By Oliver W Castalonge
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Extra resources for Agricultural systems : economics, technology and diversity
During the time period (1998 – 2002) when a large part of the data used in this study was collected, the average herd size was about 30 cows. Due to a major structural change that is taking place at the moment, the average herd had grown to 46 cows in 2005 (Statistics Sweden, 2006), a figure that suggests that the farms grow quickly. However, many dairy farms also exit dairy production. Farm production at a Swedish dairy farm is often diversified, where the farms have major beef production and also Drivers and Restraints for Economic and Technical Efficiency in Dairy Farms 19 cash crop production.
2008). The effect of operational managerial practices on economic, technical and allocative efficiency at Swedish dairy farms. Livestock Science, 118, 34-43. Hansson, H. (2007a). The links between management's critical success factors and farm level economic performance on dairy farms in Sweden. Food Economics - Acta Agricult Scand C, 4, 77-88. 34 Helena Hansson Hansson, H. (2007b). Are larger farms more efficient? A study of the relationships between farm level efficiency and size in Swedish dairy farms.
Tobit regression was used also in the research project synthesized in this chapter. Simpler alternatives, like the ordinary least square regression, may cause predicted values of efficiency to exceed one, which is not desirable. On a few occasions in this research project, however, logistic regressions were used instead, because that modelled better what was demanded. N , i y i 1 if y i y i* if where y i* 1 (13) y i* 1 ~ N (0, 2 ) and the i are the parameters for the explanatory variables.
Agricultural systems : economics, technology and diversity by Oliver W Castalonge