Stochastic frontier production function: an application to ankara mohair goat farming system

The main purpose of this paper is to ascertain changes in the performance of the Mohair (Ankara) goats farming system during the 2017-2018 production periods. In this study, we examined both production and technical efficiency of goat's farms in Ankara. The study adopted the stochastic frontier production function to estimate technical efficiency of the mohair goat establishments in the study area. The model utilized data from 45 Turkish mohair goat farmers. At the same time, technical inefficiency effect model also was calculated by the same method. The Cobb-Douglas production function was ascertained as a best fitted model. In addition, the technical inefficiency effects contained random element. The empirical results revealed statistically insignificant individual effects of some of the variables. However, all of the joint effects of these four explanatory variables on the levels of technical inefficiencies were statistically significant in the mohair goat farming system of Ankara in Turkey.