Analytical Measurement of Economic Freedom to Enhance Agricultural Efficiency: A Developing Country Perspective

This paper reviews on plausible nexus between economic freedom and efficiency of agricultural farms. It appraises the determinants of economic freedom to facilitate resource-availability for building up capabilities among economic agents by enabling them in economic decision- efficient way. Economic freedom leads to optimum allocation of resources by empowering farmers to access the resources. Agricultural sector requires more freedom of choice and opportunities so that farmers can be able to make efficient production decisions. The production decisions and incentives of farming exaggerated by property rights, land reforms and marketing problems formulated under authorities as these rights are the major institutional factors of development. Since the farmers are less efficient to take rational and cost-effective decisions, economic freedom enables cost estimation ability among the farmers provided through research on several management practices required for the adequate production decisions, prosperity and growth of agricultural sector. While evaluating the determinants of economic freedom towards efficiency issues in agricultural sector, the study observed that economic freedom will enhance incentives and promote high returns on productive efforts such as lowering financial burden, technological development institutions, effective legal system and property rights and deployments of the resources from one use to another to obtain optimum value of output.

Rajni Kapoor*1 and Nimai Das2 Click here to download file

Research Article | Published online : 17-Jun-2021