| 초록 |
This study investigates technical inefficiencies and economies of scale of rice cultivation in South Korea, providing an empirical evidence for governmental interventions. We adopted a zero inefficiency stochastic frontier (ZISF) approach, which allows for both zero- inefficient and fully inefficient regimes. The probability of zero-inefficiency was estimated to be 0.988. Taking into account the probability of being fully inefficient (1-p), the estimate of technical inefficiency is about 1 percent, which means that S. Korean rice farmers are highly efficient in terms of resourceallocation. In addition, the average scale efficiency is 0.8952, exhibiting economies of scale. Cost savings from scale-up are found to be much bigger in the smaller farmers, implying that farmland scale-up projects targeting beginning farmers, who tend to operate a small-scale farm, would increase their settle down rates by bigger increase in profits.
|
