New Economics Papers
on Agricultural Economics
Issue of 2012‒07‒29
thirty-six papers chosen by



  1. Towards the formulation of regional landscape conservation goals for the Swiss agricultural policy By Maria-Pia Gennaio
  2. Determinants of regional comparative advantages in food industries By Sara Johansson; Therese Norman
  3. Food security in African and Arab countries: a review of the topic and some suggestions for building composite indicators with Principal Components Analysis By Ernest Reig
  4. Importance of AOC signals in wine cooperative localization: the case of Gironde By Stephanie Peres; Maryline Filippi; Sebastien Chantelot
  5. The increasing role of water management in the Dutch planning system By Frank Bruinsma; Piet Rietveld; Erik Verhoef
  6. Agriculture and trade opportunities for Tanzania : past volatility and future climate change By Ahmed , Syud Amer; Diffenbaugh, Noah S.; Hertel, Thomas W.; Martin, William J.
  7. Impacts on environmental law and regulations on agricultural land-use change and urban pressure: the Algarve case By Eric de Noronha Vaz; Antonio Brito; Peter Nijkamp; Marco Painho
  8. Rainfall variability, occupational choice, and welfare in rural Bangladesh By Bandyopadhyay, Sushenjit; Skoufias, Emmanuel
  9. Evaluating the impact of a targeted land distribution program: Evidence from Vietnam By Dwayne Benjamin; Loren Brandt; Brian McCaig; Nguyen Le Hoa
  10. Factors of Social Capital in Rural Settlements: Case of Hilvan By Tuba Inal Cekic
  11. Credit Concentration of Brazilian Rural Activities By Humberto Francisco Silva Spolador; Roberto Arruda de Souza Lima
  12. New type of urban-rural interface: Role of agricultural cooperatives for urban-rural interaction in China By Yuheng Li
  13. DEMETER: an original reasoning to assess and control the loss of agricultural land related to the urban sprawl. By Patrick Le Gouee
  14. DOES ENVIRONMENTAL REGULATION WORK AGAINST AGGLOMERATION ECONOMIES? EVIDENCE FROM FRENCH HOG PRODUCTION By Carl Gaigne; Julie LeGallo; Bertrand Schmitt
  15. The influence of urban sprawl on farmland prices in Belgium (refereed paper) By Jean CavailhËs; Isabelle Thomas
  16. Broadband Internet Use by Economic Actors in Rural Regions By Peter Stenberg; Mitchell Morehart
  17. A framework for assessing the economic consequences of the support for Less Favoured Areas within Pillar II of Common Agricultural Policy in a multi-regional CGE setting, with an application to Poland. By James Giesecke; Mark Horridge; Katarzyna Zawalinska
  18. Framework for assessing efficiency of farms and agrarian organizations By Bachev, Hrabrin
  19. THE CAPACITY OF URBAN CENTRES TO CONTRIBUTE TO THE RURAL DEVELOPMENT IN ROMANIA. AN INQUIRY FROM R&D AND INNOVATION PERSPECTIVE By Anca Dachin; Daniela Constantin; Zizi Goschin; Constantin Mitrut; Bogdan Ileanu
  20. People preferences for spatial land use attributes: how it can support land management decisions? By Jeanne Dachary-Bernard; Marie Lemarié
  21. Low-Tech Innovation in a High-Tech Environment? The Food Industry in the Metropolitan Region of Vienna By Michaela Trippl
  22. The impact of agro-food industry on employment and population changes: The case of Denmark and France' By Jens Abildtrup; Virginie Piguet; Bertrand Schmitt
  23. The Simulation Analysis of Optimal Policy Including Introduction of Biomass Plant Technology for Decreasing Water Pollutions in Jiaxing City, China By Yoshiro Higano; Feng Xu; Jingjing Yan; Takeshi Mizunoya; Huanzheng Du
  24. Industrial districts in rural areas of Italy and Spain By Rafael Boix; Yancy Vaillant
  25. Study on synthetic evaluation of lakes water quality improvement policies in Wuhan City in China By Xuebo Zhan; Yishiro Higano; Huanzheng Du
  26. Research on Water Resource Problems of Capital Economic Circle Based on Circular Economy By Jinghua Sha; Nan Xiang; Lin Guo; Runbo Gu
  27. Resource Management and Area Promotion by the Collaboration of Rural and Urban People in Rural Area -The case study on development from environmental conservation to tourism and area promotion on Shimanto-river basin in Kochi prefecture- By Katsuhisa Ito
  28. Creative capacity for sustainable development: A comparative analysis of European and Turkish rural regions By Aliye Ahu Gulumser; Tuzin Baycan-Levent; Peter Nijkamp
  29. Does Public Investment Spur the Land Market?: Evidence from Transport Improvement in Beijing By Wenjie Wu
  30. «Alternative models of rural growth and development: The case of wine production of VQPRD wine in the Naousa and Amynteon regions in Greece». By Electra Pitoska; Themistokles Lazarides
  31. Landscape and the commercial benefits of recreation By Nico Polman; Arianne de Blaeij; Stijn Reinhard; Louis Slangen
  32. Segmented Markets, Cooperative Behaviours: Innovation in the Production of Brazilian Coffee By L√∫cia Urban; Teresa Noronha Vaz
  33. Is there a rural-urban divide? Location and productivity of UK manufacturing By Marian Rizov; Paul Walsh
  34. Interscale and Interlevel Problems of Research on Social Capital in Rural Japan By Kenji Tsusumi
  35. SOCIAL CAPITAL AND ITS INFLUENCE ON RURAL CREDIT MARKET By Fernando Perrini Daruge; Roberto Arruda de Souza Lima
  36. Does poverty trap rural Malagasy households? By Frédéric Gaspart; Anne-Claire Thomas

  1. By: Maria-Pia Gennaio
    Abstract: One function of the agriculture is to contribute to landscape conservation by maintaining open landscapes and creating landscape diversity. Agricultural policy should sustain this function. In Switzerland, like in other European countries, three main complexity-dimensions hamper policy implementation in this domain: First, the urban land use is spreading out from urban centres and is subtracting precious land for agricultural land use. Because of the pressure of economic development and population growth this process is difficult to steer. Second, this process has a very regional character. Since Swiss agricultural policy is regulated mostly at a national level, regional goals are difficult to achieve. Third, a real coordination between land-use policy and agricultural policy is still missing. Therefore, adequate policy measures for guaranteeing the contribution of agriculture to landscape conservation are needed and innovative approaches and instruments dealing with this complexity are still lacking. Goal of the work is to develop instruments to support policy-makers at national and regional level, to support the integration of the national and regional policy goals and to support the coordination of land-use and agricultural policy. Our methodology is GIS-based and integrates the approach of landscape-functions (De Groot 2006) with a policy-evaluation approach. First, we identify landscape functions related with urban land use (e.g. residential, economical, tourism) and agricultural land use (e.g. food production, leisure, esthetic) at local scale. As a second step we try to evaluate how the land-use development-trend is affecting the landscape qualities formulated in both Swiss Federal Law for Spatial Planning and Swiss Federal Law for Agriculture. This approach permits adding to the policy evaluation precious regional information concerning land-use conflicts and the related landscape functions conflicts. The paper will present preliminary results which will allow the formulation of regional goals for the landscape conservation to be achieved with the implementation of agricultural policy and will facilitate the coordination of land-use planning and agricultural policy. De Groot R., 2006. Function analysis and valutation as a tool to assess land use conflicts in planning for sustainable, multi-functional landscapes. Landscape and Urban Planning (75), 175-186.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p912&r=agr
  2. By: Sara Johansson; Therese Norman
    Abstract: International markets for food products have shown a strong growth during recent years. Trade flows between countries are increasing and can be seen as a reflection of a higher degree of competition in both domestic and international markets. At the same time, consumers show a growing interest in product attributes associated with the geographical origin of the product and/or specific production methods. This paper studies the regional specialization in food industries and uses a shift-share analysis to identify regions with comparative advantages in food production in Sweden. The Swedish food sector is of a significant size in the domestic economy, and is the fourth largest industry in the Swedish manufacturing sector. The food sector host both small and large firms, and is represented in all (geographical) parts of the country. As in many European countries, the food sector is important with respect to employment in rural areas and therefore an obvious target for rural policies. Recent studies of food industries indicate that differences in regional characteristics, such as concentration of firms in the industry (clusters) and concentration of food exporters partly explain the export behavior of firms in the Swedish food industry and of food-processing firms in France . These findings indicate that location-specific factors impact on firms’ competitiveness in international markets. This paper explores this issue further in an empirical analysis of regional comparative advantages in food processing. The purpose of this study is to analyze what type of regional characteristics that stimulate regional specialization in food industries. Of particular interest is the importance of unique regional food specialties, small-scale food manufacturing, size of the local market and accessibility to foreign customers in shaping regional comparative advantages in food manufacturing.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p809&r=agr
  3. By: Ernest Reig (University of Valencia)
    Abstract: This paper is concerned with the issue of food security, placing special emphasis on the current situation of Arab and African countries. The main conceptual aspects of food security are briefly reviewed, pointing to the shift from a former focus on food energy availability to a more comprehensive appraisal of this phenomenon in recent times. The most likely causes of recent rises in food prices are also described. Food security issues are analysed in connection with rural poverty issues and with the failure to achieve successful agricultural development in some developing countries, which sometimes have to overcome strong restrictions concerning the availability of land and water resources for food production. The paper points to the convenience of using multivariate statistical tools to summarise a wealth of food security-related indicators, and a practical example of the use of Principal Components Analysis (PCA) for data concerning 52 African and Middle East countries is provided, with a dataset originally comprising 13 variables. The PCA methodology is described in a non-mathematical fashion, also showing the basic steps in its application to this case. Two basic composite indicators, or ‘principal components’ are selected, one in connection with ‘human development’ and the other with ‘being at risk of hunger’, and countries in the sample are ranked according to their situation with regards to these dimensions.
    Keywords: food security, agricultural development, Arab countries, Principal Components Analysis
    Date: 2012–07
    URL: http://d.repec.org/n?u=RePEc:eec:wpaper:1210&r=agr
  4. By: Stephanie Peres; Maryline Filippi; Sebastien Chantelot
    Abstract: The search to reduce agricultural production pollution depends on agricultural land location. Reflections on suburban areas managing (short circuits, land location to urban centers ...) experiencing a revival over the past ten years. But these suburban areas are subject to numerous land use conflicts (Cadena, 1990; Torre and Caron, 2005. In land economics rent determines land allocation. What is the importance of quality signal in the agricultural land choice location? This article aims to show that quality signal is determinant on land prices (Peres, 2009, 2007). Attachment to soil characteristics in AOC signal, linking inseparably holdings to a place and therefore prohibited nomadism, may characterize products affect land use location (Filippi, Frey and Torre, 2009). How cooperative actors raising AOC to better develop production and resist to the land pressure? We mobilize wine cooperatives location information in the Gironde area: Bordeaux suburban vineyards are an ideal framework for analyzing interactions issues between urban growth and specific wine dynamic. The discrete choice model confirms the AOC resistance phenomena and also provides a tool for assessing the cooperation effects between stakeholders. This article is a first attempt to analyze the wine cooperative system in French by using land prices.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1163&r=agr
  5. By: Frank Bruinsma; Piet Rietveld; Erik Verhoef
    Abstract: In this paper the growing importance of water management, and thus the role of district water boards, in spatial planning is emphasized. First of all, due to the climate change rainfall will be more severe in relative short periods of time. Thus on the one hand the risk of flooding will increase, whereas on the other hand the periods of drought increase as well. This implies for the former situation that the water capacity of rivers must be increased and retention areas must be created. For periods of drought, large water reserves should be created. The rise of the sea level, due to the climate change, the descending of the northwestern part of the Netherlands in combination with long periods of draught causes a further inland penetration of salt seawater via the river deltas. A second cause of the increased importance of water management is that the polders in the western part of the country become too brackish by the endless pumping of fresh water out of the polder. Due to this constant pumping activity the salt seawater from deep in the underground rises up to the surface and causes problems for agricultural use of the polders. A final cause of the increased importance of water management is the transformation of the countryside from a single use agricultural production area into a multiple use consumption area where the public wants to recreate and enjoy nature. This implies that the level of the groundwater should vary according to the land use: from about 1 meter below surface in case of agricultural use to surface level in case of nature conservation in moorlands.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p184&r=agr
  6. By: Ahmed , Syud Amer; Diffenbaugh, Noah S.; Hertel, Thomas W.; Martin, William J.
    Abstract: Given global heterogeneity in climate-induced agricultural variability, Tanzania has the potential to substantially increase its maize exports to other countries. If global maize production is lower than usual due to supply shocks in major exporting regions, Tanzania may be able to export more maize at higher prices, even if it also experiences below-trend productivity. Diverse destinations for exports can allow for enhanced trading opportunities when negative supply shocks affect the partners'usual import sources. Future climate predictions suggest that some of Tanzania's trading partners will experience severe dry conditions that may reduce agricultural production in years when Tanzania is only mildly affected. Tanzania could thus export grain to countries as climate change increases the likelihood of severe precipitation deficits in other countries while simultaneously decreasing the likelihood of severe precipitation deficits in Tanzania. Trade restrictions, like export bans, prevent Tanzania from taking advantage of these opportunities, foregoing significant economic benefits.
    Keywords: Climate Change Economics,Economic Theory&Research,Climate Change Mitigation and Green House Gases,Science of Climate Change,Trade Policy
    Date: 2012–07–01
    URL: http://d.repec.org/n?u=RePEc:wbk:wbrwps:6132&r=agr
  7. By: Eric de Noronha Vaz; Antonio Brito; Peter Nijkamp; Marco Painho
    Abstract: Land-use change has been an increasing concern in most of Europe. While stakeholder’s strategies of coping with land-use change have been constrained mainly due to socio-economic pressures, the natural landscape and fragile ecosystems are neglected by heavy construction and urbanization. However, over the last thirty years regulations have become more explicit regarding environmental impacts at regional level. Spatial assessment of ongoing policies of rural and urban have led in the case of Portugal to some reservations on the consequences of sustainable development and juridical commitment. A good example of this is the agricultural land loss that Portugal has witnessed over the last thirty years, in large part resulting from socio-economic pressures with which policymakers have not been able to cope. The Reserva Agrícola Nacional (RAN transl. National Agricultural Reserve) may be identified as an instrument of planning purposes that identifies and protects the areas prone to agricultural activities due to their morphological, climatic and social context. The RAN has changed its legal status over four times in the last twenty years. These changes have in large been influenced by the policies of sustainable development for the region. However, the ability to defend the interests of agricultural and rural commitments in fragile ecosystems has been largely compromised due to socio-economic interactions brought by pressures of economic growth. Dynamic and statistical modeling approaches may allow a sharper understanding of the consequences of preemption of agricultural land in the Algarve. The spatial properties of data inventories from the RAN and land-covers, allow to assess the changes within the policy context of the Algarve. By approaching a spatial analysis of preemption of agricultural land with overlay of population and urban data, a focus o the consequences of the certain regulations with the dynamics of land-use change become possible. While this paper expands further on the actual existing decrees which offer support to sustainable development in the region, a qualitative assessment of future roles of ethical values and economic efficiency, while offering a constructive position for policy makers regarding the trends of urban / agricultural dichotomy are analyzed.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p896&r=agr
  8. By: Bandyopadhyay, Sushenjit; Skoufias, Emmanuel
    Abstract: This study investigates the choice of occupational focus versus diversification between household members in rural Bangladesh as an autonomous and proactive adaptation strategy against ex ante local rainfall variability risks. The analysis combines nationally representative household level survey data with historical climate variability information at the Upazila level. The authors note that flood prone Upazilas may face reduced risks from local rainfall variability as compared with non-flood prone Upazilas. They find that two members of the same household are less likely to be self-employed in agriculture if they live in an area with high local rainfall variability. However, the occupational diversification strategy comes at a cost to households in terms of consumption welfare. The paper considers the effects of three policy actions, providing access to credit, safety net, and market. Access to market appears to be more effective in reducing the likelihood of costly within-household occupational diversification as an ex ante climate risk-reducing strategy as compared with access to credit and safety net.
    Keywords: Science of Climate Change,Hazard Risk Management,Climate Change Mitigation and Green House Gases,Housing&Human Habitats,Water Conservation
    Date: 2012–07–01
    URL: http://d.repec.org/n?u=RePEc:wbk:wbrwps:6134&r=agr
  9. By: Dwayne Benjamin; Loren Brandt; Brian McCaig; Nguyen Le Hoa
    Abstract: In this paper we estimate the impact of a land reform program in the Central Highlands of Vietnam. In 2002, Program 132 directed the transfer of farm land to ethnic minority households that had less than one hectare of land. Using the 2002 Vietnam Living Standards Survey as a baseline, in 2007 we resurveyed over one thousand households to provide a retrospective evaluation of the impact of their participation in Program 132. We supplemented the household-level panel with commune and district-level surveys as well as local interviews in order to better understand the details of program implementation. Contrary to official reports that the program was implemented as intended, our findings show that there was considerable deviation from the planned program parameters: Many eligible households did not receive land, while ineligible households often did. We estimate that beneficiaries of the program in the province of Kontum experienced increases of household income largely in line with what one would expect from a small plot of poor farm land. Outside Kontum, where participation rates were substantially lower, household incomes did not improve with program participation, though this could be explained by lags in the maturation of perennial crops. Overall, our results underscore the limitations of simple transfers of land as a mechanism for improving the living standards of ethnic minorities. Our results also show the significant gap that can exist between simple program design and decentralized implementation, the potential implications of which we discuss for program evaluation.
    Keywords: Land Reform; Vietnam; Ethnic Minorities; Program Evaluation
    JEL: Q15 I3 O12 O13
    Date: 2012–07–16
    URL: http://d.repec.org/n?u=RePEc:tor:tecipa:tecipa-461&r=agr
  10. By: Tuba Inal Cekic
    Abstract: The concept of social capital, comprising social networks, norms of reciprocity and trust, has been gaining wide interest among researchers and policy makers. So it became a common concept to use social capital as a way to both describe and understand economical, political and social wellbeing of community. While the importance of social capital is highlighted in regional and rural development strategies, Turkey has gone into a fundamental restructuring process in rural and regional development policies in terms of European Union (EU) membership process. Social capital factors in rural settlements within the context of rural development in Rural area of Hilvan, has been put forth as the main theme of this paper. The paper aims to provide an overview of the concept of social capital for rural development and discusses social capital in terms of participation, trust, openness to diversity, and social-institutional networks. Potential items to measure these elements were developed in an empirical study conducted in rural area of Hilvan. Statistical analysis has been used to define factors of social capital and relation between factors and other independent variables like characteristics of rural settlements, socio-cultural structure of rural households and agricultural property and production types.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p96&r=agr
  11. By: Humberto Francisco Silva Spolador; Roberto Arruda de Souza Lima
    Abstract: This paper aims to analyze the degree of concentration of loans allocated to agricultural and livestock activities in Brazil from 2000 to 2009, and to assess the distribution pattern of rural credit among the Brazilian states. The major motivation is to investigate if the volume of available credit is proportional to states share of agricultural production and harvest areas, and states share herd regarding livestock. The results suggest that rural credit still remains concentrated in states of the Southern and Southeastern regions, although there have been a credit decentralization during the current decade in favor of agricultural frontier in parts of Central and North regions of Rural Brazil. The conclusions suggest that transport and energy infra-structure promoted by local and national governments have been fundamental to expand the potential economic growth as well as the demand for rural credit in those regions.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p153&r=agr
  12. By: Yuheng Li
    Abstract: Recently, urban-rural linkages have been increasingly gaining momentum in the economic development and poverty alleviation in urban and rural areas. However, flows of people, goods, capital and information between urban and rural areas can be beneficial or detrimental to either urban or rural areas. Thus, it is important to manage these flows. Small and medium-sized towns are considered as a positive role of being the urban-rural interface through which modernization and wealth trickle down from cities to villages, especially in the process of decentralization and urbanization. Nevertheless, the paper argues that small and medium-sized towns at the peri-urban or urban fringe merely serve as the extension of urban influence over rural areas since rural peasants are disorganized and often passively affected by such influence. The aim of this paper is to explore agricultural cooperatives acting as a new type of urban-rural interface in China. Through comparison with small towns, the paper considers agricultural cooperatives as dynamic, rural-favored and space-beyond interface through which urban-rural linkages are strengthened and rural development is further promoted. The framework of agricultural cooperatives being the new type of urban-rural interface is depicted. The paper stresses the necessity of developing agricultural cooperatives to intensify the urban-rural interaction in the Chinese context of major rural population.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p844&r=agr
  13. By: Patrick Le Gouee
    Abstract: In the prolongation of the research actions relating to interregional program PSDR GO DYTEFORT, we have developed the program DÉMÉTER. This one is articulated around three objectives. At the level of the department of Calvados (5500 km²) and over one recent period (1998-2006), it is a question (1) of quantifying agricultural areas which have been lost by the urban sprawl, (2) to identify for each of the 705 communes of the Calvados the sectors to preserve urban sprawl when those are characterized by soils with an agronomic strong potential, (3) to take the measurement of the environmental and economic consequences induced by the artificialisation of the soil resource. A short presentation of the results of this study shows that between 1998 and 2006, the Calvados has recorded a loss of agricultural areas related to the urban sprawl of about 5100 hectares. That represents the equivalent of the area of 7 communes of the department or 7285 football fields. 45% of urbanized areas have concerned soils with high agronomic potentiality. 16% of urbanized areas (850 ha) have involved the appearance of a high erosive risk. The cereal production loss in 2006 compared to 1998 has corresponded about 153,000 quintals and about 22,000 tons of dry matter for the fodder productions. The restitution of the study near the territory agencies has led (1) on an awakening of the policy-makers to quickly mitigate the environmental and economic consequences of the urban sprawl, (2) to a wish to use the data of our study as a significant tool for the sustainable development in rural areas, (3) on the need for reinforcing the partnerships between the structures of research and the policy-makers.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p750&r=agr
  14. By: Carl Gaigne; Julie LeGallo; Bertrand Schmitt
    Abstract: The well-known rise in the geographical concentration of hog production suggests the presence of agglomeration economies related to spatial spillovers and inter-dependencies among industries. In this paper, we examine whether manure management regulation restricting manure application per acre may weaken productivity gains arising from the agglomeration process. We develop a spatial model of production showing that, on the one hand, dispersion is favored when manure is applied to land as a crop nutrient and, on the other hand, agglomeration is strengthened when farmers adopt manure treatment. Estimations of a reduced form of the spatial model with a SHAC procedure applied on 1988 and 2000 French hog production data confirm the role played by the spatial spillovers and the backward and forwards relationships. Results also suggest that manure management regulation does not work against the spatial concentration of hog production, but boosts the role played by spatial spillovers in agglomeration process
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1326&r=agr
  15. By: Jean CavailhËs; Isabelle Thomas
    Abstract: Since over half a century, Europe has been undergoing periurbanization; this phenomenon is similar to suburbanisation or ìurban sprawlî in the U.S. Hence, for each plot of land, there is competition for land use (agriculture, urbanisation). We here study the effect of urban sprawl on the price of farmland in Belgium. Using a set of very traditional urban economics variables, we show that the determinants of residential prices also explain the spatial variation of farmland. Indeed, the prospect of conversion from agriculture to residential land uses are high in Belgium, which is a densely inhabited country characterized by a tight urban network and where, moreover, land zoning is permissive. Therefore, urban sprawl largely dominates residential choice since over 40 years leading to fragmented landscapes where agriculture coexists with housing. We here use the Capozza & Hesley (1989) model that was recently developed by Plantinga & Miller (2001) and CavailhËs & Wavresky (2003). This model aims at analyzing urban growth from a microeconomic point of view, where agricultural land is converted in residential plot. Until conversion, the price of farmland is equal to the capitalization of the agricultural land rent; after conversion it is equal to the capitalization of the residential rent. It basically depends upon the commuting distance and the anticipated date of conversion (other determinants are also discussed: Ricardian land fertility, number of inhabitants of the township, income, border effects leading to discontinuities, etc.) A hedonic log-linear equation is used where spatial autocorrelation is controlled by Anselinsí method (1988) and the multicollinearity (if any) by partial least squares (PLS). The same econometric equation is estimated for both developable and agricultural land price. Data were aggregated at the level of the 589 municipalities and made available for an 11 years period (1995-2005). Data are mainly provided by the Belgian National Institute of Statistics (SPF …conomie - Direction GÈnÈrale Statistiques): for all communes we know the price, surface and the number of transactions per year, for both developable land (but not yet developed) and farmland (meadow and arable land). Distance between the centroÔd of a commune and the centroÔd of the closest hub-city is the shortest road distance computed on the real road network (see Vandenbulcke et al., 2007, for more details). Econometric findings show that R2 values are slightly better for developable land (R2 = 0,92) than for farmland (R2 = 0,86), but that the partial R2 value associated to urban influence variables is better for farmland (0,85) than for developable land (0,38)3. The explanation of this paradox can be theoretical (combined effect of distance and anticipated land conversion date), as well as empirical (due to data imperfections: data are aggregated by municipalities). Results also reveal that agricultural prices decrease with distance from job centres and increase with the demographic size of the commune, with population rate of increase, householdsí income as well as with the contiguity to the coastline. The same variables enter the regression estimated with residential land price. Figure 1 (provisional results) shows the relationship between the slope of land price according to distance to urban centres (CBD) in the 25 urban areas, for farmland as well as developable land. Explaining farmland slope (dependent variable, y-axis) by developable land slope (explanatory variable, x-axis) indeed leads to a high determination coefficient (R2 = 0,62).
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1628&r=agr
  16. By: Peter Stenberg; Mitchell Morehart
    Abstract: Access to the Internet through broadband technologies has become a widely available, but not uniformly over space. Spatially-dispersed economic actors have lower Internet penetration rates, either out of choice or lack of local availability. We use data from the 2009 June Agricultural Survey, 2008 ARMS, and FCC broadband provider data to analyze farms, a specific sector of spatially-dispersed economic entrepreneurs. A majority of farms had Internet access, but only 1/3 of all farms used the Internet as an intergral part of their management operations. In addition, broadband Internet use was lower for farms than for urban economic actors. In this study we examine factors in Internet use and the technologies that farms use to get on-line. We show the difference in likelihood of broadband use with the likelihood of broadband provision and analyze the factors relative contribution through the use of logistic regression. The results suggest that both availability of the broadband Internet as well as the socio-economic characteristics of the farm operator influences the adoption of broadband Internet in their business.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1469&r=agr
  17. By: James Giesecke; Mark Horridge; Katarzyna Zawalinska
    Abstract: The Common Agricultural Policy (CAP) is one of the most complex and also the most costly of all EU policies. It comprises over 40 financing streams, including Pillar I and Pillar II measures which are highly regulated. In the case of Poland, these are directed to all 16 NUTS2 regions. We are modelling here the regional and thus national consequences of the CAP’s most costly Pillar II measure in Poland, so called Less Favoured Areas support (LFA). It is complex, when we recognise the multipurpose of this measure and significant amount of funds directed at a large number of regions. To handle the regional complexity of this problem, we require a multi-regional model. Such a model must be detailed in its disaggregation of industries, commodities and households if it is to be capable of reflecting the complexity of this measure. As such, we use a large-scale multi-regional CGE model. The model is tailored to reflect the complexity of the rural development policy (Pillar II), of which LFA is the largest part in Poland. Of the 82 region-specific sectors in the model, over 20 is related to agricultural production. The model distinguishes rural and urban households in each region and is based on the most recent IO tables of 2005. We propose a framework for mapping the individual financing stream of the LFA to the specific structural variables relating to specific type of land (LFA and nonLFA) in each region. As to our best knowledge such an approach was never conducted before with respect not only of LFA but also Pillar II measures in general.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p872&r=agr
  18. By: Bachev, Hrabrin
    Abstract: Broadly applied traditional frameworks for assessing efficiency of economic organizations in agriculture are (only) based on the “technical efficiency” of the factors of production and the “productivity of employed resources”. They compare the levels of efficiency of farms of different types, sectors, and countries without taking into account the transaction costs and the specific economic, institutional and natural environment of their development. At the same time, other agrarian organizations (contracts, associations, markets, public and hybrid forms) are not considered as alternative economic structures and are either ignored or studies separately. This paper suggests a new approach for assessing efficiency of economic organizations and public intervention in agriculture incorporating achievements of the interdisciplinary New Institutional Economics. Presented new approach includes: studying out the farm and agrarian organizations as a governing rather than a production structure; assessment of the comparative efficiency of alternative market, contract, internal, and hybrid modes of governance on the base of their potential to minimise production and transaction costs and to maximise the production and transaction benefits; analysis of the level of transaction costs and their institutional (distribution of rights and obligations, and the systems of their enforcements), behavioural (preferences, bounded rationality and opportunism of individuals), dimensional (uncertainty, frequency, assets specificity and appropriability of activity/transactions), technological (non-separability, economies of scale and scope) and natural factors; and determination of adequate criteria of farm efficiency and its effective boundaries – the potential to increase productivity of resources with minimum transaction costs comparing to a practically possible alternative organisation. The new approach is also used to precise the needs for public interventions (“the economic role of government”) in agrarian sector and to assess the comparative efficiency of alternative forms of public involvement. The analysis of socio-economic and natural environment and the transaction costs identifies a multiple cases of “market and private failures” associated with non-identified or badly assigned property rights, ineffective system of enforcement of absolute and contracted rights, high uncertainty and dependency of activity, low appropriability, needs for collective actions etc. which necessitate a third-party public intervention in market and private sectors. The individual forms of public involvement (institutional modernisation, assistance, regulation, taxation, hybrid or internal organisation) are with unequal efficiency in the specific environment of different countries, regions, and sectors, and the most efficient one(s) is/are to be selected with taking into account the total (direct, private, public, transaction, third-party etc.) costs and the contribution to the sustainable development. Nevertheless, “the public failure” is feasible and bad interventions, delayed, under or over-regulations, miss-management, corruption etc. are widespread and as a result the sustainable development of the sector is compromised.
    Keywords: efficiency of farms and agrarian organizations; market; private and public governance
    JEL: Q13 Q15 Q12 Q18
    Date: 2012–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:40136&r=agr
  19. By: Anca Dachin; Daniela Constantin; Zizi Goschin; Constantin Mitrut; Bogdan Ileanu
    Abstract: Among the EU countries, Romania displays the highest share of rural population (45%), most of it employed in agriculture. Moreover, there is a significant variation between the eight NUTS 2 regions with regards to the urban distribution and dynamics, with important intra-regional differences between the constituent counties. This paper proposes an inquiry into the capacity of urban centres to contribute to rural development in Romania from R&D and innovation perspective. First, the rural-urban gap is discussed, pointing at the consequences of the delay in implementing the reform of the production system in agriculture in terms of employment and income. Then, the positive influence of towns and cities on raising the share of employment in non-agricultural activities in rural areas is demonstrated by means of the available statistical data. Further on, the analysis of the regional dimension of R&D and innovation shows an increasing polarisation both between and within the eight development regions. The main conclusion is that the regions or counties with predominantly agricultural activities developed in subsistence households are not enough prepared to access R&D and innovation results. This conclusion is also confirmed by a regression model that analyses the influence of rural areas on regional growth. The above findings are examined in correlation with the expected positive contribution of the current rural development programme as well as of the regional operational programme and competitiveness sectorial programme funded by the EU.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1236&r=agr
  20. By: Jeanne Dachary-Bernard; Marie Lemarié
    Abstract: Coastal areas have known from recent decades an increasing attractiveness that puts an important pressure on these specific territories and their resources, and that generates important land uses conflicts (Goetz et al 2007). Such conflicts may appear because of the different services that land resources provide, and that people are looking for. If economics literature refers to numerous studies of land transactions and land-use patterns, few studies deal with values of land services (Boyle et al 2006). This study takes place in this area of research, eliciting consumers’ preferences and willingness to pay for alternative land uses and supplying interesting information to land use decision makers about the expected benefits of alternative patterns of development (Johnston et al 2003). We apply choice experiments method on a coastal area, the French Arcachon bay, in order to understand how people value the different land attributes of this site. Different hypothetical scenarios that are supposed to describe different spatial organisation of the territory are presented to respondents, who have to choose the scenario they prefer. These scenarios are defined from the main land attributes, so they need to be correctly understood by respondents (Hanley et al 2001). For this first stage of the method, we use focus groups results and experts point of views in order to define the attributes and construct the different choice sets that will be presented to respondents in a survey. Three focus groups (Krueger et Casey 2009) have been realised and experts’ interviews have been carried out among some main local agricultural activities. Both qualitative inputs are not supposed to give the same kind of information (Kaplowitz et Hoehn 2001). Then, these qualitative informations are used to implement the survey design. Integrating such a qualitative approach and survey designs is supposed to improve the process of valuing land use changes benefits (Desvousges et Frey 1989). The authors will discuss this specific methodological point.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p674&r=agr
  21. By: Michaela Trippl
    Abstract: This paper deals with innovation activities and the pattern of knowledge linkages in the food industry located in the metropolitan region of Vienna. Drawing on 20 qualitative interviews with local companies and knowledge providers (universities and other research organisations) it is shown that in the Vienna food sector innovation has a high importance as competitive strategy. Furthermore, we demonstrate that Vienna’s innovative food companies embrace a wide range of different knowledge sources. Analysing the geography of linkages to these sources, reveals that most of them are extra-local in nature. This finding has to be interpreted against the background of an ongoing reconfiguration of the regional innovation system (RIS). Vienna’s RIS is in a process of transformation, becoming increasingly oriented on promoting young high-tech industries and providing only few impulses for innovation in older and more traditional sectors such as the food industry.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p133&r=agr
  22. By: Jens Abildtrup; Virginie Piguet; Bertrand Schmitt
    Abstract: In the European rural development policy special emphasis is placed on support of the agro-food industry which is regarded as an important economic development driver in rural areas. This paper analyses and compares the employment and population changes in Denmark and France in the period 1990 - 2006, applying a regional adjustment model. We modify the classical Boarnet model by addressing the employment in the agro-food, manufacturing, and services sectors explicitly. Besides revealing the interactions between employment in the three analysed sectors and between employment and population changes we estimate the impact of exogenous factors, e.g. amenities and public services, on employment and population changes. To account for spatial error autocorrelation the model is estimated, applying a generalized spatial two-stage least squares procedure. The empirical results for both countries do not support the export base hypothesis, i.e. growth in the manufacturing sector employment is not driving employment in the service sector. However, considering the agro-food sector there are indications of a positive impact of employment growth in this sector on the service sector employment growth. In Denmark, the agro-food employment growth has also a positive impact on the employment growth in export sector and on the population growth, indicating that the focus on the agro-food sector in rural development policies may be reasonable.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1622&r=agr
  23. By: Yoshiro Higano; Feng Xu; Jingjing Yan; Takeshi Mizunoya; Huanzheng Du
    Abstract: In the study, we proposed the environmental policies to decrease water pollutants that generate from household, non-point and production in Jiaxing city of China. We especially introduced biomass plant technology for pig farming industry in order to improve the water environment. We constructed environmental model and social economic model by computer simulation that evaluated the efficiency of biomass plant technology from both water environmental preservation and social economic development. The research established the significance and feasibility of introducing biomass plant technology that allows simultaneous pursuit of environmental improvement and regional development. The comprehensive evaluation and optimal policies are expected to form the basis of decision-making in Jiaxing city.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1637&r=agr
  24. By: Rafael Boix; Yancy Vaillant
    Abstract: The industrial district is a model of production mainly related to medium and small cities characterized by industrial specializations in small and medium enterprises. However, the mapping of the phenomenon in countries as Italy and Spain suggest that industrial districts are also present in rural areas. The objective of this contribution is the identification, mapping and characterization of industrial districts located in rural areas as well as to evaluate the extent in which industrial districts in predominantly rural areas have contributed to the dynamism of these areas. The analysis analyzes the importance of industrial districts for rural development and provides some recommendations regarding policy strategies. Specifically, the study illustrates some relevant results. First, industrial districts are present in rural areas of Italy and Spain although their importance is higher in Spain. Second, industrial districts in rural areas are geographically concentrated in a few rural areas. Third, patterns of specialization of industrial districts in rural areas do not differ from their patterns in other areas. Fourth, predominantly rural areas with industrial districts grow between two and three times faster than the rest of rural areas. Fifth, a significant share of the growth of rural areas with industrial districts is explained by the more dynamic behaviour of these districts. Sixth, the results do not vary when transferring the unit of analysis from industrial districts in rural areas to industrial districts with characteristics of predominantly rural areas. The existence of industrial districts in rural areas and their positive economic impact suggest that they have an important potential for development in those concrete rural areas where they are present. The particularity of industrial districts suggests that any policy strategy including industrial districts should be based on the premises of a flexible bottom up framework where the key governance structure becomes the local level.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p299&r=agr
  25. By: Xuebo Zhan; Yishiro Higano; Huanzheng Du
    Abstract: Wuhan City is located in the central part of China, which is an import foothold of the transportation, manufacturing industry, commerce and education in China. Chinese government appointed Wuhan City as a national pilot reform area of resource-saving and environmentally friendly society at the end of 2007. There is a great deal of fresh water resources in Wuhan City, and Wuhan City is known as 'the city with 100 lakes'. However, about 60% of the lake water resources have became seriously polluted in Wuhan City. The most important reason for water degradation of Wuhan City is the imbalance between rapid economic development and the environment load capacity. In this study, we raised synthetic policies to reduce amount of lake water pollutants and realize the harmonious development between regional economy and water environment. In this paper, we focused on three contamination materials (COD, T-N and T-P) and constructed a model from environmental load, socio-economy and water quality improvement policies. We performed optimization simulation based on linear programming to maximize gross regional production (GRP) and reduce environmental load, and finally we suggested proper policies to improve water quality in this area.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1636&r=agr
  26. By: Jinghua Sha; Nan Xiang; Lin Guo; Runbo Gu
    Abstract: Capital Economic Circle that is located in north of China belongs to water resources shortage regions. The per capita water of it is only 1/7 of the per capita water of the whole country, and 1/30 of the per capita water of the whole world. Thus water resources problems become one of the key factors that restrict regional development. According to the analysis of water resources situation in Capital Economic Circle, in this paper we find out some main problems existing in regional water resources utilization. These water problems contain a series of water resource problems, such as water environment, water ecology, and water disaster. Finally, based on the theory of circular economy, the proposals on developing recycling economy of water resources are put forward.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p400&r=agr
  27. By: Katsuhisa Ito
    Abstract: In this paper, I discussed on the change of environment conservation, resource management, area promotion and their policies, and significance and problems in the case of Shimanto-river basin in Shikoku district. Shimanto-river became famous as 'the last clear river in Japan' by television program, which have resulted the increase of tourists, and tourism of river leisure activity and rural experience activity became popular. The movement in Shimanto-river basin had begun from environment conservation, and gradually had added new movement like tourism and area promotion. Also, many players like local government, local enterprise, NPO, inhabitants, volunteers, tourists, and city residents, have participated in the movement. On the consensus among stakeholders of the movement was easy on environment conservation and tourism due to ethic and pragmatic reasons, but on collaboration management of land resource like paddy field and forest were difficult to make consensus, due to land ownership. There are much of abandoned paddy field and forest land recently. It must be permitted by landowner naturally to maintain the lands by volunteers or city residents of well-meaning, even if abandoned lands. Therefore new policy which separates ownership and management system will be needed. Keywords: Collaboration of rural and urban people, Resource management, Area promotion, Consensus, Legitimacy
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1656&r=agr
  28. By: Aliye Ahu Gulumser; Tuzin Baycan-Levent; Peter Nijkamp
    Abstract: Creative capacity in the field of regional sciences means the capability of any region to generate knowledge and thus to achieve innovation and the diffusion of the output of the innovative activity while obtaining the viability and sustainability of this process. Although creative capacity studies mainly focus on urban regions, the late rural studies and empirical evidences showed that rural region has a great potential capacity in terms of its five components viz. knowledge; innovation; entrepreneurship; creativity; and networks. But, these opportunities have shown by a rural specific approach rather than an urban approach. On this basis, by taking into consideration these discussions in the literature, we assume that the rural creative capacity can be evaluated by the recent changes in rural regions that show the capability of rural regions to exploit its knowledge as an output. On this purpose, in this study, we aim to evaluate which component is relatively important to identify the level of rural creative capacity. Therefore, the study focuses on 60 villages from Europe and 17 villages from Turkey by deploying the data obtained from the in-depth questionnaires. This study is a first attempt at settlement level with an optimistic approach to measure the opportunities lying at the heart of rural regions. The results of the study showed that creativity in terms of traditions is the most important component in both cases while European villages have more opportunities and do not have the latent rural problems while Turkish villages are still suffering from the well-known rural problems that their capacity exists but it is very limited.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p451&r=agr
  29. By: Wenjie Wu
    Abstract: Over 140 billion CNY (1GBP=10CNY) has been spent between 2000 and 2012 in Beijing on the construction of new rail transit lines. This massive public investment allows me to examine the consequences of transport improvements for land prices near rail stations. Using unique vacant parcel-specific data, I estimate the significant heterogeneity in the capitalization effects of rail transit development for multiple land uses in Beijing urbanised area. The results show that these transport improvements, identified by the parcel-station distance reductions, give rise to sizeable price premiums in the local residential and commercial land markets. Strikingly, the difference between the increase in the value of residential and commercial land parcels are not distributed evenly. These findings lend to support the evidence that public investment has an essential role to play in spurring the spatially targeted land market and provide implications for further land and transport policy making in China.
    Keywords: Land prices, transport improvement, Geographical Information System, China
    JEL: H41 Q51 R41
    Date: 2012–07
    URL: http://d.repec.org/n?u=RePEc:cep:sercdp:0116&r=agr
  30. By: Electra Pitoska; Themistokles Lazarides
    Abstract: Quality rural products in general and wine more specifically, acquire an increasingly important role in European Communities Rural Growth policies. This results from the fact that they have a commercial advantage over other products, they support rural income and the rural economy, contribute to the protection of natural environment, retain the rural population in the countryside, encourage the development of new professional activities (like agro tourism, wine tourism e.t.c.) and bring to surface local knowledge and the cultural wealth of the Less Favoured Regions. The present paper, based on a research that was carried out in 2009, attempts to examine whether these findings apply in the Greek countryside, and more specifically at the provincial regions of Naousa and Amynteon, which are specialised in the production of VQPRD wine. The two regions (areas) present important similarities and differences as for the extent of vinicultural area, the number of wine factories, their participation in networks and the linkages of local economy and vinicultural activity. The conclusions refer to the degree of adaptation of those two regions in the alternative model of rural growth that is being promoted by the European Union
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p949&r=agr
  31. By: Nico Polman; Arianne de Blaeij; Stijn Reinhard; Louis Slangen
    Abstract: In this presentation, we will analyse whether entrepreneurial benefits depend on the landscape composition of the Dutch Ecological Main Structure (EMS) zones. The general objective of this research is to analyze economic benefits of the EMS for recreational firms. As far as we know, this research is the first empirical analysis of the link between landscape and benefits for recreational firms. To estimate the relevance of the EMS for recreational firms an indicator is developed for individual firms that gives insight in and the distance of the firm to and the size of the EMS. The total dataset consists of about 29,000 recreational firms. Analyzing accountancy data for all recreational firms was not possible given the number of organizations and their diversity. Therefore, the number of employees of a firm and the connected net added value is used as a proxy for economic benefits. The question analyzed was if the number of employees could be attributed to the EMS. The study has been carried out applying econometric analysis using location variables and firm specific variables. The results indicate that recreational firms in the neighborhood of the EMS employ relatively more people than other firms. The effect for the average firm is however limited. Most important for employment are forest areas and coastal zones. Forest areas include cultural-historic important forests, natural forests and heath areas. The coastal zones consist of tidal marshes, salt marshes and dunes. A larger distance and or combined with smaller nature areas shows a decreasing effect on the number of people employed by a recreational firm. An sequential question is whether it is possible to use the Reilly index indicator to determine ex-ante the recreational economic benefits of new developed nature areas. As a case study, we apply this indicator to a new constructed natural area in the Netherlands, a commercial wetland. Changing agricultural land use into commercial wetlands will change the use and character of landscape. The question is whether it will change the recreational benefits of recreational firms in the surroundings.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p910&r=agr
  32. By: L√∫cia Urban; Teresa Noronha Vaz
    Abstract: The present article aims to discuss some the organizational and institutional aspects that have became the basis for the development of coffee as a non-commodity product in Brazil. It is expected that due to new patterns of coffee consumption, a new strategy permits the competitive reinsertion of Brazilian coffee into the international markets. This paper discusses some of the major aspects of contemporary industrial organization requirements imposing process innovation along the supply chain of many agro-food products around the world. It is argued that they are connected to a new industrial order, related to differentiation and/or segmentation processes. The suggested methods, interviews to the driving stakeholders and accompanied observation of their networking systems, are applied in the different stages of the supply chain in order to demonstrate that the production conditions are imposing strategic interrelationships between the roasting and the grinding industry and among the several intervenient agents. It is further observed that most of such processes take place within a new context of competition where innovation, segmentation and product differentiation are more important factors for the international market than cost and price reductions, thus thereby demanding a serious redefinition the companies’ strategies. The results detect the application of the concept of flexible specialization as a fundamental input. They corroborate some of the analytical elements which are essential to explain export revitalization actions acquired from specific attributes such as, for example, highly qualified managers, able to adapt to continuous innovation. It was also observed that, for the whole productive segment, the qualified management reflects a strategy that is inserted into a wider policy issue. In this successful case, companies and government have closely interacted in order to provide the ideal conditions to overcome the global competition by means of benchmarking and differentiated consumption standards. Finally, another major conclusion is that there exists an historical capability of public and private interests to interact. Such has been decisive to ease difficulties arousing from market fluctuations and facilitate the required technical and institutional innovations.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p883&r=agr
  33. By: Marian Rizov; Paul Walsh
    Abstract: The focus of the paper is on evaluating the productivity gap between rural and urban locations in the UK using micro data. We build a structural model of the unobservable productivity emphasising the link between productivity and spatial density of economic activity and adapt the semi-parametric estimation approach proposed in Olley and Pakes (1996) to estimate the parameters of production functions at firm level, within 4-digit UK manufacturing industries, for the period 1997 - 2001. We allow market structure to differ by endogenous export status and location choices and model productivity as a second-order Markov process which greatly enhances our ability to obtain unbiased and consistent estimates of TFP measures at firm level. We aggregate the firm TFPs by location category following the 2004 DEFRA definition of rural and find that aggregate productivity systematically differs across urban, rural less sparse and rural sparse locations as the magnitudes of the differentials are 13.2 percent and 18.0 percent, respectively. Our results are in line with several recent studies. Next, we decompose aggregate productivity into productivity index and industry composition index. The productivity index is the highest in urban locations suggesting that productivity is strongly influenced by density of economic activity and proximity to economic mass. Because industry composition index is positively correlated with productivity index it is evident that locations with high productivity are also characterised by industrial structure enhancing productivity. Further, analysing changes in the decomposition indexes over two periods, before and after implementation of the Euro by the UK main trading partners, reveals substantial heterogeneity in responses across location categories under increased competitive pressure. The main finding is that there is a tendency of rural sparse locations catching up with the urban and rural less sparse location categories in terms of aggregate productivity over the period of analysis. We also find evidence that increased competitive pressure as a result of changes in trade conditions after implementation of the Euro by the UK’s main trading partners has acted as a substitute for the role of density of economic activity in enhancing industry composition, especially in rural sparse locations.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p162&r=agr
  34. By: Kenji Tsusumi
    Abstract: In Japan, most of the studies of 'Social Capital' (SC) are from a viewpoint of macro scale such as national, and also mainly by a top-down way. Therefore, the accumulation of studies in micro scale?(bottom-up way), such as a village or a community, is an urgent and vital task for researchers. Diversity of the scale of study is very important, but such approach lacks and is weak there in fact. On the one hand, many studies of SC are from a macro viewpoint mentioned as above, and on the other hand, researches of social ties in modern and contemporary Japanese rural sociology and rural studies had shown huge amounts of research results on rural villages from a micro view. But since the high economic growth in this country we have been seen urbanization, depopulation, or rapid aging in Japanese rural villages, and they have been diversified, so the framework of simplified rural-urban dichotomy became old-fashioned to analyze them. Especially in disadvantaged rural depopulated regions, however, we need revision of social ties or SC in order to sustain functions for daily life. On the basis of such situation, the author examines important elements on considering SC with some regional examples of positivistic study. In a region, SC consists of social ties and their networks. The forms of combination of the ties are varied, often crossing over several kinds of scales and levels. Actually in such a structure of something complex, complicated network or 'Social Scape' is formed, with 'bonding' and 'bridging' being connected each other complicatedly. Key words: social capital, inter-scale, inter-level, rural Japan,
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p1657&r=agr
  35. By: Fernando Perrini Daruge; Roberto Arruda de Souza Lima
    Abstract: This study analyses the relationship between social capital accumulation and the amount of rural credit market contracts of the State of São Paulo, Brazil. The most important definitions of social capital found on literature and the main ways of creation and measure this variable were reported. It discusses the connection between social capital and information and how this relation contributes to the reduction of financial intermediation’s transaction costs, that results on rural credit volume increasing. It was used the same logit regression model that have been created and used by LIMA (2003), to empirically test the effect of social capital on the volume of rural credit. The data, from the municipalities of the State of São Paulo, are from 2007/2008 official statistics (Farm Census, LUPA and SEADE’s data basis). The results indicate that the level of social capital is positively-correlated with the amount of rural credit. That shows the governmental incentives to further increase and maintain social capital would result on rural sector’s development.
    Date: 2011–09
    URL: http://d.repec.org/n?u=RePEc:wiw:wiwrsa:ersa10p117&r=agr
  36. By: Frédéric Gaspart (UMR 225 DIAL, IRD, Université Paris Dauphine, Earth and Life Institute, Université catholique de Louvain); Anne-Claire Thomas (UMR 225 DIAL, IRD, Université Paris Dauphine, Earth and Life Institute, Université catholique de Louvain)
    Abstract: (english) This paper studies the determinants of poverty dynamics in several rural areas from Madagascar. A particular attention is devoted to testing if rural poverty persistence in Madagascar could be explained by a vicious circle leading to a poverty trap. Annual poverty transitions retrieved from an original household panel data survey covering the 1996-2006 periods show that differences in household and environment characteristics are clearly associated with di¤erences in poverty transitions probabilities. Poverty-vulnerable households have higher dependency ratio and are less educated. They also show different income-generating activities pattern. They cultivate less market-oriented crops and have more vulnerable activities such as agricultural wage work. A Markovian poverty transition model is used to evaluate the role of past poverty in this situation. Past poverty is allowed to have both an intercept and a slope effect on poverty transitions probabilities. Our results show that a substantial share of the di¤erences in household poverty transitions probabilities is attributable to past poverty status. These results encourage the development of social protection to prevent households to fall into a poverty trap as well as speciffic measures to encourage paths out of poverty traps. _________________________________ (français) Cet article étudie les déterminants de la dynamique de la pauvreté dans plusieurs zones rurales de Madagascar. Une attention particulière est portée à l’identification d’un éventuel effet délétère de la pauvreté passée sur la pauvreté future pouvant conduire à un cercle vicieux de perpétuation de la pauvreté. Le papier se base sur l’étude des transitions annuelles sur et sous le seuil de pauvreté observées sur un panel de ménages ruraux malgaches entre 1996 et 2006. Un modèle markovien est utilisé pour évaluer le rôle des caractéristiques des ménages, de l’environnement et de la pauvreté passée dans la probabilité de passer sur ou sous le seuil de pauvreté. Les résultats montrent que certaines caractéristiques des ménages et de l'environnement sont clairement associées à différences dans les probabilités de transitions sur et sous le seuil de pauvreté. En particulier, les ménages vulnérables à la pauvreté ont un rapport de dépendance plus élevé, sont moins éduqués et ont une composition de revenus différentes. Ils sont notamment moins orientés vers les cultures agricoles et plus orientés vers des activités précaires comme le salariat agricole. Un effet délétère de la pauvreté passée sur le risque d’être pauvre dans le futur est également mis en évidence. Il passe à la fois par un effet de pente et un effet de niveau. Ces résultats soulignent la nécessite de mettre en place des politiques spécifiques contre la vulnérabilité à la pauvreté, d’une part, et contre la pauvreté de long terme d’ autre part.
    Keywords: Poverty dynamics, state dependence, panel data, rural Madagascar, Dynamique de la pauvreté, données longitudinales, Madagascar.
    JEL: C01 C33 C34 O12
    Date: 2012–07
    URL: http://d.repec.org/n?u=RePEc:dia:wpaper:dt201207&r=agr

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NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.