Profit efficiency in family-owned crop farms in Eastern Cape Province of South Africa: a translog profit function approach

Mujuru, Nyarai M.; Obi, Ajuruchukwu; Mishi, Syden; Mdoda, Lelethu

doi:10.1186/s40066-021-00345-2

Agriculture & Food Security

Table 3 Maximum Likelihood Estimates of profit frontier function for maize enterprise

From: Profit efficiency in family-owned crop farms in Eastern Cape Province of South Africa: a translog profit function approach

Profit Function	Parameter	Coefficient	Standard error	Z	P > IzI
Land maize	\({\beta }_{3}\)	2076.298	216.0283	9.61	0.000***
Pricemaize	\({\beta }_{4}\)	177.6758	93.40537	1.90	0.057**
Seedmaize	\({\beta }_{11}\)	− 9.259969	2.221791	− 4.17	0.000***
Fertilizer maize	\({\beta }_{22}\)	− 0.1506242	13.25013	− 0.01	0.991
Labour Maize	\({\beta }_{33}\)	− 1.438199	0.478716	− 3.00	0.003***
Interaction_ Land Seed	\({\beta }_{34}\)	− 9.262095	6.830793	− 1.36	0.175
Interaction_ Land Fertilizer	\({\beta }_{3}\)	− 62.28782	14.99107	− 4.15	0.000***
Interaction Land Labour	\({\beta }_{4}\)	− 0.3051261	0.4398202	− 0.69	0.488
Interaction Area Fertilizer	\({\beta }_{11}\)	0.5752275	0.4204012	1.37	0.171
Interaction Seed Fertilizer	\({\beta }_{22}\)	0.0258996	0.0126448	2.05	0.041**
Interaction Fertilizer Land	\({\beta }_{33}\)	− 0.011036	0.0669648	− 0.16	0.869
Constant	\({\beta }_{0}\)	263.5339	245.024	1.08	0.282
Inefficiency
Gender		− 32.43931	68.37034	− 0.47	0.635
Age		10.16991	4.013636	2.53	0.011**
Years of schooling		− 6.755783	10.29214	− 0.66	0.512
Household size		− 61.10439	16.69269	− 3.66	0.000***
Farming experience		1.841484	4.872273	0.38	0.705
Access to extension		99.16797	102.3317	0.97	0.333
Access to credit		− 95.7052	57.87496	− 1.65	0.098*
Constant		437.3711	361.3169	1.21	0.226
Vsigma (Heteroskedasticity test)
Gender		0.9770287	0.3666479	2.66	0.008***
Age		− 0.0771768	0.0191253	− 4.04	0.000***
Years of Schooling		− 0.2305634	0.0464434	− 4.96	0.000***
Household size		− 0.1617799	0.0644347	− 2.51	0.012***
Farming experience		0.0828554	0.0161816	5.12	0.000***
Access to extension		2.976167	0.3194208	9.32	0.000***
Access to credit		− 4.376702	0.7385109	− 5.93	0.000***
Constant		16.80234	1.081866	15.53	0.000***

Number of obs = 157; Wald chi2 (13) = 914.36; Prob > chi2 = 0.0000; Log likelihood = − 1271.2208
**, *Significant at 1% level, 5%, respectively
Stata 14 generated results from survey data

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ISSN: 2048-7010

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