New Economics Papers
on Agricultural Economics
Issue of 2009‒08‒08
27 papers chosen by

  1. Peasant Classes, Farm Incomes and Rural Indebtedness: An Analysis of Household Production Data from Two States By Arindam Banerjee
  2. South Korea Agriculture Policy Review By Gurung, Rajendra; Pa, Chung; Deng, Hugh
  3. 2008 Michigan Dairy Industry Survey By Bitsch, Vera
  4. Medium Term Outlook for Canadian Agriculture - International and Domestic Markets By Charlebois, Pierre; Gagne, Stephan
  5. Structural Changes in Asparagus Production and Exports from Peru By Shimizu, Tatsuya
  6. Forecast and Simulation Analysis of Mexican Meat Consumption at the Table Cut Level: Impacts on U.S. Exports. By Lopez, Jose A.; Malaga, Jaime E.
  7. Expected Changes in China's Grain and Oilseed Industries and Implications for the U.S. and World Agriculture By Taylor, Richard D.; Koo, Won W.
  8. ACRE in the U.S. Farm Bill and the WTO By Zulauf, Carl; Orden, David
  9. How ya gonna keep ‘em down on the farm: Which Land Grant graduates live in rural areas? By Artz, Georgeanne M.; Yu, Li
  10. Land Retirement Program Design in the Presence of Crop Insurance Subsidies By David A. Hennessy
  11. Global Land Use and Greenhouse Gas Emissions Impacts of U.S. Maize Ethanol: The Role of Market-Mediated Responses By Hertel, Thomas; Golub, Alla; Jones, Andrew; O'Hare, Michael; Plevin, Richard; Kammen, Daniel
  12. CAN PEOPLE DISTINGUISH PÃTÃ FROM DOG FOOD? By Bohannon, John; Goldstein, Robin; Herschkowitsch, Alexis
  13. An Analysis of Pricing in the U.S. Cotton Seed Market By Shi, Guanming; Stiegert, Kyle; Chavas, Jean Paul
  14. Traceability -- A Literature Review By Trautman, Dawn; Goddard, Ellen; Nilsson, Tomas
  15. Heat or Eat?: An empirical analysis of U.K. cold weather income support By Beatty, Timothy K.M.; Blow, Laura; Crossley, Thomas
  16. Optimal Placement of Conservation Practices Using Genetic Algorithm with SWAT By Jha, Manoj; Rabotyagov, Sergey; Gassman, Philip W.
  17. ALERT: FARMERS NEED TO SIGN UP FOR ACRE! By Hilker, Jim; Betz, Roger; Black, Roy
  18. Strategic Vertical Pricing in the U.S. Butter Market By Du, Ying; Stiegert, Kyle
  19. Is a Sustainable Land-Use Policy in Germany Possible? By Beate Fischer; Frank Jöst; Bernd Klauer; Johannes Schiller
  20. The effects of centrally determined water prices on irrigation water demand: evidence from the Victorian State Rivers and Water Supply Commission, 1908-1984 By Edwyna Harris; Robert Brooks; Yovina Joymungul
  21. De Facto and De Jure Property Rights: Land Settlement and Land Conflict on the Australian, Brazilian and U.S. Frontiers By Lee J. Alston; Edwyna Harris; Bernardo Mueller
  23. Money Supply, Food Prices and Manufactured Product Prices: A Causality Analysis for Pakistan Economy By Qazi Muhammad Adnan Hye; Asghar Ali
  24. Economic Effects of Minnesotaâs Basic and Seller Assisted Loan Program on Farm Profitability and Investment By Nel, Roelof; Pederson, Glenn
  25. Dynamic Estimation of U.S. Demand for Fresh Vegetable Imports By Nzaku, Kilungu; Houston, Jack E.
  26. Food Away from Home Consumption and Obesity: Is âAverage Consumerâ a Myth or Reality? By Kyureghian, Gayaneh
  27. Dynamic Estimation of U.S. Demand for Fresh Vegetable Imports By Nzaku, Kilungu; Houston, Jack E; Mohammed, Ibrahim

  1. By: Arindam Banerjee
    Abstract: The paper attempts to appraise the extent of the constraint of credit relations on agricultural production and its differential impact across peasant classes. Additionally, the analysis of the structure of rural indebtedness across peasant classes and size-class groups reveal the significance of a debt-relief policy in the current context and also brings out some of the shortcomings of the ADWDRS announced recently by the government. For this purpose, household-level farm production data is used which was collected in 2006 through a primary field enquiry in three regions, one in West Bengal and two in Andhra Pradesh. [WP 410].
    Keywords: data, production, rural indebtedness, government, vulnerable, price stabilization, credit market, Indian agriculture, Agricultural Policy, Farm Households, House Hold Farm Production, west bengal, andhra pradesh, debt relief, Price Policy
    Date: 2009
  2. By: Gurung, Rajendra; Pa, Chung; Deng, Hugh
    Abstract: South Korea is a highly urbanized and industrialized country. Increased urbanization and greater specialization have led to rising incomes, and changes in food production and consumption patterns. Changes in consumption and increased production specialization have also resulted in changes in trading patterns, with South Korea emerging as a leading importer of agri-food products. South Korea places great importance on self-sufficiency in food staples, and achieving income parity between rural and urban households. To attain these goals, considerable support has been provided to its agriculture sector. South Korea's policy support to the agriculture sector ranks among the worlds' highest. Small holdings still persist, entry into the sector is difficult, and the farm population is aging rapidly. Demographics and resource scarcity are therefore likely to shape the sector's evolution in the coming decades. This note first provides an overview of South Korea's demographics and land resources, followed by a review of the evolution of South Korea's agricultural policies. South Korea's policy support measures are then described, and new policy and regulatory initiatives are discussed.
    Keywords: South Korea, agricultural policy, self-sufficiency, natural resources, demographics, Agricultural and Food Policy, Environmental Economics and Policy, Food Security and Poverty, Institutional and Behavioral Economics, International Development, Labor and Human Capital, Land Economics/Use, Public Economics,
    Date: 2009–05
  3. By: Bitsch, Vera
    Abstract: The Michigan State University (MSU) Dairy Team conducted an industry survey with the objectives of identifying and rating industry priorities. After holding discussion groups across the state, two questionnaires were developed and sent to 2,237 dairy farm owners and operators and 480 allied industry professionals in the state; 23.4% of the dairy farmers and 28.1% of the allied industry professionals returned questionnaires with useable data. This report summarizes respondentsâ ratings of industry issues, as well as education and knowledge needs. In addition, educational preferences, management practices, Internet use and access, demographic information, and farm characteristics are outlined.
    Keywords: dairy farmers, dairy industry, extension evaluation, information sources, internet use, survey questionnaire, Agribusiness, Agricultural and Food Policy, Environmental Economics and Policy, Farm Management, Labor and Human Capital, Livestock Production/Industries, Marketing, Research and Development/Tech Change/Emerging Technologies, Teaching/Communication/Extension/Profession, M0, Q12, Q13, Q14, Q16, Q18,
    Date: 2009–07
  4. By: Charlebois, Pierre; Gagne, Stephan
    Abstract: The purpose of this document is to describe the features of the Agriculture and Agri-Food Canada (AAFC) Medium Term Outlook for Canadian Agriculture (previously entitled Medium Term Policy Baseline) covering the period 2008 to 2018. The outlook is an attempt to outline a plausible future of the international and domestic agri-food sectors. It serves as a benchmark for discussion and scenario analysis. The outlook makes specific assumptions and outlines their implications. Since it assumes that policies remain unchanged from existing legislation, the outlook is not a forecast of future events. The medium term assumptions used and published by the OECD/FAO in the Agricultural Outlook are by in large maintained in the AAFC's outlook but updated to reflect short term price forecasts produced and released by the U.S. Department of Agriculture (USDA) in November 2008. The November 2008 macroeconomic forecast published by the International Monetary Fund (IMF) was also incorporated in the outlook and in particular a 32% reduction in the crude oil price in 2009. AAFC assumed that 3 years will be necessary before the crude oil price returns to the level used in the OECD/FAO medium term outlook. The world prices generated by this process combined with the macro-economic forecast for Canada published by the Conference Board in December 2008 are the key inputs used to produce the Canadian agricultural markets outlook. The key sectors covered are grains, oilseeds and products, special crops, bio-fuels, beef/cattle, pork/hogs, milk and dairy products, chicken, turkey and eggs.
    Keywords: Outlook, Agriculture, Cererals, Oilseeds, Bio-fuels, Livestock, Red meats, Milk, Diary products, Chicken, Turkey, Eggs, Agribusiness, Agricultural and Food Policy, International Relations/Trade, Livestock Production/Industries,
    Date: 2009–02
  5. By: Shimizu, Tatsuya
    Abstract: Asparagus is the star product among non-traditional agricultural exports (NTAXs) in Peru. The export of preserved asparagus has expanded since the end of the 1980s. Although there was some stagnation in the mid-1990s, exports of fresh asparagus have expanded rapidly since the end of the 1990s. Now, the export of both preserved and fresh asparagus constitute the second most important agricultural export in Peru after coffee. Besides the change in demand on the international market, the important factor behind the shift from preserved to fresh asparagus is the change in the supply structure of asparagus. In the case of preserved asparagus, Peruvian exports expanded because of Peru’s competitiveness, which originated from favorable production factors, such as climate, soil and labor. However, because of the growing presence of Chinese products on the international market, Peru’s products lost their competitiveness. In the case of fresh asparagus, the investment of agricultural corporations in production and their innovation in integrating different economic processes from the point of production to the time of export built a successful supply structure that is suited for the export of fresh agricultural produce.
    Keywords: Agriculture, Exports, Asparagus, Peru, Vegetables, Agriculture
    JEL: N56 O13 Q13 Q17
    Date: 2009–05
  6. By: Lopez, Jose A.; Malaga, Jaime E.
    Abstract: An analysis of current and forecasted Mexican meat consumption and imports is presented at the table cut level of disaggregation. Unlike previous studies, this study uses adult equivalence scales, a price imputation approach, a consistent censored demand system, and estimation techniques from stratified sampling. The results indicate that most Mexican consumption and imports of table cuts of meats grow at different rates. In addition, Mexico seems to be following the U.S. preferences for beef cuts, but it does not seem to be following the U.S. preferences for chicken cuts. The study may help U.S. and Canadian meat exporters in forecasting future exports to Mexico, conducting long-term meat investment decisions, or identifying trends in the consumption of specific table cuts of meats.
    Keywords: forecast of Mexican meat consumption, forecast of Mexican imports, U.S. meat exports to Mexico, Mexican meat demand elasticities, meat analysis at the table cut level, censored demand system, two-step estimation procedure, stratified sampling, Agribusiness, Agricultural and Food Policy, Consumer/Household Economics, Demand and Price Analysis, Food Consumption/Nutrition/Food Safety, International Relations/Trade, Q11,
    Date: 2009–07
  7. By: Taylor, Richard D.; Koo, Won W.
    Abstract: A spatial optimization model was developed to analyze the impacts of structural changes in Chinaâs consumption of wheat, corn, rice, and soybeans on its agricultural sector and world agricultural trade. The model included 16 exporting and importing countries and regions. China was divided into 31 provinces and the United States into 24 producing regions and 10 consuming regions. The model optimizes agricultural production and distribution systems to meet the predicted demand for grains and oilseeds in 2020 under several assumptions associated with technical progress in producing the grains and oilseeds in China, the United States, and other countries.
    Keywords: spatial optimization, China, demand, supply, trade, agricultural commodities, Demand and Price Analysis, Industrial Organization, International Development,
    Date: 2009–02
  8. By: Zulauf, Carl; Orden, David
    Abstract: Two counterfactual analyses investigate the new ACRE program. Had ACRE existed instead of the programs authorized during 1996-2006 for corn, soybeans, and wheat, farm program spending would have totaled less. Estimated ACRE revenue payments increase 78 percent when calculated by applying the annual 1996-2006 percentage variations to USDA forecast average 2009-2012 acres, prices, and yields. Traditional marketing loan and counter-cyclical payments are estimated near zero. Policy design issues concern the merit of revenue versus price protection, fixed support targets versus support adjusting with lagged market revenue, and the economic dislocation and WTO compliance from alternative policy instruments.
    Keywords: Farm Policy, Food Conservation and Energy Act of 2008, Average Crop Revenue Election Program (ACRE), WTO Domestic Support Commitments, Agricultural and Food Policy, International Relations/Trade,
    Date: 2009
  9. By: Artz, Georgeanne M.; Yu, Li
    Abstract: Out-migration of college-educated youth from rural areas of the United States is a persistent trend and a salient concern for rural development practitioners. Using a unique dataset compiled from a survey of alumni graduating from a major Midwestern Land Grant University between 1982 and 2006, we address four policy relevant questions pertaining to rural brain drain: which college graduates choose to live in rural areas, how do rural alumni’s career goals differ from those of urban alumni, how do occupation and income differ across these groups and is interest in rural living increasing or decreasing over time? We find strong evidence of brain drain from rural areas roughly 75 percent of rural born alumni lived in urban areas at the time of survey. Rural alumni tend to be rural born, have majors in the College of Agriculture and work or start business in the agriculture-related industries.
    Date: 2009–07–27
  10. By: David A. Hennessy (Center for Agricultural and Rural Development (CARD))
    Abstract: The U.S. federal government implements environmental, biofuels and crop insurance programs that influence land use. They are not well integrated in that cost savings from crop insurance subsidies are not acknowledged when screening land for retirement or when calculating the cost of land retirement programs. We identify and evaluate an optimal benefit index for enrollment in a land retirement program that includes a sub-index to rank land according to insurance subsidy savings. All else equal, land ranked higher in the Lorenz stochastic order should be retired first.
    Keywords: agro-environmental policy, budget, Conservation Reserve Program, crop failure, Environmental Benefit Index, Lorenz order.
    JEL: Q18 Q28
    Date: 2009–07
  11. By: Hertel, Thomas; Golub, Alla; Jones, Andrew; O'Hare, Michael; Plevin, Richard; Kammen, Daniel
    Abstract: With the recent adoption by the California Air Resources Board of California’s Low Carbon Fuel Standard, and USEPA’s Energy Independence and Security Act, greenhouse gas releases from indirect land use change triggered by crop-based biofuels have taken center stage in the debate over the role of biofuels in climate policy and energy security. This paper presents an analysis of these releases for US maize ethanol. Our analysis highlights the key role of market-mediated responses to biofuels mandates. Factoring these into our analysis reduces cropland conversion by 72%. As a consequence the associated GHG release estimated in our framework is just 800 g CO2 MJ -1y (27 g MJ-1 for 30 years of ethanol production). This figure is a quarter of the one previously published value. However, it is still large enough to eliminate the global warming mitigation benefits of most corn ethanol.
    Date: 2009
  12. By: Bohannon, John; Goldstein, Robin; Herschkowitsch, Alexis
    Abstract: Considering the similarity of its ingredients, canned dog food could be a suitable and inexpensive substitute for pâté or processed blended meat products such as Spam or liverwurst. However, the social stigma associated with the human consumption of pet food makes an unbiased comparison challenging. To prevent bias, Newman's Own dog food was prepared with a food processor to have the texture and appearance of a liver mousse. In a double-blind test, subjects were presented with five unlabeled blended meat products, one of which was the prepared dog food. After ranking the samples on the basis of taste, subjects were challenged to identify which of the five was dog food. Although 72% of subjects ranked the dog food as the worst of the five samples in terms of taste (Newell and MacFarlane multiple comparison, P<0.05), subjects were not better than random at correctly identifying the dog food.
    Keywords: Consumer/Household Economics, Demand and Price Analysis,
    Date: 2009–04
  13. By: Shi, Guanming; Stiegert, Kyle; Chavas, Jean Paul
    Abstract: The purpose of the research in this paper is to investigate the impact of differentiated vertical strategies by agricultural biotechnology firms in the U.S. cottonseed market. The model advances the measurement of industry concentration to consider substitution/complementarity relationships among differentiated products delivered under different vertical structures. We find evidence of sub-additive pricing in the stacking of bundled biotech traits. Prices paid by farmers for cottonseed sold under vertical integration are found to be higher than under licensing. The model is flexible and allows for evaluation of the effects of changing market structures. The parameters on traditional measures of concentration indicate that higher concentration leads to higher prices. The effects of cross-market concentrations stress the need to conduct the analysis in a multi-market context.
    Keywords: Modal Vertical Strategy, imperfect competition, cotton seed, biotechnology, Agricultural and Food Policy, Demand and Price Analysis, Industrial Organization, L13, L4, L65,
    Date: 2009–06
  14. By: Trautman, Dawn; Goddard, Ellen; Nilsson, Tomas
    Abstract: In light of recent food safety crises and international trade concerns associated with food or animal associated diseases, traceability has once again become important in the minds of public policymakers, business decision makers, consumers and special interest groups. This study reviews studies on traceability, government regulation and consumer behaviour, provide case studies of current traceability systems and a rough breakdown of various costs and benefits of traceability. This report aims to identify gaps that may currently exist in the literature on traceability in the domestic beef supply chain, as well as provide possible directions for future research into said issue. Three main conclusions can be drawn from this study. First, there is a lack of a common definition of traceability. Hence identifying similarities and differences across studies becomes difficult if not impossible. To this end, this study adopts CFIAâs definition of traceability. This definition has been adopted by numerous other agencies including the EUâs official definition of traceability however it may or may not be acceptable from the perspective of major Canadian beef and cattle trade partners. Second, the studies reviewed in this report address one or more of five key objectives; the impact of changing consumer behaviour on market participants, suppliers incentive to adopt or participate in traceability, impact of regulatory changes, supplier response to crisis and technical description of traceability systems. Drawing from the insights from the consumer studies, it seems as if consumers do not value traceability per se, traceability is a means for consumers to receive validation of another production or process attribute that they are interested in. Moreover, supply chain improvement, food safety control and accessing foreign market segments are strong incentives for primary producers and processors to participate in programs with traceability features. However the objectives addressed by the studies reviewed in this paper are not necessarily the objectives that are of most immediate relevance to decision makers about appropriate traceability standards to recommend, require, subsidize etc. In many cases the research objectives of previous work have been extremely narrow creating a body of literature that is incomplete in certain key areas. Third, case studies of existing traceability systems in Australia, the UK, Scotland, Brazil and Uruguay indicate that the pattern of development varies widely across sectors and regions. In summary, a traceability system by itself cannot provide value-added for all participants in the industry; it is merely a protocol for documenting and sharing information. Value is added to participants in the marketing chain through traceability in the form of reduced transactions costs in the case of a food safety incident and through the ability to shift liability. To ensure consumer benefit and have premiums returned to primary producers the type of information that consumers value is an important issue for future research. A successful program that peaks consumer interest and can enhance their eating experience can generate economic benefits to all sectors in the beef industry. International market access will increasingly require traceability in the marketing system in order to satisfy trade restrictions in the case of animal diseases and country of origin labelling, to name only a few examples. Designing appropriate traceability protocols industry wide is therefore becoming very important.
    Keywords: traceability, institutions, Canada, consumer behaviour, producer behaviour, supply chain, Agricultural and Food Policy, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, Health Economics and Policy, International Relations/Trade, Livestock Production/Industries, Marketing, Production Economics, D020, D100, D200, Q100,
    Date: 2008
  15. By: Beatty, Timothy K.M.; Blow, Laura; Crossley, Thomas
    Abstract: We investigate whether households trade off spending on food and spending on heating. We use a large sample of households from the United Kingdom and Norther Ireland over the period 1974-2007. We find evidence that low-income households reduce food expenditure during periods of colder than average weather. In contrast, wealthier households increase spending on food during colder than average weather. Further we investigate the efficacy of the Winter Fuel Payment, a social program designed to mitigate the effects of energy costs.
    Keywords: Deprivation, Food Expenditure, Heat or Eat, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, Food Security and Poverty, D12, Q18,
    Date: 2009
  16. By: Jha, Manoj; Rabotyagov, Sergey; Gassman, Philip W.
    Abstract: The effectiveness of conservation practices depends on their placement on the fields within the watershed. Cost-effective placement of these practices for maximum water quality benefits on each field requires comparing a very large number of possible land-use scenarios. To address this problem, we combine the tools of evolutionary algorithm with the Soil and Water Assessment Tool (SWAT) model and cost data to develop a trade-off frontier of least cost of achieving nutrient reductions and the corresponding locations of conservation practices. This approach was applied to the Raccoon River Watershed, which drains about 9,400 km2 of an intensive agriculture region in west-central Iowa. Applying genetic algorithm to the calibrated SWAT modeling setup produced multitudes of optimal solutions of achieving nutrient reductions in relation to the total cost of placing these practices. For example, a 30% reduction in nitrate (and a corresponding 53% reduction in phosphorus) at the watershed outlet can be achieved with a cost of $80 million per year. This solution frontier allows policymakers and stakeholders to explicitly see the trade-offs between cost and nutrient reductions.
    Keywords: genetic algorithm, nutrient calibration, Raccoon River Watershed, SWAT.
    Date: 2009–07–31
  17. By: Hilker, Jim; Betz, Roger; Black, Roy
    Abstract: Corn, soybean and wheat producers are facing serious financial challenges. And it is even worse for livestock producers, most of who are also crop producers and are therefore eligible for ACRE. Crops are behind in maturity, some areas of the state need rain, product prices have fallen substantially, and USDA Counter Cyclical payments do not start until $2.35 on corn, $5.36 soybeans and $3.40 on wheat. Chances of prices that low are around 10-15%, but at that point ACRE payments would be much, much bigger. Many producers do not understand ACRE and the benefits available; most of the reasons given for not participating are invalid.
    Keywords: Crop Production/Industries, Farm Management,
    Date: 2009–07–21
  18. By: Du, Ying; Stiegert, Kyle
    Abstract: This article develops a methodology for empirically analyzing vertically strategic interactions in a multi-level supply channel. The model is used to analyze the vertical channel for U.S. butter manufacturing and retailing. Aggregating products to the firm level and using a nonlinear AIDS demand system under alternative strategic pricing assumptions is estimated using full information maximum likelihood (FIML) for seven geographic markets from 1998-2002. The market demand for butter was found to very price elastic. Furthermore, cross price elasticities between private labels and the two large national brands were also very elastic. The selected market structure was one indicating category profit maximization of national brands (separate from private label) at the retail level, Vertical Nash competition in the vertical channel, and Bretrand competition at the manufacturing level. Our results strongly suggest that the retail market for food products is impacted by the underlying vertical structure. The study provides useful measures of imperfect competition in the retail manufacturing sector.
    Keywords: Vertical interaction, market structure, strategic pricing, market power, AIDS model, butter., Agribusiness, Agricultural and Food Policy, Consumer/Household Economics, Demand and Price Analysis, Industrial Organization, L13, L22, L66,
    Date: 2009–06
  19. By: Beate Fischer (University of Heidelberg, Alfred-Weber-Institut); Frank Jöst (University of Heidelberg, Alfred-Weber-Institut); Bernd Klauer (Helmholtz Centre for Environmental Research – UFZ); Johannes Schiller (Helmholtz Centre for Environmental Research – UFZ)
    Abstract: Land is an essential but limited natural resource. We employ the concept of stocks to analyse driving forces for land-use conversion and to assess, whether the German political “30- hectares-goal” is feasible given the current institutional setting. In this paper major driving forces for land-use conversion are identified and underlying stocks and persistent institutional structures as well as their dynamics are investigated. It will be shown that meeting the 30- hectares-goal is unlikely. We further argue that due to persistent stocks and institutional structures land-use conversion from agricultural into urbanised land takes place on smaller time scales than its reconversion. We conclude that demographic change and regional migration processes may result in further land-use conversion even with declining population. Economic structural change as well as an increasing traffic volume will likewise contribute to further land-use conversion.
    Keywords: Sustainability, Land use, Stocks, Institutional Reform
    JEL: Q24 Q56 R14 R52
    Date: 2009–07
  20. By: Edwyna Harris; Robert Brooks; Yovina Joymungul
    Date: 2009–08
  21. By: Lee J. Alston; Edwyna Harris; Bernardo Mueller
    Abstract: We present a general model of the interaction between settlement and the emergence of de facto property rights on frontiers prior to governments establishing and enforcing de jure property rights. Settlers have an incentive to establish de facto property rights to avoid the dissipation associated with open access conditions. The potential rent associated with more exclusivity drives the “demand’ for commons arrangements. As the potential rental stream from land increases due to enhanced scarcity there is a greater demand for more exclusivity beyond what can be sustained with commons arrangements. In some instances claimants will petition the government for de jure property rights to their claims – formal titles. In other instances it may be cheaper to acquire titles through fraudulent means. To the extent that governments supply property rights to those with first possession, land conflict will generally be minimal, though there may be political protests. But, governments face differing political constituencies and may not allocate de jure rights to the current claimants. Moreover, governments may assign de jure rights but not be willing to enforce the rights. This may generate potential or actual conflict over land depending on the violence potentials held by the de facto and de jure land claimants. We examine land settlement and land conflict on the frontiers of Australia, the U.S. and Brazil. We are particularly interested in examining the emergence, sustainability, and collapse of commons arrangements in specific historical contexts. Our analysis indicates that the emergence of demand driven de facto property rights arrangements was relatively peaceful in Australia and the U.S. where claimants had reasons to organize collectively. The settlement process in Brazil was more prone to conflict because agriculture required fewer collective activities and as a result claimants resorted to periodic violent self-enforcement. In all three cases the movement from de facto to de jure property rights led to potential or actual conflict because of insufficient government enforcement.
    Keywords: property rights, Australia, Brazil, United States
    JEL: D72 Q15 N40 N50 K11
    Date: 2009–05
  22. By: Almenberg, Johan; Dreber, Anna
    Abstract: We designed an experiment that examines how knowledge about the price of a good, and the time at which the information is received, affects how the good is experienced. The good in question was wine, and the price was either high or low. Our results suggest that hosts offering wine to guests can safely reveal the price: much is gained if the wine is expensive, and little is lost if it is cheap. Disclosing the high price before tasting the wine produces considerably higher ratings, although only from women. Disclosing the low price, by contrast, does not result in lower ratings. Our finding indicates that price not only serves to clear markets, it also serves as a marketing tool; it influences expectations that in turn shape a consumerâs experience. In addition, our results suggest that men and women respond differently to attribute information.
    Keywords: Price-Quality Heuristic, Attribute Information, Role of Expectations, Marketing, Blind Tasting, Wine, Consumer/Household Economics, Demand and Price Analysis, C91, D03, D83, M31,
    Date: 2009–04
  23. By: Qazi Muhammad Adnan Hye (AERCK, University of Karachi, Pakistan); Asghar Ali (AERCK, University of Karachi, Pakistan)
    Abstract: This pioneer research for Pakistan uses monthly time series data for the period of 1997-1 to 2008-4 to determine the causal relationship between the money supply, food prices and manufactured product prices in developing country like Pakistan. Empirical analysis is performed by using the ARDL and Toda Yamamoto causality test. The results show that the bidirectional causality between the food prices and money supply and unidirectional causality from money supply to manufactured product prices. On the other hand there is no causal relationship between the food prices and manufactured product prices. The important finding of this study is that food prices response faster then the manufactured product prices to a change in money supply in the Pakistan.
    Date: 2009–02
  24. By: Nel, Roelof; Pederson, Glenn
    Keywords: Agricultural Finance,
    Date: 2009–07
  25. By: Nzaku, Kilungu; Houston, Jack E.
    Abstract: This paper analyses U.S. demand for fresh vegetable imports using a dynamic AIDS model. The commodities selected for the study include tomatoes, peppers, cucumbers and asparagus. The results shows that the demand for fresh vegetable imports is more elastic compared to the demand for domestic fresh vegetables. Also demand for all the fresh vegetables is significantly responsive to changes in own-price and expenditure. Fresh tomatoes, peppers, and cucumber imports do not complement domestic supply as is often believed but are significant substitutes.
    Keywords: Agricultural and Food Policy, Consumer/Household Economics, Demand and Price Analysis, International Relations/Trade, Marketing,
    Date: 2009–07–26
  26. By: Kyureghian, Gayaneh
    Abstract: The epidemic proportions of overweight and obesity prevalence have made it not only a public health threat, but also an economic problem. The high caloric density and increased consumption of food-away-from-home endorse the possibility of significant effects of it on obesity. The objective of this study is to model meals consumed away from home consumption by accounting for consumer heterogeneity in making food consumption decisions. We use random coefficient modeling to estimate a negative binomial model to reveal consumer heterogeneity effects on food away from home. The results reveal significant associations between BMI_Status categories and food consumption both at home, but no significant associations with food away from home. We also established positive significant effects of caloric intake on meal consumption both at and away from home, with the latter being significantly larger than the former. The effects of the nutrient intake on meal consumption both at home and away from home have almost identical magnitude but opposite signs. The results of this research have significant policy implications as information on demographic profiles of people with overabundant but nutritionally poor food consumption habits would help to create more efficient and well targeted policy choices.
    Keywords: Food Consumption/Nutrition/Food Safety,
    Date: 2009–05
  27. By: Nzaku, Kilungu; Houston, Jack E; Mohammed, Ibrahim
    Abstract: This paper analyses U.S. demand for fresh vegetable imports using a dynamic AIDS model. The commodities selected for the study include tomatoes, peppers, cucumbers and asparagus. The results shows that the demand for fresh vegetable imports is more elastic compared to the demand for domestic fresh vegetables. Also demand for all the fresh vegetables is significantly responsive to changes in own-price and expenditure. Fresh tomatoes, peppers, and cucumber imports do not complement domestic supply as is often believed but are significant substitutes.
    Keywords: Import Demand, Error Correction, AIDS Model, Fresh Vegetables, Agricultural and Food Policy, Consumer/Household Economics, International Relations/Trade,
    Date: 2009–06–26

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