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Keywords:

  • Data envelopment analysis;
  • productivity growth;
  • pesticides;
  • environmental impacts;
  • Netherlands, arable farms

Abstract

This paper employs a dynamic Data Envelopment Analysis (DEA) model to measure the composition of productivity growth of pesticides and the environmental impacts of pesticides. The application focuses on panel data of Dutch arable farms over the period 2003–07. A bootstrap regression model is used to explain farmers' performance, providing empirical evidence of the impact of producer-specific characteristics and environmental factors. The results show that Dutch arable farms have substantial inefficiency in the use of pesticides and high pesticide environmental inefficiency, and appear rather unconcerned about the environmental impacts of their current pesticide use decisions on next period's production environment.