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Technical efficiency measurement of mussel aquaculture in Greece

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Abstract

In this study, the non-parametric data envelopment analysis was applied in a sample of 66 mussel aquaculture farms for the estimation of the level of technical efficiency. The differences in this estimated level of efficiency were investigated through the application of a Tobit regression model and a technical and economic descriptive analysis provided an indicative picture of the structure and the economic performance of the efficient farms. The results indicated significant inefficiencies in the utilization of the existing production technology. The estimated mean technical efficiency was 0.761, indicating that the mussel farms could increase their production by 23% given the level of inputs. Moreover, the results of the Tobit regression model showed that socio-demographic variables, such as farmer’s age, experience in aquaculture, vocational training, and level of education, can partly explain the efficiency differentials. The technical and economic analysis showed that the efficient mussel farms compared to the inefficient farms are larger in size, use less labor per hectare of sea area, and achieve higher net profit.

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Notes

  1. DEA models can be either input or output orientated. In the input orientation, the efficiency scores relate to the largest feasible proportional reduction in inputs for fixed outputs, while in the output orientation, they correspond to the largest feasible proportional expansion in outputs for fixed inputs (Coelli and Lawrence 2006). Mussel farming is a rapidly growing, export oriented sector, and thus, the most appropriate application appears to be that of the output-oriented DEA model.

  2. It should be noted that since the variable of farm successors takes value 1 if the farm will pass to the next generation and 2 if otherwise, a negative (positive) coefficient indicates that the associated variable has a positive (negative) impact on efficiency.

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Correspondence to Alexandros Theodoridis.

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Theodoridis, A., Batzios, C., Ragkos, A. et al. Technical efficiency measurement of mussel aquaculture in Greece. Aquacult Int 25, 1025–1037 (2017). https://doi.org/10.1007/s10499-016-0092-z

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