The Effects of Production Input, Technical Efficiency and Other Factors on Jasmine and Nonjasmine Rice Yields in Production Year 1999/2000 in Thailand

Abstract

Abstract

            Both jasmine and nonjasmine rice yields in Thailand are substantially lower than the world rice yield. Sources of yield variations in both kinds of rice, i.e, production input, technical efficiency and other factors are investigated in this study. Factors affecting technical inefficiency are also analysed simultaneously with the production frontiers using maximum likelihood method by Frontier 4.1 computer program. The transcendental logarithmic (translog) and Cobb-Douglas stochastic production frontiers are used. The Cobb-Douglas frontier is finally selected for policy implications. It is found that the crucial factors influencing jasmine rice yield are technical efficiency, chemical fertilizer, labour, irrigation, severe drought and neck blast whereas those for the nonjasmine rice are the same except labour and neck blast. The factor affecting the technical inefficiency for nonlasmine in a negative relationship are male labour to tal labour ratio and experience reflected by age while the labour influences in the positive direction, For the jasmine rice, there is only one variable, i.e., male-labour to total labour ratio, that influences the technical inefficiency significantly.