nep-agr New Economics Papers
on Agricultural Economics
Issue of 2012‒04‒03
thirty-one papers chosen by
Angelo Zago
University of Verona

  1. The Future of Environmental Compliance Incentives in U.S. Agriculture: The Role of Commodity, Conservation, and Crop Insurance Programs By Claassen, Roger
  2. An Introduction to Nutrition-Agriculture Linkages By Chung, Kimberly
  3. Effect of soil heterogeneity on the welfare economics of biofuel policies By Vincent Martinet
  4. Determinants of Crop Income in Rural Mozambique, 2002-2005. By Mather, David
  5. Growing Biomass Fuel Industry, Declining Local Forage Demands, and Changing Greenhouse Gas Emissions from U.S. Agriculture: A Case Study By Gallagher, Paul W.; Richey, Jeremiah
  6. Limitations of Granger Causality Analysis to assess the price effects from the financialization of agricultural commodity markets under bounded rationality By Grosche, Stephanie
  7. 2010 Michigan Upper Peninsula Dairy Business Analysis Summary By Wittenberg, Eric; Wolf, Christopher A.
  8. The Missing Food Problem By Trevor Tombe
  9. Staple Food Market Sheds in West Africa By Haggblade, Steven; Longabaugh, Steven; Boughton, Duncan; Dembele, Niama Nango; Diallo, Boubacar; Staatz, John M.; Tschirley, David L.
  10. Smallholder shallow groundwater irrigation development in the upper east region of Ghana By Namara, Regassa E; Awuni, J. A.; Barry, Boubacar; Giordano, Mark; Hope, Lesley; Owusu, Eric S.; Forkuor, Gerald
  11. Rain, food and tariffs By Paulo Bastos; Odd Rune Straume; Jaime A. Urrego
  12. Tomato Farmers and Modern Markets in Nicaragua: A Duration Analysis By Hernandez, Ricardo; Reardon, Thomas
  13. Economic Aspects of the California Nursery and Floral Industry, 2001–2009 By Carman, Hoy F.
  14. Increasing Returns, Land Use Controls and Housing Prices By Dingsheng Zhang; Wenli Cheng; Yew-Kwang Ng
  15. Economic Contribution of the Sugarbeet Industry to Eastern Montana and Western North Dakota By Bangsund, Dean A.; Hodur, Nancy M.; Leistritz, F. Larry
  16. Effects of Global Liquidity on Commodity and Food Prices By Ansgar Belke; Ingo G. Bordon; Ulrich Volz
  17. Agro-environmental revolution in Punjab: Case of the happy seeder technology By Ridhima Gupta
  18. The Percolation of public expenditure: Food subsidies and the Poor in India and the Philippines By Shikha Jha; Bharat Ramaswami
  19. Income and Poverty Impacts of USAID-Funded Programs to Promote Maize, Horticulture, and Dairy Enterprises in Kenya, 2004-2010 By Smale, Melinda; Mathenge, Mary K.; Jayne, Thomas S.; Magalhaes, Eduardo; Olwande, John; Kirimi, Lilian; Kamau, Mercy W.; Githuku, James
  20. How should we incentivize private landowners to "produce" more biodive rsity? By Armsworth, Paul R.; Banerjee, Simanti; Hanley, Nick; Lennox, Gareth D.
  22. Implicit Netput Functions By Rulon D. Pope; Jeffrey T. LaFrance
  23. Malnutrition in South-Asia. Poverty, diet or lack of female empowerment? By Magnus Hatlebakk
  24. Distributional effects of the European Emissions Trading System and the role of revenue recycling: Empirical evidence from combined industry- and household-level data By Cludius, Johanna; Beznoska, Martin; Steiner, Viktor
  25. The impact of water infrastructure and climate change on the hydrology of the Upper Ganges River Basin By Bharati, Luna; Lacombe, Guillaume; Gurung, Pabitra; Jayakody, Priyantha; Hoanh, Chu Thai; Smakhtin, Vladimir
  26. Adaptation in Food Networks: theoretical framework and empirical evidences By Martino, Gaetano; Frascarelli, Angelo
  27. The retail trade sector and the food industry in Italy By Eliana Viviano; Luciana Aimone Gigio; Emanuela Ciapanna; Daniele Coin; Fabrizio Colonna; Federica Lagna; Raffaele Santioni
  28. Impacts of China's log Import on the Ecological Sustainability of Forests in Source Countries By Ji, Chun-Yi; Yang, Hong-Qiang; Nie, Ying
  29. Climate responsive social protection By Kuriakose, Anne T.; Heltberg, Rasmus; Heltberg, Rasmus; Wiseman, William; Costella, Cecilia; Cipryk, Rachel; Cornelius, Sabine
  30. CONSUMERS’ AWARENESS AND CONSUMPTION INTENTION TOWARDS GREEN FOODS By Phuah Kit Teng Author_Email:; Golnaz Rezai; Zainalabidin Mohamed; Mad Nasir Shamsudin
  31. Demand and Price Volatility: Rational Habits in International Gasoline Demand By Scott, K. Rebecca

  1. By: Claassen, Roger
    Abstract: In recent years, direct payments—a type of farm commodity program payment—have made up a large share of Federal agriculture assistance that could be withheld from farmers who fail to comply with highly erodible land conservation (conservation compliance and sodbuster) or wetland conservation (swampbuster) provisions, known collectively as environmental compliance requirements. If direct payments are sharply reduced or eliminated to help reduce the Federal budget defi cit, compliance incentives would be reduced on many farms, potentially increasing environmental quality problems. Some farmers will still be subject to compliance through existing Federal agricultural programs(e.g., conservation or disaster programs) or programs that may succeed direct payments. Making federally subsidized crop insurance subject to compliance could also make up some of the lost incentive to farmers.
    Keywords: Direct payment, crop insurance, conservation compliance, sodbuster, swampbuster, Environmental Economics and Policy, Land Economics/Use,
    Date: 2012–03
  2. By: Chung, Kimberly
    Abstract: Agricultural development is now expected to proceed in a way that maximizes opportunities to improve health and nutrition. Accordingly, the term “nutrition-agriculture linkages” describes the set of relationships that shows the mutual dependence of nutrition, health and agriculture. Changes in nutrition or health status are expected to affect agricultural production; conversely changes in the agricultural sector can have significant effects on individual health and nutritional status. Most development professionals, however, are sectoral specialists. Some are trained in nutrition or agriculture, but very few will be trained in both. It is therefore difficult to begin discussions on nutrition-focused agricultural programs and policies. How do we begin to identify these linked outcomes? And how do we begin to think about ways to impact factors that are outside of our sector of expertise?
    Keywords: Nutrition, Agriculture, Mozambique, Community/Rural/Urban Development, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, Food Security and Poverty,
    Date: 2012–02
  3. By: Vincent Martinet
    Abstract: Biofuel policies (blend mandate or tax credit) have impacts on food and energy prices, and on land-use. The magnitude of these effects depends on the market response to price, and thus on the agricultural supply curve, which, in turn, depends on the land availability (quantity and agronomic quality). To understand these relationships, we develop a theoretical framework with an explicit representation of land heterogeneity. The elasticity of the supply curve is shown to be non-constant, depending on land heterogeneity and the availability of land for agricultural expansion. This influences the welfare economics of biofuels policies, and the possible carbon leakage in land and fuel markets. We emphasize that the impacts of biofuel policies on welfare and land-use change depend strongly on the potential development of the agricultural sector in terms of expansion and intensification, and not only on its current size.
    Keywords: Agricultural and energy market, Biofuels, Land use, Soil heterogeneity, Welfare
    Date: 2012
  4. By: Mather, David
    Abstract: Crop income is the predominant source of income for most rural Mozambican households, accounting for 73% of rural household income on average in 2002, and greater than 80% of the total income of the poorest 40% of rural households. While the Government of Mozambique recognizes the need to improve agricultural productivity, there is little empirical evidence to date suggesting what mix of public and private assets would best foster improved agricultural productivity in rural Mozambique. This paper aims to better understand the determinants of household crop income in rural Mozambique, by using the TIA panel household survey of 2002-2005 to measure the impact of various private and public assets on crop income. We build upon Walker et al.’s (2004) analysis of TIA02 crop income by utilizing the econometric advantages of panel econometrics to obtain improved estimates of the impact of various private and public assets on crop income. Our principal focus is to measure the effect on total household net crop income of factors which are assumed to have a positive effect on crop productivity and profitability, including: private assets such as landholding; household use of improved inputs (fertilizer, animal traction) and diversification into tobacco or cotton; and access to public goods such as extension advice, market price information, and farm association membership.
    Keywords: Mozambique, crop income, food security, Agricultural and Food Policy, Community/Rural/Urban Development, Consumer/Household Economics, Food Security and Poverty, International Development, Research Methods/ Statistical Methods,
    Date: 2012–01
  5. By: Gallagher, Paul W.; Richey, Jeremiah
    Abstract: This paper investigates the effect of a biomass crop introduction in a local market where field crops, cattle forage and biomass crops compete for the agricultural resources and determine land use. A simulation study for a State in the US (Minnesota) with extensive and diverse agricultural resources that could also support a biomass industry is reported. Local market impact on prices and land use is summarized. A local biofuel industry with 1.0 billion gallon capacity can transform declining local land values to stable or moderately increasing land values, partly because secular declines in cattle forage can be replaced with biofuel demands. The effects of greenhouse gas emissions and sinks are also estimated. The local agriculture sectors’ net greenhouse gas changes are converted from a net emission to a net sink position with a biofuels industry-we calculate an annual net improvement of 55 bil. Lbs CO2 –equivalent, due, in part, declining cattle emissions and favorable land use effects from expanding hay production.
    Keywords: land use; Land rent; livestock emissions; switchgrass; greenhouse gas (GHG)
    Date: 2012–03–28
  6. By: Grosche, Stephanie
    Abstract: Modern agricultural commodity markets are simultaneously governed by a physical and a financial market element. Whether financial “index trading” activity influences price levels on the futures markets has been investigated by empirical studies using Granger Causality Analysis. A critical review of these studies reveals inconclusive results. Based on sensitivities of the method, reasons for limited interpretability of results may be omitted determinants of financial trading activity, failure to consider the informational efficiency of markets, time-varying and feedback effects of boundedly rational heterogeneous trading strategies and limitations in specifying adequate theoretical variables from existing data.
    Keywords: Granger Causality, Commodity speculation, Financialization of commodity markets, Agricultural commodity markets, Agricultural and Food Policy, Demand and Price Analysis, Financial Economics, C18, Q13, Q02,
    Date: 2012–02–07
  7. By: Wittenberg, Eric; Wolf, Christopher A.
    Abstract: This report summarizes the financial and production records of 16 dairy farms across the Upper Peninsula (UP) of Michigan. To be included, the farms must have produced at least 50 percent of gross cash farm income from milk and dairy animal sales. The records came from Michigan State University’s TelFarm project and Farm Credit Service system in Michigan. Farm records checked for accuracy. While considerable variation in the data exists, average values are reported in the summary tables and discussion that follows.
    Keywords: Agribusiness, Agricultural Finance, Farm Management, Financial Economics, Livestock Production/Industries, Production Economics,
    Date: 2011–12
  8. By: Trevor Tombe (Wilfrid Laurier University)
    Abstract: Poor countries have low labour productivity in agriculture relative to other sectors, yet predominantly consume domestically produced food. The existing literature on cross-country agricultural and aggregate productivity differences abstracts from open economy considerations – leaving open the question of why poor countries import so little food. I propose an answer: high trade barriers and low relative input costs (wages) in developing-country agriculture. With a modified Eaton-Kortum trade model, I show these distortions reconcile the cross-country productivity data with observed trade flows. Through various counterfactual exercises, I find these distortions contribute to cross-country productivity differences and future work should ascertain their underlying causes.
    Keywords: Food Problem, Dual Economy Models, Trade, Agriculture, Productivity
    JEL: F1 F41 O11
    Date: 2012
  9. By: Haggblade, Steven; Longabaugh, Steven; Boughton, Duncan; Dembele, Niama Nango; Diallo, Boubacar; Staatz, John M.; Tschirley, David L.
    Abstract: This paper aims to identify the geographic extent of major staple food market sheds in West Africa as well as the major trade corridors that link surplus producing areas with the deficit markets they serve. The method employed combines data on the spatial distribution of rural and urban population, maps of differing food staple zones, crop production data and consumption patterns as described in an array of recent household surveys to map major urban food markets as well as principal surplus production zones. Expert knowledge from traders and other market monitors in the region enable the authors to identify the major commodity flows linking the markets with their major supply zones. These efforts aim to summarize a large volume of information simply and clearly in market shed maps. The paper applies this method to map foodsheds for the region's major domestically produced food staple, sorghum and millet, and the major imported food, rice.
    Keywords: West Africa, food markets, Marketing,
    Date: 2012–02
  10. By: Namara, Regassa E; Awuni, J. A.; Barry, Boubacar; Giordano, Mark; Hope, Lesley; Owusu, Eric S.; Forkuor, Gerald (International Water Management Institute (IWMI))
    Keywords: Groundwater irrigation / Wells / Agronomic practices / Smallholders / Economic aspects / Social aspects / Irrigated land / Investment / Water management / Crop management / Food security / Poverty / Households / Ghana
    Date: 2011
  11. By: Paulo Bastos (Research Department, Inter-American Development Bank, United States); Odd Rune Straume (Department of Economics, University of Minho); Jaime A. Urrego (Research Department, Inter-American Development Bank, United States)
    Abstract: We examine whether and how rainfall shocks affect tariff setting in the agricultural sector. In a model of international oligopoly, we show that the impact of a negative rainfall shock on optimal import tariffs is generally ambiguous, depending on the weight placed by the domestic policy maker on tariff revenue, profi…ts and the consumer surplus. The more weight placed on domestic profits…ts, the more likely it is that the policy maker will respond to a rainfall shortage by reducing import tariffs. Using detailed panel data on applied tariffs and rainfall for 70 nations, we fi…nd that rainfall shortages generally induce policy makers to set lower tariffs on agricultural imports.
    Keywords: Rainfall shocks; strategic trade policy; agriculture.
    JEL: F1 L1 O1
    Date: 2012
  12. By: Hernandez, Ricardo; Reardon, Thomas
    Abstract: This paper explores whether farm land and non-land assets determine the participation of tomato growers in modern markets in Nicaragua, and how farmers’ duration as supermarket suppliers affects the farm technology they use. The methodology is based on a survival analysis approach. We use data from a stratified random sample of tomato farmers in Nicaragua over a 10-year period. Our results show that participation in supermarket supply chains as supermarket supplier is not determined by farm size, contrary to a common hypothesis, and thus small farmers can be supermarket suppliers. However, non-land assets are important determinants of being in the modern channel: these assets include irrigation, nonfarm assets (linked to nonfarm employment) and education. Duration as a supermarket supplier is positively correlated with farm asset accumulation and the use of modern technology (mainly in the form of capital-led intensification) of tomato farming – but negatively correlated with the share of highly toxic pesticides in overall pesticide use.
    Keywords: Supermarkets, Nicaragua, Technology Adoption, Agribusiness, International Development, Research and Development/Tech Change/Emerging Technologies, O19, O54, O13, Q12, Q13, Q15,
    Date: 2012–03
  13. By: Carman, Hoy F.
    Abstract: California’s nursery and floral industry is the largest in the United States with a farm value for product sales totaling $3.78 billion in 2009. When floral and nursery product sales are combined, the industry ranks second among all California agricultural products, following the dairy industry. Production is in 55 of California’s 58 counties, although 16 counties account for more than 87% of the value of production. San Diego County dominates the industry with annual sales over $1 billion in 2007, 2008, and 2009. Since its 2008 and 2009 sales increased while California’s statewide sales decreased, San Diego County increased its share of California sales from 26% in 2007 to 30.3% in 2009. California is the largest single retail market for lawn and garden products in the United States, accounting for 7.6-10.4% of estimated total annual U.S. sales since 1997. Total 2009 California retail sales of lawn, garden, and floral products were estimated at more than $9.3 billion. The recession of 2008 and 2009 had a significant impact on retail sales and retail outlets. California florists’ sales plunged almost 62%, from a high of $1.2 billion in 2007 to $461 million in 2009. Farm and garden store sales also decreased 25.3% from 2007 to 2009. A regional economic model is used to trace the direct, indirect, and induced effects of California nursery and floral production and lawn and garden retailing through the California economy.
    Keywords: California, nursery industry, floral industry, retail nursery sales, Agribusiness, Crop Production/Industries, Production Economics,
    Date: 2011–10
  14. By: Dingsheng Zhang; Wenli Cheng; Yew-Kwang Ng
    Abstract: The Chinese government has been active in trying to cool the alleged bubbles in its housing markets, especially in urban areas. This paper argues that the high housing prices are at least partly caused by some real factors, including the policy of restricting land uses, in particular the maintenance of a minimum overall agricultural acreage. A simple model of three sectors (housing, agriculture, and others) is constructed to examine the effects of the artificial constraint. The role of increasing returns in the non-agricultural sectors in exacerbating the policy biases is also examined. The model is then calibrated to estimate the effects of land use control policy on housing prices in China.
    Keywords: increasing returns; land use controls in China; housing prices in China
    JEL: R31 R38
    Date: 2012–03
  15. By: Bangsund, Dean A.; Hodur, Nancy M.; Leistritz, F. Larry
    Abstract: Agricultural industries in small geographical areas with limited acreage tend to be overlooked by those not associated with the growing region or industry. Sugarbeets continue to be produced in a relatively small geographic area and on relatively limited acreage in eastern Montana and western North Dakota. These factors, along with continued debate over policies affecting domestic sugar industries and recent industry expansions have prompted an analysis of the economic importance of the sugarbeet industry to the regional economy. Revenues from sugarbeet production and expenditures by processors to Montana and North Dakota entities in fiscal 2011 represented the direct economic impacts from the industry. Expenditure information was provided by Sidney Sugars Inc. and marketing cooperatives. Secondary economic impacts were estimated using input-output analysis. The sugarbeet industry, which included the growing regions in eastern Montana and western North Dakota and the Sidney, MT processing facility, planted 31,107 acres and processed 798,624 tons of sugarbeets in fiscal 2011. Production, processing, and marketing activities generated $73.9 million in direct economic impacts. Gross business volume (direct and secondary effects) from the sugarbeet industry in that region was estimated at $212.4 million. Direct and secondary employment in the industry was 186 and 805 full-time equivalent jobs, respectively. The industry paid $474,000 in property taxes and was estimated to generate another $1.8 million in sales and use, personal income, and corporate income taxes in Montana and North Dakota. In real terms, gross business volume of the sugarbeet industry in eastern Montana and western North Dakota increased 4 percent since 2003. Increases in business activity from the industry have resulted from an increase in expenditures and also were influenced by relatively high sugar prices during fiscal 2011.
    Keywords: sugarbeet industry, western North Dakota, eastern Montana, economic impact iii, Crop Production/Industries, Public Economics,
    Date: 2012–02
  16. By: Ansgar Belke; Ingo G. Bordon; Ulrich Volz
    Abstract: This paper investigates the relationship between global liquidity and commodity and food prices applying a global cointegrated vector-autoregressive model. We use different measures of global liquidity and various indices of commodity and food prices for the period 1980-2011. Our results support the hypothesis that there is a positive long-run relation between global liquidity and the development of food and commodity prices, and that food and commodity prices adjust significantly to this cointegrating relation. Global liquidity, in contrast, does not adjust, it drives the relationship.
    Keywords: Commodity prices, food prices, global liquidity, cointegration, CVAR analysis
    JEL: E52 E58 C32
    Date: 2012
  17. By: Ridhima Gupta (Indian Statistical Institute, New Delhi; Institute of Economic Growth)
    Abstract: Biomass burning of agricultural field residue (stalks and stubble) during wheat and rice harvesting periods in the Indo-Gangetic plains has led to substantial emission of trace gases and particles. This paper seeks to address the regulation of emissions from open field burning of rice residue in Punjab, India by first uncovering the factors that explain on field residue burning of rice residue in Punjab. The results suggest that the use of a combine harvester was the single most important determinant of the decision to burn rice residue. The decision to use the combine harvester was in turn determined by the rice variety sown by a farmer. Rice residue are largely burnt, as machinery for planting into loose residue was hitherto unavailable. The recently developed Happy Seeder technology overcomes this problem. It is a tractor-mounted machine that can sow wheat into the rice residue left by the combine harvester thereby precluding its burning. I conclude that Happy Seeder is a low-cost alternative to open field burning of rice residue vis-a-vis conventional tillage. I also find no evidence of an increase or decrease in mean yield of wheat from incorporation of the residue with Happy Seeder compared to conventional tillage. These results have important implication for mitigation policies to reduce residue burning in this region.
    Date: 2011–09
  18. By: Shikha Jha (Asian Development Bank); Bharat Ramaswami (Indian Statistical Institute, New Delhi)
    Abstract: This paper measures the percolation of food subsidy expenditures to th e poor. The paper proposes a metric that takes into account the depth and width of income transfer. The metric is applied to food subsidy expenditures in India and Philippines. Both countries operate in-kind transfer schemes. The major findings is that neither country scores well on the percolation index...
    Date: 2011–09
  19. By: Smale, Melinda; Mathenge, Mary K.; Jayne, Thomas S.; Magalhaes, Eduardo; Olwande, John; Kirimi, Lilian; Kamau, Mercy W.; Githuku, James
    Abstract: Since 2002, the United States Agency for International Development (USAID) has funded programs to promote maize, dairy, and horticulture enterprises among smallholder farmers in Kenya under the Strategic Objective 7 of Increased Rural Household Incomes. On behalf of USAID, Tegemeo Institute has conducted household surveys to help track key indicators that monitor progress in the implementation of these programs. The first survey was conducted in 2004. Subsequent surveys were conducted every two years (i.e., 2006, 2008, and 2010). The sample comprises households participating and those not participating in the programs. The programs monitored include the Kenya Maize Development Program (KMDP), the Kenya Horticulture Development Project (KHDP), and the Kenya Dairy Development Program (KDDP), which is now known as the Kenya Dairy Sector Competitiveness Program (KDSCP).
    Keywords: Kenya, income, poverty, household surveys, International Development, Research and Development/Tech Change/Emerging Technologies, Research Methods/ Statistical Methods,
    Date: 2012–02
  20. By: Armsworth, Paul R.; Banerjee, Simanti; Hanley, Nick; Lennox, Gareth D.
    Abstract: Globally, much biodiversity is found on private land. Acting to conserve such biodiversity thus requires the design of policies which influence the decision-making of farmers and foresters. In this paper, we outline the economic characteristics of this problem, before reviewing a number of policy options such as conservation auctions and conservation easements. We then discuss a number of policy design problems, such as need for spatial coordination and the choice between paying for outcomes rather than actions, before summarizing what the evidence and theory developed to date tells us about those aspects of biodiversity policy design which need careful attention from policy makers and environmental regulators.
    Keywords: agglomeration bonus; conservation auctions; policy design; biodiversit y
    Date: 2012–02
  21. By: Iraj Ratnayake Author_Email: (Sabaragamuwa University of Sri Lanka); Azilah Kasim (Universiti Utara Malaysia)
    Keywords: community tourism, community participation, participation readiness,environmental conservation, Sri Lanka
    JEL: M0
    Date: 2011–06
  22. By: Rulon D. Pope; Jeffrey T. LaFrance
    Abstract: This paper proposes a new way to empirically model netput functions. It argues for the flexibility and rationality of specifying netputs as a function of competitive prices, fixed inputs, and restricted profit. We call these implicit netput functions because they depend on restricted profit. Doing so invites the adoption of recent developments in consumer theory to production theory. New aggregable forms are investigated and applied to U.S. agricultural production illustrating the benefits of this approach.
    Keywords: aggregation, production, implicit netputs
    JEL: D21 D22
    Date: 2012–03
  23. By: Magnus Hatlebakk
    Abstract: Despite economic growth, and a reduction in poverty, malnutrition is still rampant in South-Asia. This indicates that non-economic factors are important, and we use a nation-wide survey from Nepal to identify factors that may explain why small children are stunted. In contrast to designated studies of child nutrition we do not have information on individual food intake, but we demonstrate that analysis of large sample surveys is a good supplement to designated studies, with the main benefit being that findings are nationally representative. We find that pulses are critical for child growth, and that boys are more often malnourished, maybe because they are expected to take other food than breast milk. Furthermore we find that girls are more likely malnourished if they have many older brothers, and we find that female empowerment improves child nutrition.
    Keywords: Female autonomy, Stunting, Intra-household allocation
    Date: 2012
  24. By: Cludius, Johanna; Beznoska, Martin; Steiner, Viktor
    Abstract: We calculate the expected distributional effects of the European Emissions Trading System combining industry and household-level data. By combining data on direct CO2 emissions by production sector from the German Environmental Account with the German Input-Output Accounts, we calculate the CO2 intensity of each sector covered by the EU ETS. We focus on the impact of price increases in the electricity sector, both directly in the form of higher electricity bills for consumers and indirectly through products that use electricity as an input to production. Distributional effects of price increases are analyzed on the basis of the German Income and Expenditure Survey for the year 2008 data and updated to 2013. We confirm the ex-ante expected regressive effect, which is, however, both rather small in magnitude and can be offset and even more than offset by revenue recycling, in particular the reduction of social security contributions on labour income. --
    Date: 2012
  25. By: Bharati, Luna; Lacombe, Guillaume; Gurung, Pabitra; Jayakody, Priyantha; Hoanh, Chu Thai; Smakhtin, Vladimir (International Water Management Institute (IWMI))
    Keywords: Water resources / River basins / Climate change / Hydrology / Simulation models / Precipitation / Evapotranspiration / Statistical methods / Water balance / Water yield / Irrigation water / India / Upper Ganges River
    Date: 2011
  26. By: Martino, Gaetano; Frascarelli, Angelo
    Abstract: The objective of the paper is to contribute to a better understanding of the governance of the food networks focusing on two related aspect: the integration among the agents and the adaptation in the face of emerging disturbances. Adaptation is a central problem of economic organisations (Williamson, 1985, 1991), and its conceptualisation is integrated within complementary theoretical perspectives. Arruñada, Garicano & Vàzquez (2005) posit that the assignment of decision rights in long-term relationships provides an opportunity to reduce the associated bargaining costs. Ménard (2004, 2006) offers a generalisation of the adaptation concept for the class of hybrid governance structures. Gibbon (2005) subsumes the theme of adaptation in a complex theoretical structure by framing four elemental theories of the firm. Among them, the adaptation theory asks whether integration or non-integration better facilitates ‘adaptive, sequential decision making’ in the sense of Williamson (Gibbon, 2005, p. 205). The paper aims at addressing the problem on what are the role of the adaptation processes in the implementation of sustainable strategies in Food Networks. After having elaborated and presented the theoretical framework, the paper illustrates and discusses seven cases of governance agreement. Four cases concern with agreement arranged at the Italian National level, three cases regard regional level Food Networks. Beyond the differences in the institutional environments, the cases also differ because of the degree of integration. The field research was carried out by documents analysis and interviews. The focus was on the identification of the five stages mentioned and on the classification of the decision rights the agreements allocated between the parties. The paper contributes to the literature by corroborating the theoretical hypothesis (Gibbons, 2005; Wu, 2006) and providing empirical information about the management of Food Networks in the face of emerging disturbances in critical fields: sustainability, quality systems and innovation.
    Keywords: Adaptation; uncertainty;transaction costs; food network; integration
    JEL: L14 L66 L22
    Date: 2012–02
  27. By: Eliana Viviano (Banca d'Italia); Luciana Aimone Gigio (Banca d'Italia); Emanuela Ciapanna (Banca d'Italia); Daniele Coin (Banca d'Italia); Fabrizio Colonna (Banca d'Italia); Federica Lagna (Banca d'Italia); Raffaele Santioni (Banca d'Italia)
    Abstract: In this collection of papers we first analyze the evolution of the Italian food industry and the retail trade sector during the past decade (Chapters 1 and 2). Chapter 3 describes the structure of large retailers and buying groups in Italy. Chapter 4 proposes alternative measures of the degree of concentration of retail trade at the local level. Chapter 5 summarizes the main features of national and local regulations governing retail trade and proposes a set of indicators of regional liberalization. We then examine the relationship between large retailers and small firms in the Italian food industry, with a brief account of possible effects on the industry’s structure and on prices (Chapter 6), and the effects of local retail trade concentration on product variety and price rigidity (Chapter 7).
    Keywords: retail trade sector, market concentration, price dynamics, buyer power, buying group
    JEL: L81 L11 L51
    Date: 2012–03
  28. By: Ji, Chun-Yi; Yang, Hong-Qiang; Nie, Ying
    Abstract: As the largest log import country in the world, China undoubtedly faces a severe challenge from the reduction in global forest resources. Based on the fact that a flow of ecological elements embodied in the process of import can cause extra ecological stress to the source regions, the authors assessed the ecological effect of China’s log imports on the source countries’ forest sustainability. The ecological footprints embodied in China’s log imports from 1995 to 2010, and then introduce the model of ecological tension index to assess the ecological security status of the forests in major source countries. Results demonstrate that, overall, China’s import of log has posed no serious threat to world forests. Most of the source countries have safe forest ecological states due to their huge forest bio-capacity, although China’s log import has increased their forest ecological stress by more than 14%. While for some developed source countries, China has increased the ecological tension less than 1%. The risk of forests reduction was probably caused by its own resource consumption.
    Keywords: Log Imports; Ecological Footprint; Ecological Stress Transfer
    JEL: F18 F02 A14
    Date: 2011–04
  29. By: Kuriakose, Anne T.; Heltberg, Rasmus; Heltberg, Rasmus; Wiseman, William; Costella, Cecilia; Cipryk, Rachel; Cornelius, Sabine
    Abstract: In the years ahead, development efforts aiming at reducing vulnerability will increasingly have to factor in climate change, and social protection is no exception. This paper sets out the case for climate?responsive social protection and proposes a framework with principles, design features, and functions that would help Social Protection (SP) systems evolve in a climate?responsive direction. The principles comprise climate?aware planning; livelihood?based approaches that consider the full range of assets and institutions available to households and communities; and aiming for resilient communities by planning for the long term. Four design features that can help achieve this are: scalable and flexible programs that can increase coverage in response to climate disasters; climate?responsive targeting systems; investments in livelihoods that build community and household resilience; and promotion of better climate risk management.
    Keywords: Climate Change Economics,Safety Nets and Transfers,Science of Climate Change,Climate Change Mitigation and Green House Gases,Hazard Risk Management
    Date: 2012–03–01
  30. By: Phuah Kit Teng Author_Email: (Universiti Putra Malaysia); Golnaz Rezai (Universiti Putra Malaysia); Zainalabidin Mohamed (Universiti Putra Malaysia); Mad Nasir Shamsudin (Universiti Putra Malaysia)
    Keywords: Consumers, awareness, intention, green concept, foods, sustainable agriculture
    JEL: M0
    Date: 2011–06
  31. By: Scott, K. Rebecca
    Abstract: eeeeee
    Keywords: Natural Resources and Conservation, Economics, gasoline demand, rational habits, price elasticity
    Date: 2011–07–08

This nep-agr issue is ©2012 by Angelo Zago. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at For comments please write to the director of NEP, Marco Novarese at <>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.