Technical Efficiency Analysis of Agricultural Production of BRIC Countries and the United States of America: A Copula-Based Meta-Frontier Approach

This study used the Copula-Based Meta-Frontier Model (CMFM) to analyze agricultural production and technical efficiency (TE) of BRIC countries (i.e., Brazil, Russia, India and China) and the United States of America (USA) covering the period 1965–2013. Results revealed that land was the most important driver in producing large amount of agricultural output of these countries. TE level of USA was stable and increased from 0.31 in 1965 to 0.96 in 2006. Similarly, TE of China also increased from a nearly 0 level in 1965 to 0.97 in 2013. In contrast, TE in India reached its highest point of 0.59 in 1987 but then declined to almost 0 in 2013, which is puzzling. TE level of Brazil varied between 0.01 and 0.31. TE in Russia was steady but remained at a low level close to 0. Both USA and China should focus on developing advanced technologies to improve TE. On the other hand, Brazil and India should improve their productivity by improving mechanization and operation size. Finally, Russia should consider development of selected agriculture products suited to its climate and pursue technological progress.

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