Stochastic and meta frontier analysis of camel milk traders in Northern Kenya using Stata.
# Meta Frontier Efficiency Analysis of Camel Milk Traders
## Project Overview
This project analyzes profit efficiency and technology gaps among 870 camel milk traders across five counties in Northern Kenya: Garissa, Marsabit, Isiolo, Turkana, and Wajir. The analysis evaluates regional differences in production technologies and identifies how geography influences profit efficiency.
## Methods
- Stochastic Frontier Analysis (SFA) using translog profit functions
- County-specific frontier estimation
- Meta frontier estimation for cross-county comparison
- Profit Efficiency Gap Ratio calculation
- Meta Technical Efficiency computation
## Data
- Survey of camel milk traders (inputs: labor, capital, milk purchase; output: normalized profit)
- County-level data on trader characteristics and market conditions
## Files
- `meta_frontier_analysis.do` → Stata script implementing SFA and meta frontier analysis
- `research_summary.pdf` → research objectives, methodology, key results, and policy implications
- `results_note.pdf` → efficiency scores, meta efficiency, and county-specific gap ratios
## Key Results
- None of the counties lie on the meta frontier, indicating technology gaps.
- Profit efficiency gap ratios vary across counties (highest in Isiolo and Marsabit, lowest in Turkana).
- Traders use different production technologies, likely influenced by geography and market access.
## Skills Demonstrated
- Stata programming and data manipulation
- Applied microeconometrics and econometric modeling
- Stochastic frontier and meta frontier analysis
- Agricultural market efficiency and policy analysis
## How to Use
1. Open `meta_frontier_analysis.do` in Stata.
2. Ensure the dataset is loaded and all variable names match.
3. Run the script to reproduce county-specific frontiers, meta frontier, efficiency scores, and gap ratios.
## License
This project is open for academic and research purposes. Please cite appropriately if used.
## Contributors
Project developed in collab …