficiency indices are conducted using the Tobit model. Fixed capital does not influence the efficiency scores, whereas labor does negatively influence the efficiency indices. On average, technical efficiency is low, an indication that most households are not using the most efficient technology. Scale efficiency is fairly high but constrained by lack of operating capital and managerial skills. Technical efficiency is constrained by lack of access to credit and limited experience in hog production.