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Effects of agricultural cooperative society on farmers' technical efficiency: Evidence from stochastic frontier analysis

Lookup NU author(s): Dr Glyn Jones, Shan Jin, Professor Zhenhong Li, Professor Lynn FrewerORCiD

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This work is licensed under a Creative Commons Attribution 4.0 International License (CC BY 4.0).

Abstract

© 2020 by the authors.The impact of agricultural cooperatives on apple farmers' technical efficiency (TE) in China was examined. The cooperatives were divided into two groups: a collective marketing group for farmers and an equivalent non-marketing group that did not provide a marketing service, although other functions remained the same. Using the propensity score matching (PSM) procedure and stochastic production frontier (SPF) modelling, cooperatives' key functions that potentially increase farmers' TE can be identified. The results indicate that membership of either group is positively related to yield. However, cooperatives that were not engaged in marketing achieved higher TE than non-members. This suggests that policy makers should encourage cooperatives to focus on activities that do not include direct marketing to increase TE in apple production in China.

Publication metadata

Author(s): Qu R, Wu Y, Chen J, Jones GD, Li W, Jin S, Chang Q, Cao Y, Yang G, Li Z, Frewer LJ

Publication type: Article

Publication status: Published

Journal: Sustainability

Year: 2020

Volume: 12

Issue: 19

Print publication date: 01/10/2020

Online publication date: 05/10/2020

Acceptance date: 24/09/2020

Date deposited: 11/03/2021

ISSN (electronic): 2071-1050

Publisher: MDPI AG

URL: https://doi.org/10.3390/su12198194

DOI: 10.3390/su12198194

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