摘要:Traditional measures of agricultural productivity only incorporate those inputs andoutputs that are recorded in market transactions. However, such measures do not accountfor externalities such as environmental damage. This study uses an output distancefunction framework to estimate a Malmqvist productivity index for a panel of GreatPlains states then adjusts this index by incorporating nitrogen effluent into the analysis.We estimate that long-run environmentally-adjusted productivity growth wasapproximately 13 percent below the unadjusted rate during the sample period. Howeverthe environmentally sensitive productivity rate actually exceeded the unadjusted rate inrecent years, reflecting reductions in the discharge of agricultural nitrogen into theenvironment.