Production Efficiency and Health of Farm Households in Ogun and Oyo States Nigeria
Good health is an asset for agriculture, as healthy people can produce more and good nutrition contributes to it. The study was carried out in Ogun and Oyo states in South-west Nigeria. The broad objective of the study was to analyse the effect of health on agricultural production efficiency in Ogun and Oyo States. Specifically, the objectives of the study were to describe socioeconomic characteristics and prevailing illness of farm household; estimate the production efficiency among the farm households and to determine the effect of health on production efficiency of the farm households in the study area. The sampling technique that was adopted for this study is Multi-stage sampling techniques and 450 respondents were randomly selected from the two states. The primary data for the study were analysed by a combination of descriptive statistics, Data Envelopment Analysis (DEA) and Tobit regression methods. Results revealed that technical efficiency among the respondents varied substantially between 0.51 and 1.00, with a mean technical efficiency of 0.76. The mean allocative and economic efficiency of farm households are 0.71 and 0.53 respectively. The two limit Tobit model was used to analyze the effects of various socio-economic characteristics of the farm households on the production efficiency. The data envelopment analysis revealed that inefficiencies exist among farming households hence there is need to improve the output of farmers. The study therefore concludes that production efficiency of farm household is significantly impaired by ill health, most especially the incidence of malaria.
Keywords: Agriculture, Health, Efficiency, Nigeria