Impact of Land Ownership on Productivity and Efficiency of Rice Farmers: A Simulated Maximum Likelihood Approach

This paper investigates the factors affecting rice production and technical efficiency of rice farmers in Philippines. Particular attention is given to the role of land ownership. We use the 2007-2012 Loop Survey from the Institute of Rice Research Institute (IRRI) and simulated maximum likelihood (SML) approach. Results show that land ownership plays an important role in rice production. In particular, compared to owner operators, farmers who lease land are less productive. Additionally, result shows that land area, irrigation and labor cost are significant factors affecting rice production. We found mean technical efficiency score of 0.82. Finally, educated females, farmers leasing land and dry season farming tend increase technical inefficiency.