Non-parametric approach to the study of farm efficiency in agriculture

This article examines the extent of resource-use efficiency under different types of tenure and different farm sizes in two types of villages — one having high incidence of irrigation facilities and High Yielding Varieties (HYV) technology in an area usually cropped twice the same plot of land every year and the other having no irrigational facilities except rain-water and non-HYV technology in a mono-cropping area because the estimates on the extent of inefficiencies could help to decide whether to improve or to develop new technology to raise productivity. On the basis of a field survey and applying the method of Data Envelopment Analysis (DEA) the authors observe that all farms score high efficiency irrespective of the types of tenure and of farm sizes, in both the types of villages. This seems to suggest that the diffusion of new agricultural technology is not so important in improving the efficiency level of the farm.