nep-agr New Economics Papers
on Agricultural Economics
Issue of 2008‒05‒17
seventeen papers chosen by
Angelo Zago
University of Verona

  1. CARP Institutional Assessment in a Post-2008 Transition Scenario: Implications for Land Administration and Management (LAM) By Ballesteros, Marife Magno; Cortez, Felino
  2. CARP Institutional Assessment in a Post-2008 Transition Scenario: Toward a New Rural Development Architecture By Adriano, Fermin D.
  3. THE ECONOMICS OF BIOMASS COLLECTION,TRANSPORTATION, AND SUPPLY TO INDIANA CELLULOSIC AND ELECTRIC UTILITY FACILITIES By Sarah C. Brechbill; Wallace E. Tyner
  4. Do Futures Benefit Farmers? By Lence, Sergio H.
  5. Quality, Safety and Consumer Behaviour Towards Organic Food in Germany And Portugal By Maria Raquel Ventura-Lucas; Kerstin Röhrich; Cristina Marreiros; Rui Fragoso; Robert Kabbert; Ana Maria Clara; Inês Martins; Sascha Böhm
  6. India's Lagging Sector: Indian Agriculture in a Globalising Economy By Desh Gupta
  7. EX ANTE NON-MARKET VALUATION FOR NOVEL PRODUCT: LITERATURE REVIEW By Sika Gbegbelegbe Dofonsou; James Lowenberg-DeBoer
  8. Livestock: A Reliable Source of Income Generation and Rehabilitation of Environment at Tharparkar By Herani, Gobind M.; Pervez, Mohammad Wasim; Rajar, Allah Wasayo; Shaikh, Riaz Ahmed
  9. Nutrient Trading in Lake Rotorua: Social, Cultural, Economic and Environmental Issues in a Nutrient Trading System By Kelly Lock; Suzi Kerr
  10. Nutrient Trading in Lake Rotorua: Choosing the Scope of a Nutrient Trading System By Kelly Lock; Suzi Kerr
  11. National Rural Employment Guarantee Programme in Andhra Pradesh: Some Recent Evidence By Prema-chandra Athukorala; Raghav Gaiha; Shylashri Shankar
  12. Valuing Access to U.S. Public Lands: A Unique Pricing Experiment By Aadland, David; Anatchkova, Bistra; Grandjean, Burke; Shogren, Jason; Simon, Benjamin; Taylor, Patricia
  13. Equity Considerations and Payments for Ecosystem Services By Wendy Proctor; Thomas Köllner; Anna Lukasiewicz
  14. Does Trade Liberalization Reduce Pollution Emissions? By MANAGI Shunsuke; HIBIKI Akira; TSURUMI Tetsuya
  15. Models in evolutionary economics and environmental policy: Towards and evolutionary environmental economics By Albert Faber; Koen Frenken
  16. Informing Efficient and Effective Solid Waste Management to Improve Local Environmental Quality and Public Health: Application of the Choice Experiment Method in West Bengal, India By Sukanya Das; Ekin Birol; ARabindra N. Bhattacharya
  17. Stochastic Dominance, Entropy and Biodiversity Management By Catherine M. Chambers; Paul E. Chambers; John R. Crooker; John C. Whitehead

  1. By: Ballesteros, Marife Magno; Cortez, Felino
    Abstract: <p>The objective of this paper is to present the land administration and management (LAM) issues on CARP and determine the necessary institutional reforms on LAM in view of CARP expiration in 2008. The paper discussed the adverse effects brought about by weak land policy and poor land administration on attaining the objectives of CARP. The poor land records, the lack of information sharing among government land agencies, the tedious land titling and registration process, the unclear land policies have resulted not only in prolonged implementation of the program but also flawed land redistribution and incomplete transfers of property rights. These outcomes evolved second-generation issues as “unperfected” titles are traded despite the restrictions imposed by the land reform law.</p> <p>The current LAM in the country showed that the system cannot handle the land transactions that evolve and continue to evolve from hundreds and thousands of transactions involving CARP-awarded lands. There is a need to restore not only the confidence on Torrens system of titling on agriculture lands but also to restore the functioning of the rural land market. This is a key challenge on LAM since it would require reconciling information from key land agencies and including that of the LandBank. It will also require legislative actions on land market regulations, land use policy, and land administration in the country.</p>
    Keywords: land reform, land, land ownership and tenure
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:phd:dpaper:dp_2008-07&r=agr
  2. By: Adriano, Fermin D.
    Abstract: <p>The main objective of the paper is to explore possible institutional arrangements among the Comprehensive Agrarian Reform Program (CARP) implementing agencies in a post-2008 transition scenario for CARP. There were three reasons cited for the implementation of the agrarian reform program, namely: (i) to increase productivity, (ii) to reduce inequality particularly in the countryside, and (iii) to address one of the main causes of the persistent Communist insurgency in the country.</p> <p>After reviewing previous studies on new institutional arrangements, the paper recommends the following based on two scenarios. For scenario 1: (extension of CARP for another 7 to 10 years), the following are proffered: a) shifting manpower and resources toward units in DAR that are engaged in LAD and AJD; b) identification and publication of privately agricultural lands that will be covered by the LAD component; c) retooling of DAR personnel to assist in establishing agricultural enterprises out of a partnership between ARBs and agribusiness firms; d) providing capacity-building training for LGUs in preparation for the closure of the program; and e) exerting efforts to collect amortization payments from the ARBs.</p> <p>For Scenario 2 (closure of CARP is envisioned in the next 3 to 5 years), the following are recommended: a) an attractive retirement package should be given to DAR personnel; b) creation of a Land Tenure Administration; c) conversion of PARC into a Joint Commission on Rural Development (JCRD); d) renaming of the Department of Agriculture (DA) to the Department of Agriculture and Rural Development (DARD); e) capacitating LGUs to provide support services to the ARBs; f) passage of a “Progressive Agricultural Land Tax” for private agricultural lands and “Progressive Rents” for public lands; and g) deregulation of land tenure contracts and land markets.</p>
    Keywords: land reform, rural development, land
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:phd:dpaper:dp_2008-06&r=agr
  3. By: Sarah C. Brechbill; Wallace E. Tyner (Department of Agricultural Economics, College of Agriculture, Purdue University)
    Abstract: With cellulosic energy production from various forms of biomass becoming popular in renewable energy research, agricultural producers may be called upon to plant and harvest switchgrass or collect corn stover to supply such energy production to nearby facilities. Determining the entire production and transportation cost to the producer of switchgrass or corn stover and the amount available within a given distance of the plant will result in a per ton cost the plant will need to pay producers in order to be supplied with sufficient quantities of biomass. This research computes up-to-date biomass production costs using recent prices for all important cost components including seed, fertilizer and herbicide application, mowing/shredding, raking, baling, storage, handling, and transportation. The cost estimates also include nutrient replacement for corn stover. The total per ton cost for either switchgrass or corn stover is a combination of these cost components depending on whether equipment is owned or custom hired, what baling options are used, the size of the farm, and the distance that biomass must be transported. Total per ton costs for transporting biomass 30 miles range between $39 and $46 for corn stover and $57 and $63 for switchgrass. Using the county quantity data and this cost information, we then estimated biomass supply curves for three Indiana coal-fired electric utility. This supply framework can be applied to plants of any size, location, and type. Finally, we estimated the greenhouse gas emissions reduction from using biomass instead of coal for part of the utility energy and also the carbon tax required to make the biomass cost equivalent to coal.
    Keywords: Cellulosic biomass, corn stover, switchgrass, biomass supply, GHG reduction
    JEL: Q12 Q42 Q54
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pae:wpaper:08-03&r=agr
  4. By: Lence, Sergio H.
    Abstract: Simulations are used to analyze welfare and market- and farm-level effects of making futures available to producers of a storable commodity. Key features of the model are the explicit consideration of dynamic impacts due to inventories, and of aggregate market effects associated with futures adoption by some producers. Application to the natural rubber market shows that futures availability can lead to sizeable market- and farm-level effects. Futures availability enhances consumer welfare, reduces non-adopter welfare, and yields important welfare gains for adopters when their market share is small and welfare losses when they account for a sufficiently large market share.
    Keywords: Commodity markets, futures, natural rubber, rational expectations, storage model, welfare analysis
    JEL: C6 G1 Q1
    Date: 2008–04–19
    URL: http://d.repec.org/n?u=RePEc:isu:genres:12919&r=agr
  5. By: Maria Raquel Ventura-Lucas (Universidade de Évora); Kerstin Röhrich (IASP - Institut für Agrar- und Stadtökologische Projekte an der Humboldt-Universität zu Berlin); Cristina Marreiros (Universidade de Évora); Rui Fragoso (Departamento de Gestão de Empresas, Universidade de Évora); Robert Kabbert (IASP - Institut für Agrar- und Stadtökologische Projekte an der Humboldt-Universität zu Berlin); Ana Maria Clara (Undergraduation student, Universidade de Évora); Inês Martins (Undergraduation student, Universidade de Évora); Sascha Böhm (Undergraduation student, Humboldt-Universität zu Berlin)
    Abstract: Based on one project supported by the CRUP - Acções Integradas Luso Alemãs 2004 in Portugal and the Programm des Projektbezogenen Personenaustauschs (PPP) 20004 mit Portugal in Germany, the paper present the specific results of quality, safety and consumer studies developed under the progect. The goal of this paper is to analyse quality and food safety literature about organic food products (OFP) and to compare Portuguese and German consumer behaviour towards OFP. For this purpose, an extensive literature review was done and a consumer survey was implemented, with data collected by means of personal interviews in the capital cities of the two countries,. The data was analysed using descriptive statistics and a comparison of Portuguese and German consumers was made with the help of chi-square tests and ANOVA. The results show positive consumer attitudes towards OFP. However, its consumption is much lower than could be expected from these attitudes. Intentions to buy OFP are quite high, suggesting that these products might obtain a substantial market share in the future. This is an encouraging sign for prospective producers of OFP, who might compensate the likely increase in unitary production costs with an increase in total production.
    Keywords: Organic food products, consumer behaviour, Germany, Portugal.
    JEL: M31 Q13 Q56 I12
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:cfe:wpcefa:2008_05&r=agr
  6. By: Desh Gupta
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pas:asarcc:2008-05&r=agr
  7. By: Sika Gbegbelegbe Dofonsou; James Lowenberg-DeBoer (Department of Agricultural Economics, College of Agriculture, Purdue University)
    Abstract: This paper provides a critical review of the literature on non-market valuation methods to estimate the welfare impact of novel products; it is the first study to assess both observed data- and perception-based methods as non-market valuation methods. Observed databased methods include budgets, regression, mathematical programming, and simulation. Perceptions-based methods include the contingent valuation method, choice-based conjoint analysis and experimental methods. Findings imply that the preferred observed data-based method to estimate the ex ante economic impact of a new technology on the welfare of the farm household is a combination of simulation and mathematical programming. The preferred perceptionbased method for estimating the ex ante impact of a novel product on the welfare of an economic agent is represented by experimental methods. Findings also imply that observed-data based methods and more specifically mathematical programming are more popular for estimating the ex ante farm-level economic impact of a new technology. On the other hand, perception-based methods are more popular for estimating the economic impact of a novel product for consumers.
    Keywords: Staff working papers, Dept. of Agricultural Economics, Internet publications, Purdue University
    JEL: B0 B4 C0 C6 R2
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pae:wpaper:08-02&r=agr
  8. By: Herani, Gobind M.; Pervez, Mohammad Wasim; Rajar, Allah Wasayo; Shaikh, Riaz Ahmed
    Abstract: This paper attempts to identify the farming and growth rate of livestock and demographic conditions helping in its growth and focus is specially to examine: (i) to know the trend of growth of performance of livestock farming; (ii) to promote fencing of farmland and conservation of rangeland for fodder (iii) to find the new topics for further research. Hypothesis given bellow are tested in the light of above objectives: (i). it is hypothysed that livestock farming is reliable source of income generation; (ii). it is also hypothysed that reforming of farmland and rangeland will provide abundant fodder and will prove sustainable source of income generation and rehabilitation of environment. Two alternatives hypothesis are also set: (i). livestock farming is not reliable source of income generation, if properly managed too. (ii) reforming of farmland and rangeland will not provide abundant fodder and will prove sustainable source of income generation and rehabilitation of environment. The study reveals that the important component of agriculture sector is livestock and is an insurance against harvest failures and a source of easily cashable investment capital. It has more than 22 percentage of share of whole province’s livestock. Agriculture dependent families are 81 percent and 92 percent families have opinion that livestock is the only first level sustainable source of livelihood in Tharparkar and needs more attention of researchers to evaluate it.
    Keywords: Livestock; Trends; Comparison; Tharparkar; Growth rate; Rehabilitation; Reforming
    JEL: Q13 Q12
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:8700&r=agr
  9. By: Kelly Lock (Motu Economic and Public Policy Research); Suzi Kerr (Motu Economic and Public Policy Research)
    Abstract: At any point in time, all communities face a number of cultural, social, economic and environmental challenges and opportunities. The Lake Rotorua catchment is no different. Water quality in the Rotorua lakes is one of the pressing issues in the catchment, but it is not the only problem residents are facing. A nutrient trading system is one method regulators are considering to control nutrient loss and improve water quality in Lake Rotorua. Such a system aims to achieve nutrient loss targets at the least cost. However, a nutrient trading system is likely to impact - and be impacted by - other issues in the region. This paper discusses how policy makers should account for wider impacts and factors impacted by a nutrient trading system, and discusses how these factors should or should not affect the design of the system. The paper gives examples of environmental, social, cultural and economic issues.
    Keywords: Water quality, nutrients, trading, Lake Rotorua
    JEL: Q53 Q57 Q58
    Date: 2008–04
    URL: http://d.repec.org/n?u=RePEc:mtu:wpaper:08_06&r=agr
  10. By: Kelly Lock (Motu Economic and Public Policy Research); Suzi Kerr (Motu Economic and Public Policy Research)
    Abstract: A nutrient trading system is one mechanism that is currently being considered to control and reduce nutrient loss into Lake Rotorua. However this may not be the best mechanism for controlling nutrient loss from all sources. A more comprehensive system improves efficiency and decreases market power opportunities, but it can also bring increased compliance and administrative costs. This paper discusses which sources should be included in a nutrient trading system for Lake Rotorua including. It examines existing systems and presents an empirical analysis to estimate the impact of including different nutrient sources.
    Keywords: Water quality, nutrients, trading, Lake Rotorua
    JEL: Q53 Q57 Q58
    Date: 2008–04
    URL: http://d.repec.org/n?u=RePEc:mtu:wpaper:08_05&r=agr
  11. By: Prema-chandra Athukorala; Raghav Gaiha; Shylashri Shankar
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:pas:asarcc:2008-04&r=agr
  12. By: Aadland, David; Anatchkova, Bistra; Grandjean, Burke; Shogren, Jason; Simon, Benjamin; Taylor, Patricia
    Abstract: We report the findings of a unique nation-wide experiment to price access to U.S. public lands. In 2004, the U.S. Federal Lands Recreation Enhancement Act mandated the creation of a new annual pass to cover all federal recreation sites that charge an entrance or access fee. Our task was to assist federal policymakers in determining an appropriate price for this new pass. Toward that end, we administered a national telephone survey to over 3,700 households and used contingent valuation to estimate households’ willingness to pay (WTP) for the new pass at different prices. Our innovative experimental design allows us to estimate three distinct components of hypothetical bias in order to calibrate our WTP estimates against actual purchasing decisions. In a sample of the general U.S. population – most of whom have little experience with similar federal passes – respondents tend to greatly exaggerate their WTP for the pass when contrasted with previous pass sales. A sample of recent pass purchasers, however, exhibits little bias, confirming other recent research showing that market experience can mitigate hypothetical bias. Calibrated for bias, our results indicate that the $80 pass price ultimately adopted by policymakers implies an increase of nearly 2.5% in total revenue relative to the former pass, priced at $65, but a 4.5% loss in potential revenue absent any such pass.
    JEL: Q5
    Date: 2008–04–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:8724&r=agr
  13. By: Wendy Proctor (Policy and Economic Research Unit, CSIRO, Canberra, Australia); Thomas Köllner; Anna Lukasiewicz
    Abstract: Payments for Ecosystem Services (PES) schemes are now increasingly being adopted as a solution to environmental conservation problems in many countries throughout the world. Examples of these market based instruments are tradable pollution permits or certificates for ecosystem services. However, equity outcomes have rarely been considered in the implementation of such instruments. Neo-classical economic analysis does not explicitly take such equity considerations into account with efficiency concerns being the overriding goal. Increasingly this is being seen as inadequate to meet sustainability objectives and there is evidence to suggest that the adherence to an equitable framework for such schemes may determine whether or not stakeholders will participate in these markets. In this paper we develop a framework for consideration of equity in PES schemes. First the background and historical beginnings of these instruments are provided. A review of some existing schemes, particularly those that have tried to address income equity (pro-poor schemes), is presented and raises important issues related to efficiency versus equity concerns A framework is then provided to allow for the consideration of equity and fairness in such schemes designed to protect and enhance ecosystem services. Here a methodology for measuring equity, fairness and justice issues in PES and market based instrument schemes is developed on a case by case basis.
    Keywords: Payment for Ecosystem Services, poverty, equity
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:lnd:wpaper:200831&r=agr
  14. By: MANAGI Shunsuke; HIBIKI Akira; TSURUMI Tetsuya
    Abstract: Literature on trade liberalization, economic development, and the environment is largely inconclusive about the environmental consequences of trade. This study treats trade and income as endogenous and estimates the overall impact of trade openness on environmental quality using the instrumental variables technique. Trade is found to benefit the environment using a globally representative sample. A 1% increase in trade openness causes a decrease of 0.344%, 0.754%, and 1.909% for SO2, CO2, and BOD emissions, respectively, in the long term. Our results also show composition and scale-technique effects contribute differently to the overall effect in the short and long term.
    Date: 2008–05
    URL: http://d.repec.org/n?u=RePEc:eti:dpaper:08013&r=agr
  15. By: Albert Faber; Koen Frenken
    Abstract: In this paper we review evolutionary economic modelling in relation to environmental policy. We discuss three areas in which evolutionary economic models have a particularly high added value for environmental policy-making: the double externality problem, technological transitions and consumer demand. We explore the possibilities to apply evolutionary economic models in environmental policy assessment, including the opportunities for making policy-making endogenous to environmental innovation. We end with a critical discussion of the challenges that remain.
    Date: 2008–04
    URL: http://d.repec.org/n?u=RePEc:uis:wpaper:0815&r=agr
  16. By: Sukanya Das (Jadavpur University, Kolkata, India); Ekin Birol (Markets, Trade, and Institutions Division; International Food Policy Research Institute 2033 K St, NW; Washington, DC 20006, USA); ARabindra N. Bhattacharya (Centre for Studies in Social Sciences, Kolkata, India)
    Abstract: In this paper we employ the choice experiment method to estimate residents’ willingness to pay (WTP) for improvements in the solid waste management (SWM) services provided in Chandernagore and South Dum Dum municipalities of Greater Kolkata in West Bengal, India. 101 randomly selected residents took part in a choice experiment survey. Data are analysed with conditional logit, random parameter logit and random parameter logit with interactions models. The best fitting random parameter logit with interactions model reveal that there is significant conditional and unconditional heterogeneity in residents’ preferences for improvements in SWM services. The results reveal that on average residents of these municipalities are WTP significant amounts, in terms of higher monthly municipality taxes, to increase the frequency of waste collection, and to ensure that the waste is collected by covered trucks. Differences in WTP values across residents, however, should be taken into consideration to ensure social equity. The results reported in this paper have important policy implications for informing efficient, effective and equitable SWM services aimed at reducing local environmental pollution and the consequent public health risks.
    Keywords: Municipal solid waste management, choice experiment, conditional logit model, random parameter logit model, interactions, preference heterogeneity, India
    Date: 2008
    URL: http://d.repec.org/n?u=RePEc:lnd:wpaper:200833&r=agr
  17. By: Catherine M. Chambers (University of Central Missouri); Paul E. Chambers (University of Central Missouri); John R. Crooker (University of Central Missouri); John C. Whitehead (Appalachian State University)
    Abstract: In this paper we develop a model of population dynamics using the Shannon entropy index, a measure of diversity that allows for global and specific population shocks. We model the effects of increasing the number of parcels on biodiversity, varying the number of spatially diverse parcels to capture risk diversification. We discuss the concepts of stochastic dominance as a means of project selection, in order to model biodiversity returns and risks. Using a Monte Carlo simulation we find that stochastic dominance may be a useful theoretical construct for project selections but it is unable to rank every case.
    Date: 2008–05
    URL: http://d.repec.org/n?u=RePEc:umn:wpaper:0807&r=agr

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