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Chube, Boitshepo, 2019. Analysis of production risk and technical efficiency amongst smallholder livestock farmers in Botswana. Second cycle, A2E. Uppsala: SLU, Dept. of Economics



Achieving full efficiency is what every farmer desires to attain however due to constraints that they are faced with this is usually not possible. This study uses cross-section data to identify the shocks or risks that Botswana’s smallholder livestock producers are exposed to as well as their coping strategies. At the outset a sample of 540 observations which includes large and small beef producers are used but the econometric model estimated in the thesis is only limited to small beef producers. Furthermore, the study seeks factors that determine technical efficiency amongst small beef producers. The preliminary estimation of the Just-Pope production function did not lead to interpretable econometric results and for this reason, a change had to be made in the adopted empirical model. An alternative stochastic production model has been implemented empirically and estimated using a maximum likelihood (ML) estimation approach. The empirical results show that herd size and off-farm income reduce technical efficiency, an increase rainfall and household size were found to increase inefficiency. Moreover, production risk increases with an increase in maximum temperature but reduces with an increase in rainfall. The mean technical efficiency for the study area is 0.837.

Main title:Analysis of production risk and technical efficiency amongst smallholder livestock farmers in Botswana
Authors:Chube, Boitshepo
Supervisor:Surry, Yves
Examiner:Hart, Robert
Series:Examensarbete / SLU, Institutionen för ekonomi
Volume/Sequential designation:1197
Year of Publication:2019
Level and depth descriptor:Second cycle, A2E
Student's programme affiliation:NM005 Environmental Economics and Management - Master's Programme 120 HEC
Supervising department:(NL, NJ) > Dept. of Economics
Keywords:production risk, technical inefficiency, smallholder farmers, Botswana
Permanent URL:
Subject. Use of subject categories until 2023-04-30.:Rural sociology and social security
Animal husbandry
Deposited On:05 Apr 2019 06:36
Metadata Last Modified:04 Jun 2020 12:17

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