Impacts of Efficiency Change on the Productivity Growth of Iran Agriculture

Abstract

The aim of this paper is to study the impacts of technological progress and efficiency change on the productivity growth of Iran agriculture separated by Provinces. The period of this study is from 2005-2014. First of all, the impacts of efficiency change and technology change were separated using DEA and Malmquist model. Then, their impacts on productivity growth were studied. It was concluded that the impact of efficiency change on productivity is stronger than that of technology change. Then, the impacts of production inputs change on three variables i.e. efficiency, technology and productivity were assessed. According to results, labor change has a positive impact on productivity growth while capital change has a negligible impact on the factors of production productivity.