Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/146558
Authors: 
Aroa, Nitin
Year of Publication: 
2013
Citation: 
[Journal:] Atlantic Review of Economics [ISSN:] 2174-3835 [Volume:] 2 [Year:] 2013
Abstract: 
The study is an endeavor to test the validity of convergence hypothesis in Indian sugar Industry. For inferential purpose, data for 12 major sugar-producing states over the period 1974/75 to 2004/05 has been used. The technical efficiency and scale efficiency scores have been computed using the technique of full cumulative data envelopment analysis (DEA). From the empirical results, an average inefficiency to the tune of 35.55 percent has been observed in Indian sugar industry. The search for sources of technical inefficiency reveals that managerial inefficiency (i.e., pure technical inefficiency) is the dominant source and scale inefficiency is relatively scant source of it. The inference of the existence of catching-up (i.e., efficiency convergence) has been found valid during the pre-reforms period, which disappears during the post-reforms period. Moreover, the reforms process has been observed adversely affected the efficiency trends and thus, failed to exert any positive impact on the efficiency of Indian sugar industry at both national and state levels.
Subjects: 
Technical Efficiency
Scale Efficiency
Convergence
Indian Sugar Industry
JEL: 
O10
O57
R11
C02
C69
D24
Document Type: 
Article

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