nep-agr New Economics Papers
on Agricultural Economics
Issue of 2014‒11‒22
39 papers chosen by



  1. Agricultural Production performance on Small farm holdings: Some Empirical Evidences from Bihar, India By Singh, R.K.P.; Kumar, Abhay; Singh, K.M.; Kumar, Anjani
  2. Proceedings "Competitiveness of agro-food and environmental economy",2013 By Gabriel, Popescu; Nicolae, Istudor; Dan, Boboc
  3. Adoption of Modern Agricultural Technologies: A Micro Analysis at Farm Level in Bihar By Singh, K.M.; Singh, R.K.P.; Kumar, Abhay; Kumar, Anjani
  4. Do Organic Inputs in African Subsistence Agriculture Raise Productivity? Evidence from Plot Data of Malawi Household Surveys By Wouter Zant
  5. Crop Prices, Agricultural Revenues, and the Rural Economy By Weber, Jeremy; Wall, Conor; Brown, Jason; Hertz, Tom
  6. ADB Brief 20: A Safe Space for Humanity: The Nexus of Food, Water, Energy and Climate By Asian Development Bank (ADB); ; ;
  7. Investigating the Sensitivity of Household Food Security to Agriculture-related Shocks and the Implication of Informal Social Capital and Natural Resource Capital: The Case of Rural Households in Mpumalanga, South Africa By Byela Tibesigwa, Martine Visser and Wayne Twine
  8. Understanding Food Inflation in India By Sen Gupta, Abhijit; Bhattacharya, Rudrani; Rao, Narhari
  9. Innovation at Rural Enterprises: Results from a Survey of German Organic and Conventional Farmers By Unay Gailhard, ilkay; Bavorova, Miroslava
  10. Value Chains and Global Inequalities: Plantain, Contract Farming, and Vulnerability of the Small-Scale Farmers in Colombia (Discussion Paper) By Baquero Melo, Jairo
  11. Water scarcity and agricultural growth in Spain: from curse to blessing? By Ignacio Cazcarro; Rosa Duarte; Miguel Martín-Retortillo; Vicente Pinilla; Ana Serrano
  12. Efficient water management: way forward to climate smart grain legumes production By Singh, Anil Kumar; Singh, K.M.; Bhatt, B.P.
  13. Argentine Agricultural Policy: Producer and Consumer Support. Estimates 2007-2012 By Marcos Gallacher; Daniel Lema
  14. A Diagnostic Study on Livestock Production System in Eastern Region of India By Gupta, J.J.; Singh, K.M.; Bhatt, B.P.; Dey, A.
  15. Biofuels and Food Prices: Searching for the Causal Link By Andrea Bastianin; Marzio Galeotti; Matteo Manera
  16. Land-abundance, frontier expansion and the hypothesis of appropriability revisited from an historical perspective: settler economies during the First Globalization By Henry Willebald
  17. Reducing Greenhouse Gas Emissions in the Food Sector: Effects of Corporate Responsibility By Linda Kleemann; Donal Murphy-Bokern
  18. Food versus Fuel: Causality and Predictability in Distribution By Andrea Bastianin; Marzio Galeotti; Matteo Manera
  19. Crop diversification, economic performance and household’s behaviours Evidence from Vietnam By Nguyen, Huy
  20. Lentil in India: An Overview By Singh, K.M.; Singh, A,K,
  21. Sustainable agriculture and rural development in terms of the republic of Serbia strategic goals realization within the Danube region. Rural development and (un)limited resources By Cvijanović, Drago; Jonel, Subic; Jean, Andrei
  22. Are the Children of Uneducated Farmers Doubly Doomed? Farm, Nonfarm and Intergenerational Educational Mobility in Rural China By Emran, M. Shahe; Sun, Yan
  23. Is urban food demand in the Philippines different from China? By Tomoki Fujii
  24. Land allocation in subsistence economies and intra-familial time-use decisions By Nadege Miclanche Azebaze; Thomas Falk; Evelyn Korn
  25. Time Path of Price Adjustment in Domestic Markets of Non-tradable Staples to Changes in World Market Prices By Badiane, Ousmane; Goudan, Anatole; Tankari, Mahamadou Roufahi
  26. Effects of Agricultural Productivity Shocks on Female Labor Supply: Evidence from the Boll Weevil Plague in the US South By Ager, Philipp; Brückner, Markus; Herz, Benedikt
  27. Can conditional cash transfers improve education and nutrition outcomes for poor children in Bangladesh ? evidence from a pilot project By Ferre, Celine; Sharif, Iffath
  28. Estimating the recreational value of Kakum National Park in Ghana By Ankomah, Emmanuel; Adu, Kofi Osei
  29. Promoting the international demand for agritourism – empirical evidence from a dynamic panel data model By Santeramo, Fabio Gaetano
  30. The Passive Use Value of the Mediterranean Forest By Vladimir Otrachshenkoy
  31. Economic incentives for carbon sequestration: A review of the literature By Aklilu, Abenezer; Gren, Ing-Marie
  32. Six or four seasons? An evidence for seasonal change in Bangladesh By Islam Moinul; Koji Kotani
  33. Enhancing Rice Production in Uganda: Impact Evaluation of a Training Program and Guidebook Distribution in Uganda By Kijima, Yoko
  34. Who had the idea to build up a village organization? Some evidence from Senegal and Burkina Faso. By Cecilia Navarra; Elena Vallino
  35. The Economic Contribution Potential of Local Foods Production in Kane County, Illinois By Swenson, David A.
  36. Rural Electrification and Household Labor Supply: Evidence from Nigeria By Claire Salmon; Jeremy Tanguy
  37. Private provision of public goods: Do individual climate protection efforts depend on perceptions of climate policy? By Joachim Schleich; Claudia Schwirplies; Andreas Ziegler
  38. The Economics of Transboundary River Management By Erik Ansink; Harold Houba
  39. To mitigate or to adapt? Collective action under asymmetries in vulnerability to losses By Esther Blanco; E. Glenn Dutcher; Tobias Haller

  1. By: Singh, R.K.P.; Kumar, Abhay; Singh, K.M.; Kumar, Anjani
    Abstract: Immediately after the green revolution period, there was an intense debate on the observed inverse relationship between farm size and per hectare agricultural productivity in India. It was subsequently argued that the higher productivity of small holdings would disappear with the adoption of superior technology, modernisation and growth in general. Recently, National Sample Survey data show that small holdings in Indian agriculture still exhibit a higher productivity than large holdings. This article contributes to the limited literature on farm size and productivity in small land holder's agriculture in Bihar, India. Plot wise panel data of VDSA project are used to reach at precise conclusion. The results provide evidence for a positive relationship between farm size and productivity in case of small land holders’ agriculture and hence, an inverse relationship does not seem to apply within small landholders’ agriculture. A strong positive relationship between farm size and output per hectare is a result of higher use of fertilizer, modern seeds and irrigation sources on comparatively larger land holders than small land holders in Bihar, India. It is mainly due to more uneconomic land holdings of sub-marginal and marginal farmers to have limited access to water resources, quality input and credit. Access to resources and technology must be considered together for any agricultural development programmes for small land holder's agriculture. It is therefore needed to look for ways of improving their access to resources for farming through increased opportunities for earning off farms and off season income or through improved credit market. Hence, small size and land fragmentation are key bottlenecks for the growth of agriculture in Bihar, India. The crop productivity of tiny landholders can be increased through improving their access to institutional financing system, agricultural extension network and farm technology centres. However, promotion of non-farm rural employment seems to be the most appropriate option for increasing crop productivity and improving livelihoods of small landholders in Bihar.
    Keywords: farm size, productivity, small landholders’ agriculture, Bihar, livelihood, adoption of modern technology
    JEL: O3 O32 O33 Q12
    Date: 2014–08–10
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58912&r=agr
  2. By: Gabriel, Popescu; Nicolae, Istudor; Dan, Boboc
    Abstract: The main goal of the conference Competitiveness of agro-food and environmental economy’ (CAFEE`13), was to debate new ideas provided by research along with experiences brought by institutional and business representatives in the field of rural development, agro-food economy, agro-food system, environmental policy and management. The Conference was held in November, 7-8, 2013, to the Faculty of Agro-food and Environmental Economics, Bucharest University of Economic Studies, Romania. The conference proceedings volume includes all the draft papers accepted and published in the proceedings of The 1st International Conference 'Competitiveness of agro-food and Environmental economy’ (CAFEE`13), organized by Faculty of Agro-Food and Environmental Economics and Research Center of Regional Analysis and Policies from The Bucharest University of Economic Studies, in partnership with Institute of Agricultural and Food Economics, National Research Institute, Poland, St James's Business School(UK), University of Verona – Italy, Institute of Agricultural Economics- Serbia, Faculty of Agriculture Zemun- Serbia, Institute of Agricultural Economics, Romanian Academy, Institute of Research for Agricultural Economics and Rural Development, Academy of Agricultural and Forestry Sciences – Romania and Faculty of Economic Sciences, Petroleum - Gas University of Ploiesti Romania.
    Keywords: competitiveness, agro-food, environmental economy, rural development
    JEL: A1 O1 Q1 Q18 Q5
    Date: 2013–11–13
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58924&r=agr
  3. By: Singh, K.M.; Singh, R.K.P.; Kumar, Abhay; Kumar, Anjani
    Abstract: Technology adoption has been the main obstacle in realizing agricultural potential in the country in general and Bihar in particular. The present study focuses on level of adoption, access of farmers to farm technology, quality of modern technology, access to agricultural extension institutions and problems faced by extension officials in transfer of farm technology. It has been observed that the coverage of agricultural development programme is limited to few villages; however, line department still dominates in spreading of modern agricultural technology. Small size of land holding and fragmented land emerged as main constraint to adoption of modern horticultural technology in Bihar. While analyzing use of modern varieties of principal crops, a comparatively high level of adoption on small and medium farms was observed. Hence, there is no relationship between size of farm and adoption of modern varieties of seeds in Bihar. Inadequate staff, infrequent supervision and lack of conveyance facility are some other factors responsible for poor transfer of technologies in Bihar.
    Keywords: Transfer of technology, Adoption of technology, Modern agricultural technology, Bihar
    JEL: O13 O15 O3 O32 O33 Q1 Q12
    Date: 2014–06–08
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58914&r=agr
  4. By: Wouter Zant (VU University Amsterdam)
    Abstract: We exploit plot data from the agricultural module of the third Malawi Integrated Household Survey (IHS-3) to investigate how organic cultivation techniques contribute to productivity of non-subsidized local maize and what to expect from using organic inputs on a larger scale. We approximate organic inputs with crop combinations and livestock, and use matching techniques for estimating impacts. Productivity of local maize–bean, local maize–groundnut and local maize–nkhwana, each combined with livestock and chemical fertilizer, is shown to be statistically similar to productivity of fertilized maize mono-cropping. Simulations show that large increases in total maize production are potentially feasible under conversion to organic cultivation techniques. Limited availability of labour and livestock are likely constraints.
    Keywords: crop productivity, soil fertility, organic inputs, Green Revolution, Malawi, Africa
    JEL: Q12 O13 O55
    Date: 2014–08–25
    URL: http://d.repec.org/n?u=RePEc:dgr:uvatin:20140114&r=agr
  5. By: Weber, Jeremy; Wall, Conor; Brown, Jason; Hertz, Tom
    Abstract: U.S. policy makers often justify agricultural subsidies by stressing that agriculture is the engine of the rural economy. We use the increase in crop prices in the late 2000s to estimate the marginal effect of increased agricultural revenues on local economies in the U.S. Heartland. We find that $1 more in crop revenue generated 64 cents in personal income, with most going to farm proprietors and workers (59 percent) or nonfarmers who own farm assets (36 percent). The evidence suggests a weak link between revenues and nonfarm income or employment, or on population.
    Keywords: Agriculture, Crop Revenues, Rural Economy
    JEL: J43 O13
    Date: 2014–11–05
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59716&r=agr
  6. By: Asian Development Bank (ADB); (Regional and Sustainable Development Department, ADB); ;
    Abstract: The 20th Century saw major human triggered transitions that cumulatively are threatening the safety of the habitat for humans on planet earth. Population, resources, and the rapid accumulation of wealth all are intertwined in the 5 major transitions from the past to our new global future. These major transitions are: first, the “urban population transition;” second, the“ nutrition transition;” third, the “climate transition;” fourth, the “energy transition;” and, fifth, the “agricultural transition.” This policy brief focuses on the most salient problems arising from these global transitions that can be ameliorated by specific policy instruments in the short term.
    Keywords: adb, asian development bank, asdb, asia, pacific, poverty asia, food, water, energy, climate, land, agriculture, food-water-energy nexus, humanity, planet earth, urban population transition, nutrition transition, climate transition, energy transition, agricultural transition, adb brief 20, peter rogers, samuel daines
    Date: 2014–05
    URL: http://d.repec.org/n?u=RePEc:asd:wpaper:abf146286-3&r=agr
  7. By: Byela Tibesigwa, Martine Visser and Wayne Twine
    Abstract: Resource-poor rural South Africa is characterised by high human densities due to the historic settlement patterns imposed by apartheid, high levels of poverty, under-developed markets and substantially high food insecurity. This chronic food insecurity combined with climate and weather variability has led to the adoption of less conventional adaptation methods in resource-poor rural settings. This paper examines the impact of agriculture-related shocks on the consumption patterns of rural households. In our assessment we are particularly interested in the interplay between social capital (both formal and informal), natural resource capital and agriculture-related shocks. We use three years of data from a relatively new and unique panel of households from rural Mpumalanga Province, South Africa, who rely on small-scale homestead farming. Overall we make two key observations. First, the agriculture-related shocks (i.e. crop failure from poor rainfall and hailstorm) reduce households’ food availability and thus consumption. Second, natural resource capital (e.g. bushmeat, edible wild fruits, vegetables and insects) and informal social capital (ability to ask for food assistance from neighbours, friends and relatives) somewhat counteracts this reduction and sustains households dietary requirements. In general, our findings suggest the promotion of informal social capital and natural resource capital as they are easier, cheaper and more accessible coping strategies, in comparison to other more technical and capital-intensive strategies such as insurance, which remain unaffordable in most rural parts of sub-Saharan Africa. However, a lingering concern centers on the sustainability of these adaptation strategies.
    Keywords: agriculture-related shocks, caloric consumption, natural resource capital, informal social capital, formal social capital, weather-related crop failure, small-scale-subsistence farming households
    JEL: Q1 Q5
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:rza:wpaper:470&r=agr
  8. By: Sen Gupta, Abhijit; Bhattacharya, Rudrani; Rao, Narhari
    Abstract: Persistently high food inflation has been one of the major concerns facing India over the last few years. With nearly a quarter of the population living below the poverty line, the persistence of food inflation at high levels is extremely undesirable. In this paper, we analyse the behaviour and determinants of food inflation over the recent past. We introduce structural breaks to identify the different phases of food inflation during the last three decades, and evaluate the persistence of food and core inflation across these phases. There is increase in persistence in food inflation over the periods implying it has become more persistent, and any positive shock will have a longer impact on it. Various components of food inflation including cereals, pulses, fruits, vegetables, meat and fish, have been significant contributors to food inflation at different points in time, indicating a broad nature of the problem. In analysing the key drivers of food inflation, we find limited role of international prices, with the co-movements between domestic and international prices being lower for cereals and dairy products, and higher for tradables like edible oils and meat. Using household consumer expenditure data we empirically estimate aggregate demand for key food products, and find demand has consistently outstripped supply in the case of cereals, pulses, meat and fish, and the extent of mismatch has widened in recent years. The rise in food prices is also a reaction of the rise in price of various inputs, including price of fuel and agricultural wages. We also find certain policy decisions such as large increases in minimum support prices have been associated with much higher increase in wholesale prices of these commodities in the corresponding period. Finally, we find significant evidence of transmission of food inflation to non-food inflation and aggregate inflation.
    Keywords: Food Inflation, Engel Curves, QUAIDS Model, SVEC Model, FEVD Analysis
    JEL: E31 E37 Q11
    Date: 2014–05
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58319&r=agr
  9. By: Unay Gailhard, ilkay; Bavorova, Miroslava
    Abstract: The purpose of this study is to examine the influence of interpersonal networks and other information sources on the innovativeness of farmers. This understanding can be useful for organizations that are involved in extension work that aims to increase the farmers’ innovativeness and for farmers who aim to be more innovative. The study focuses on two types of farmers’ network ties: friendship ties (ties to other farmers) and affiliation ties (ties to associations). Additionally, the importance of information gathered by farmers from interpersonal sources and from media is compared. We collected data within the European Union (EU)-funded Food Industry Dynamics and Methodological Advances (FOODIMA) Project using face-to-face interviews. Our sample, which consists of 72 farmers (organic and conventional) in Germany, was used to map farmers’ innovativeness (number of innovations adopted). We analyzed the data to determine if the structure and strength of network ties can be used as predictors of innovativeness for organic and conventional farmers. When considering both the friendship and affiliation ties, the main results show that organic farmers who communicate more frequently with other farmers are more likely to be highly innovative. The large network size indicates low innovativeness on the part of organic farmers. Membership in at least one association is positively interconnected with high innovativeness of conventional farmers. Regarding information sources, the results indicate that the highly innovative farmers appreciate information from research institutes more and information from agricultural organization less than the less innovative farmers.
    Keywords: Innovativeness; Social network ties; Communication frequency; Information sources; Organic and conventional farmers
    JEL: Q5 Q55 Q57 R14
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58331&r=agr
  10. By: Baquero Melo, Jairo
    Abstract: The plantain is an important agricultural product worldwide. It is the staple food of millions of people, and represents a source of incomes for farmers participating in the international trade. In Colombia, the exportation plantain is chiefly harvested by small-scale farmers. However, they are in a position of vulnerability, facing several risks. Firstly, the obstacles to access the global markets, and the competition with the trader companies. Secondly, the volatility of prices and the exchange rate, which produce unequal effects on them. Thirdly, the environmental risks associated with windstorms and tree diseases. Amid the economic liberalization, the small-scale farmers lack a permanent governmental support to cope with those risks. And the international cooperation is unable to support all the growers. Thus, the small-scale farmers have created organizations to raise their demands, amid nationwide peasant protests against the Free Trade Agreements.
    Keywords: value chains, plantain, globalization, inequalities, small-scale farmers
    JEL: O24 Q1 Q15 Q17 Q56
    Date: 2014–10–07
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58983&r=agr
  11. By: Ignacio Cazcarro (Rensselaer Polytechnic Institute, School of Humanities and Social Sciences and BC3-Basque Centre for Climate Change, Bilbao, Spain); Rosa Duarte (Universidad de Zaragoza,Zaragoza,Spain); Miguel Martín-Retortillo (Universidad de Zaragoza,Zaragoza,Spain); Vicente Pinilla (Universidad de Zaragoza,Zaragoza,Spain); Ana Serrano (Universitat de Girona, Girona, Spain)
    Abstract: This working paper discusses how natural resource scarcity (aridity, in the case of Spanish agriculture) encouraged the process of frontier expansion defined by Barbier, meaning the exploitation of new, relatively abundant resources (water) for production purposes. Water for irrigated agriculture was obtained from both ground sources, identified as 'vertically downward' sources (i.e. wells, which were mainly funded by private initiative), and 'horizontally extensive' surface sources, such as dams and canals, primarily paid for by the public sector. Although the processes involved in obtaining water can be traced back over the centuries, it was really not until the 20thcentury when they became truly important. The growthof agricultural production was deeply influenced by this process. The main result is the mismatch between areas of high current agricultural productivity, and better initial endowment of natural resources.
    Keywords: Palabras clave: Natural resources and economic growth, Irrigated agriculture, Spanish economic history, Spanish agricultural history.
    JEL: N54 Q15 Q25
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:ahe:dtaehe:1419&r=agr
  12. By: Singh, Anil Kumar; Singh, K.M.; Bhatt, B.P.
    Abstract: The most important way to increase the grain yield of food legumes per unit area under stress environment should be consist of proper technological backup with infrastructure, timely availability of quality inputs along with policy support. Efficient water management is one of the critical inputs as in general perception is that legumes need no supplementary water, whereas research finding revealed that need based watering at critical stages are capable to improved production by 15-25 % depending up how much stress has already being faced by the standing crop till now.
    Keywords: climate change, legumes, water management, food security
    JEL: O1 Q1 Q16 Q25
    Date: 2014–07–15
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59316&r=agr
  13. By: Marcos Gallacher; Daniel Lema
    Abstract: This paper analyzes agricultural policy in Argentina and calculates the degree of support received by producers and consumers. We present a summary of developments in the agricultural policy environment that have occurred in the last decades in Argentina, as well as the resulting performance of the agricultural sector. The concepts of Producer Support Estimates, Consumer Support Estimates, General Services Support Estimates, Producer Nominal Assistance Coefficient and Nominal Protection Coefficient are used to analyse different dimensions of transfers occurring between agricultural producers, consumers and taxpayers in the period 2007-2012. Total transfers from producers have averaged US$ 11.000 million annually or 26% of total gross farm receipts. Support flowing from the public sector to producers in the form of R&D, infrastructure and other “public good” type of inputs totalize some 500 million annually.
    Keywords: Agricultural Policy, Agricultural Prices, Producer Support Estimates
    JEL: Q18 Q11
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:cem:doctra:554&r=agr
  14. By: Gupta, J.J.; Singh, K.M.; Bhatt, B.P.; Dey, A.
    Abstract: A study was conducted in seven East Indian states, viz. Bihar, West Bengal, Odisha, Chhattisgarh, Jharkhand, Assam and eastern UP, to understand the livestock production and management systems for making strategies for the improving livestock production scenario in the region. The data were collected from two districts from each state and from each district twenty-five (25) farmers were selected. Information was collected farmer‘s socio-economic status like, family size, education, land holding, animal status (types of animals, strength, production), feeding system (feeds and fodder availability, sources of feed, feeding methods), health status (types of diseases, symptoms and vaccination mode), breeding methods, assistance needs (subsidy, loan, animals, training) and satisfaction with animal and production aspects through pretested survey instrument specially developed for the purpose. It was found that family size varied from 5.31 (West Bengal) to 9.48 (Eastern UP) and most head of families were educated having more than 0.5ha agriculture land. Majority (70.86%) of the farmers were not able to spare agriculture land for fodder production. A large number of farmers in Assam, Chhattisgarh and Jharkhand had non-descript (ND) cows. However, majority of farmers surveyed in Bihar and eastern UP had crossbred (CB) cow. Average milk production (kg/d), lactation length (m) and dry period (m) amongst animals of eastern region for ND cows 2.48, 7.71, and 6.66, for CB cows 7.20, 9.08, and 3.85 and for buffaloes 5.54, 8.56, and 6.93, respectively. The farmers followed their own feeding practices and offered self-produced feeds. Majority of the farmers of the region reported Foot & Mouth Disease (FMD) as a major concern and were not satisfied with their animals and production. On the basis of this study it can be concluded that livestock farmers of eastern region of India are in great need of improved breeds, they also require capacity building and training on balance feeding and general management practices for better and sustainable animal production.
    Keywords: Livestock Population,Livetsock Production, Feeds & feeding, Health care, Breeding, Eastern India
    JEL: O13 Q0 Q1 Q10 Q12
    Date: 2014–01–12
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59517&r=agr
  15. By: Andrea Bastianin; Marzio Galeotti; Matteo Manera
    Abstract: We analyze the relationship between the prices of ethanol, agricultural commodities and livestock in Nebraska, the U.S. second largest ethanol producer. The paper focuses on long-run relations and Granger causality linkages between ethanol and the other commodities. The analysis takes possible structural breaks into account and uses a set of techniques that allow to draw inferences about the existence of long-run relations and of short-run in-sample Granger causality and out-ofsample predictive ability. Even after taking breaks into account, evidence that the price of ethanol drives the price dynamics of the other commodities is extremely weak. It is concluded that, on the basis of a formal, comprehensive and rigorous causality analysis we do not find evidence in favour of the Food versus Fuel debate.
    Keywords: Ethanol, Field Crops, Granger Causality, Forecasting, Structural Breaks
    JEL: C22 C53 Q13 Q42 Q47
    Date: 2013
    URL: http://d.repec.org/n?u=RePEc:bcu:iefewp:iefewp55&r=agr
  16. By: Henry Willebald (Universidad de la República (Uruguay). Facultad de Ciencias Económicas y de Administración. Instituto de Economía)
    Abstract: Settler economies are characterized for the abundance of natural resources. However, natural capital is not homogeneous and it induces differences in terms of economic performance. I discuss the effect of agricultural natural resources on production and income distribution in the agriculture in the tradition of the curse (and blessing) of the natural resources hypothesis, from the mid-19th century to WWI. I consider the interaction between natural resources that a country posses, the type of land according to the agricultural aptitude and the quality of its institutions in terms of the concept of appropriability of a resource. I propose two approaches. One of them is based on the estimation of the statistical relationship between economic performance, natural resources and institutions. The other one is based on the historical description of the distribution of land rights in the River Plate and Australasia. In the first one, I reject the curse of the abundance of natural resources on the agricultural production but I do not reject it as regards income distribution. Nor technical neither institutional dimension of appropriability hypothesis work for agricultural production but both operate in terms of inequality; i.e. expanding the frontier by the best lands makes worse income distribution but the action of institutional quality on high land aptitude improve equality. The second approach proposes to give historical context to my analysis. I consider the institutional arrangements related to the land property, and they seemed suitable for obtaining high levels of income but inadequate to promote more egalitarian societies. Therefore, appropriability problems were more intense for Hispanic ex-colonies than for British ex-colonies which, in addition, enjoyed institutions more favourable for reducing inequality.
    Keywords: curse of the natural resources, appropriability hypothesis, settler economies, first globalization
    JEL: N50 O13 Q15
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:ulr:wpaper:dt-14-14&r=agr
  17. By: Linda Kleemann; Donal Murphy-Bokern
    Abstract: The number of firms in the food and agriculture sector that have corporate responsibility (CR) strategies and corresponding reporting is growing rapidly. Many aim, amongst other objectives, to reduce greenhouse gas (GHG) emissions. The question we address here is to what extent such CR measures actually have the potential to significantly affect overall GHG emissions from the agriculture and food sector. We analyse the CR strategies of a sample of 40 firms and from this we provide an assessment of how corporate responsibility addresses GHG emissions. This is achieved in three steps. First, we assess to what extent CR activities are impacting on relevant emission sources. Second, we analyse their current reach and ambition in terms of change envisaged and their contribution to climate protection as a global public good. Third, we consider the drivers behind the development of corporate responsibility to mitigate greenhouse gas emissions in order to estimate the longevity and likely future ambition of these programmes. In addition, we identify firm characteristics that are correlated with strong corporate climate responsibility
    Keywords: greenhouse gas emissions, corporate responsibility, corporate climate responsibility, food value chains
    JEL: H23
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:kie:kieliw:1967&r=agr
  18. By: Andrea Bastianin; Marzio Galeotti; Matteo Manera
    Abstract: This paper examines the relationship between biofuels and commodity food prices in the U.S. from a new perspective. While a large body of literature has tried to explain the linkages between sample means and volatilities associated with ethanol and agricultural price returns, little is known about their whole distributions. We focus on predictability in distribution by asking whether ethanol returns can be used to forecast different parts of field crops returns distribution, or vice versa. Density forecasts are constructed using Conditional Autoregressive Expectile models estimated with Asymmetric Least Squares. Forecast evaluation relies on quantile-weighed scoring rules, which identify regions of the distribution of interest to the analyst. Results show that both the centre and the left tail of the ethanol returns distribution can be predicted by using field crops returns. On the contrary, there is no evidence that ethanol can be used to forecast any region of the field crops distribution.
    JEL: C22 C53 Q13 Q42 Q47
    Date: 2013
    URL: http://d.repec.org/n?u=RePEc:bcu:iefewp:iefewp56&r=agr
  19. By: Nguyen, Huy
    Abstract: This study examines economic performances and household’s behaviours in multiple crops farming in Vietnam. Smallholder farming systems in Vietnam is being transformed by integration between cash cropping and main food cropping operations. This transformation into diversified farming systems can affect the economies of scope, technical efficiency, and performances of farms. By using the approach of input distance function, we find the first evidence of both scale and scope economies that have important economic performance implications. There is an existence of substantial technical inefficiency in multiple crops farming, which implies that there may be opportunities to expand crop outputs by eliminating technical inefficiency. Enhancing education and further land reforms are main technical efficiency shifters. We also find the complementarity evidence between family labour and other inputs, except hired labour. Thus, policies that lead to more incentives to invest in crop faming activities should focus on the reduction of input costs.
    Keywords: crop diversification, input distance function, elasticity of substitution, stochastic frontier, and technical efficiency
    JEL: D13 O3 O33
    Date: 2014–09–30
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59168&r=agr
  20. By: Singh, K.M.; Singh, A,K,
    Abstract: Traditionally pulses have been considered important elements of cropping systems in the Indo-Gangetic Plains. They were popular because of their importance as a source of protein and ability to fix atmospheric nitrogen (N) and thus improve soil fertility. During the late 1960s and early 1970s, a large area under pulses in the Indo-Gangetic Plain (IGP) was substituted by high- yielding varieties of rice (Oryza sativa) and wheat (Tritium aestivum). Lentil production in India has always been important as it is the one of the most important rabi crops in the country. In fact, India was the largest producer of the Lentil crop in the world until recently Canada took over the lead leaving India at the second place. The new technology of rice and wheat substantially changed the agricultural scenario and largely contributed to increase in agricultural production in the IGP. Indian subcontinent has a reputation of being an important player in the world’s pulse scenario. The present article tries to analysis the current scenario of lentil, its uses, and constraints to increasing production of lentil in India
    Keywords: Lentil, Pulses, India, Constraints in lentil production
    JEL: Q1 Q10 Q19
    Date: 2014–08–15
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59319&r=agr
  21. By: Cvijanović, Drago; Jonel, Subic; Jean, Andrei
    Abstract: International Scientific Conference „SUSTAINABLE AGRICULTURE AND RURAL DEVELOPMENT IN TERMS OF THE REPUBLIC OF SERBIA STRATEGIC GOALS REALIZATION WITHIN THE DANUBE REGION - rural development and (un)limited resources“, which was held in period 5-6th June 2014 in Belgrade, the Republic of Serbia, through number of presented papers mainly provides an overview of results of scientific research on the integrated and interdisciplinary project No. III 46006 „SUSTAINABLE AGRICULTURE AND RURAL DEVELOPMENT IN TERMS OF THE REPUBLIC OF SERBIA STRATEGIC GOALS REALIZATION WITHIN THE DANUBE REGION“. Besides the authors from Serbia in Thematic Proceedings are also presented the papers of authors from Bosnia and Herzegovina, Macedonia, Albania, Romania, Russia, Belarus, Poland, Austria and USA. The papers are systematized in 3 thematic sections: I RURAL ECONOMY IN THE FUNCTION OF INTEGRAL LOCAL DEVELOPMENT (section was represented by 30 papers); II ALLOCATION AND VALORIZATION OF RESOURCE POTENTIALS OF RURAL AREAS (section was represented by 26 papers); III THE REFORM OF THE EU COMMON AGRICULTURAL POLICY – A NEW DEVELOPMENT FRAMEWORK FOR THE PERIOD 2014-2020 (section was represented by 7 papers).
    Keywords: Agriculture, sustainable agriculture, rural development, strategic goals, Danube region, regional competitiveness
    JEL: A1 A32 Q1 Q2 Q5
    Date: 2014–05–10
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58558&r=agr
  22. By: Emran, M. Shahe; Sun, Yan
    Abstract: This paper relaxes the single factor model of intergenerational educational mobility standard in the literature, and develops a research design to study the effects of parents' education and occupation on children's schooling. We use survey data from rural China that cover three generations and are not subject to coresidency bias. The evidence from recently developed matching and propensity score weighted estimators shows that the mean effects of parents education from the standard model miss substantial heterogeneity. Within the low education subsample, a son (girl) attains about 0.80 (0.60) years of additional schooling when born into a non-farm household compared to a farm household, and among the farming households, a child gains a one year of schooling when at least one parent has more than primary schooling. Having nonfarm parents, however, does not confer any advantages over the farmer parents if the farmers are relatively more educated, even though nonfarm households have significantly higher income. This suggests that income plays a secondary role to parental education. Estimates of cross-partial effects without imposing functional form show little evidence of complementarity between parental education and non-farm occupation. The role of family background remains stable across generations for girls, but for boys, family background has become more important after the market reform.
    Keywords: Educational Mobility, Inequality, Rural China, Nonfarm, Education and Occupation, Family Background, Heterogeneity, Complementarity, Market Reform, Gender Gap
    JEL: I24 I32 O1
    Date: 2014–10–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59230&r=agr
  23. By: Tomoki Fujii (School of Economics, Singapore Management University, Singapore, 178903)
    Abstract: It is essential to understand the consumption pattern of food and how it changes over time to formulate sound economic policies as well as marketing and pricing strategies. In this study, we estimate the Quadratic Almost Ideal Demand System with six rounds of the Family Income Expenditure Survey exploiting the conditional linearity of the demand system. We find that the Filipino diet has become westernized and that the changes in urban food demand elsticities are qualitatively similar to those in urban China, especially for meat, fruits, and vegetables. We also offer some policy and business implications.
    Keywords: demand system; elasticity; generalized least-squares; iterated linear least-squares
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:siu:wpaper:18-2014&r=agr
  24. By: Nadege Miclanche Azebaze (University of Marburg); Thomas Falk (University of Marburg); Evelyn Korn (University of Marburg)
    Abstract: Classical household theory predicts that adolescents facing a developed labour market should invest in formal education. In contrast, it is obvious that adolescents in subsistence economies should choose learning-by-doing approaches to working on the family farm. However, it is unclear what determines optimal education choices among societies in transition from subsistence to labour-market integration. While education is generally the basic condition to enter the labour market, access to land represents an important asset in subsistence farming. This paper argues that intra-household time use and education – that is, time spent learning outside the family farm – is influenced by the way land is transferred from one generation to the next. We use a dichotomous approach assuming that land is either transferred by bequest or by a formal land board. These two methods represent the extremes of a scale that considers personal relations and reliance on certified abilities as the basis for land allocation. This paper provides a theoretical analysis of how anticipated bequests and asset transfers from other sources influence trade-offs between work on the family farm and other time-use options. We discuss the effects using a case study from the Okavango
    Keywords: Land allocation, inheritance rules, subsistence, intra-household decision making, intergenerational property transfer, education
    JEL: D13 D91 Q12 Q15 Q21 Q24
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:mar:magkse:201451&r=agr
  25. By: Badiane, Ousmane; Goudan, Anatole; Tankari, Mahamadou Roufahi
    Abstract: The paper presents a model to analyze the adjustment of prices of non-traded food staples to changes in global food prices via the response of traded commodities in domestic markets. It shows that the impact on local prices of shocks originating in global markets lasts much longer than suggested by findings in the traditional literature on market integration. Furthermore, unlike the conventional analysis which focuses on estimating a single parameter indicating the degree of market interconnectedness, the model used here allows us to trace the future impact of shocks on local prices over time and thus helps policy makers to anticipate changes and better plan response strategies. It combines the methodology developed by Gonzales-Rivera and Helfand (2001) and Granger and Gonzalo (1995) on market cointegration with the model developed by Badiane and Shively (1998) for the estimation of the time path of price adjustments to market shocks. It is then applied to monthly price data over a 12-year period from all major regions of Niger, a landlocked country that is extremely vulnerable to volatility in staple foods markets. The results suggests that it takes much longer for the impact of shocks on local prices to stabilize. They also show that the impact of shocks originating from global markets can be more pronounced across markets for non-traded staples, such as local maize and sorghum, compared to traded food commodities such as rice. Furthermore, it appears from the findings that prices the two non-traded staples tend to be “stickier†as their rate of increase decelerates much more slowly than for rice.
    Keywords: Prices, Markets, Niger
    JEL: C1 C32
    Date: 2013–10
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:53485&r=agr
  26. By: Ager, Philipp; Brückner, Markus; Herz, Benedikt
    Abstract: In the beginning of the 1890s, counties located in the Cotton Belt of the American South were hit by an agricultural plague, the boll weevil, that adversely affected cotton production and hence the demand for labor. We use variation in the incidence of the boll weevil multiplied with counties’ initial cotton share to construct instrumental variables estimates of the labor supply curve. Controlling for county and state-by-time fixed effects, we find a significant positive response of labor supply to changes in labor income. The effect is particularly large for females, consistent with evidence that females had a comparative advantage in picking cotton.
    Keywords: Labor Supply, Female Labor Force Participation, Agricultural Productivity Shocks, US South, Boll Weevil
    JEL: E24 J16 J21 N3 N31
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59410&r=agr
  27. By: Ferre, Celine; Sharif, Iffath
    Abstract: There is an increasing recognition that investment in human development at an earlier age can have a significant impact on the lifetime earnings capacity of an individual. This notion is the basis for the popularity of conditional cash transfer programs to help boost child health and education outcomes. The evidence on the impact of conditional cash transfers on health and education outcomes, however, is mixed. This paper uses panel data from a pilot project and evaluates the impact of conditional cash transfers on consumption, education, and nutrition outcomes among poor rural families in Bangladesh. Given implementation challenges the intervention was not able to improve school attendance. However the analysis shows that the pilot had a significant impact on the incidence of wasting among children who were 10-22 months old when the program started, reducing the share of children with weight-for-height below two standard deviations from the World Health Organization benchmark by 40 percent. The pilot was also able to improve nutrition knowledge: there was a significant increase in the proportion of beneficiary mothers who knew about the importance of exclusively breastfeeding infants until the age of six months. The results also suggest a significant positive impact on food consumption, especially consumption of food with high protein content.
    Keywords: Health Monitoring&Evaluation,Housing&Human Habitats,Rural Poverty Reduction,Primary Education
    Date: 2014–10–01
    URL: http://d.repec.org/n?u=RePEc:wbk:wbrwps:7077&r=agr
  28. By: Ankomah, Emmanuel; Adu, Kofi Osei
    Abstract: National parks and Conservational area in general play major role in human life. They serve as habitats for animals and insects, protection of water bodies, carbon sequestration, recreational sites, source of income and source of revenue to government. Notwithstanding these benefits there are reports of the destruction and degradation of the natural ecosystem worldwide. This situation has led to serious environmental problems such as loss of biodiversity, global warming, climate change and its attendant effects. If forest reserves come with so many benefits as enumerated above, why then are they being degraded? This study sought to estimate the recreational value of Kakum national park in Ghana. To be able to give an estimate of the recreational value, an economic valuation technique called the Travel Cost method was applied. The travel cost method is a survey based method that uses the cost of travelling to a site to estimate the demand function for the site. The data used for the study was obtained from 300 visitors to the Kakum National Park from August 12 – 14, 2013. The recreational value of the KNP was estimated to be GH¢981,188 in 2013. Based on the findings, the study recommended the following; increased advertisement of the park, provision of additional facilities at the park and public education on the importance of recreation.
    Keywords: Recreational value, national park.
    JEL: Q2 Q23 Q26
    Date: 2014–09–14
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:58580&r=agr
  29. By: Santeramo, Fabio Gaetano
    Abstract: Tourism is a major economic activity and one of the most important income sources for Italy. In recent years, tourism supply is widely changing and rural tourism is growing fast. Studies on agritourism are increasing in number, but the determinants of the international demand for rural tourism is are still largely under-investigated. We empirically investigate the determinants of the international demand for agritourims in Italy. We show the luxury nature of rural tourism, and demonstrate that international flows are demand driven. To the extent that entrepreneurs and policymakers want to encourage rural tourisms, subsidies, policy interventions and marketing campaigns may differ substantially according to the targeted foreign countries. We investigate these differences.
    Keywords: Agritourism, Italy, Demand, Tourism flows, PPML, Dynamic gravity
    JEL: F22 L83 Q17
    Date: 2014–02–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:59625&r=agr
  30. By: Vladimir Otrachshenkoy (Centro Euro-Mediterraneo sui Cambiamenti Climatici (CMCC), Fondazione Eni Enrico Mattei (FEEM) and Nova School of Business and Economics (Portugal))
    Abstract: In this study we estimate the passive use value of forest in different ecological zones in the Mediterranean region. We estimate these values for forests using meta-analysis. These estimates are used to reveal the annual monetary values per hectare for each country. The total annual amount of passive use value of the Mediterranean forest is about one billion international dollars. The estimated passive use value of the forest from this study can be used to account for the social welfare loss caused by fire, insects, diseases, biotic agents, and abiotic factors.
    Keywords: Forest, Mediterranean Region, Passive Use, Welfare Loss
    JEL: Q23
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:fem:femwpa:2014.86&r=agr
  31. By: Aklilu, Abenezer (Department of Economics, Swedish University of Agricultural Sciences); Gren, Ing-Marie (Department of Economics, Swedish University of Agricultural Sciences)
    Abstract: The main purpose of this study is to review studies in economics on policies for carbon sequestration. Specific design problems are associated with heterogeneous land holders, additionality and permanence in carbon projects, and the risk of leakage. It was found that a large part of the literature, which started in the late 1980s, has been focused on the calculation of costs for carbon sequestration, mainly in forests, and on calculations of cost savings from its introduction in climate programs. Results from the literature point to cost savings of up to 40%. The small body of literature on transaction costs, mainly attributed to monitoring and verification, indicates that these costs are modest. The literature on policy design is much more scant, and the main part suggests discounting of the carbon sink value to account for the uncertainty. Assessment of equilibrium prices in the many existing voluntary and regulatory carbon sink markets shows a lower price of carbon sink compared with certain abatement of fossil fuels. This can be explained by risk discounting. A few studies suggest contract design for self-enforcement of efficient carbon projects. This has not yet been implemented in carbon sink offsets in practice, the carbon trade of which corresponds to approximately 0.3% of all carbon trade.
    Keywords: economic incentives; carbon sequestration; policy design; survey
    JEL: Q52 Q54 Q58
    Date: 2014–11–03
    URL: http://d.repec.org/n?u=RePEc:hhs:slueko:2014_008&r=agr
  32. By: Islam Moinul (Tohoku University); Koji Kotani (Kochi University of Technology)
    Abstract: Bangladesh is reported to suffer from climatic changes, and many local people begin to wonder that six seasons in Bangladeshi annual calendar transition to four seasons where the traditional one (Bangla calendar) is considered to have consisted of the six seasons. We collected observations of key climate variables (1953-2010) from the weather station located in Dhaka, and conducted face-to-face surveys with 1,011 respondents and seven experts to elicit their current perception about whether six seasons are becoming four seasons. To scientifically confirm this, we apply nonparametric statistical methods to the key climate variables and test whether any pair of two neighboring seasons in Bangla calendar is converging into one. The statistical analysis shows “convergence†for specific two pairs of two neighboring seasons, meaning that the annual calendar now consists of four seasons, not six. Approximately 65% of respondents believe that annual calendar transitions to four seasons from six seasons. Overall, people’s perception and the statistical analysis are consistent each other. The effect of global climatic changes now becomes significant to the extent that local people correctly perceive some fundamental seasonal changes of annual calendar and it is really ongoing on the basis of our statistical analysis.
    Keywords: Climatic change, seasonal change, perception
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:kch:wpaper:sdes-2014-11&r=agr
  33. By: Kijima, Yoko
    Abstract: This paper provides an overview of rice sector development in Uganda and examines the effects of two technology dissemination programs on the enhancement of rice production in Eastern and Northern Uganda. One program was a JICA training program that provided on-the-job training at demonstration plots 3–4 times a year, while the other was to distribute a rice cultivation guidebook to households that were randomly selected. The training program was shown to have improved rice productivity. In contrast, there were no significant effects resulting from the distribution of the guidebook on technology adoption or rice production. Although the distribution of the guidebook was less costly and easier to implement than the training program, distribution of the guidebook alone cannot be a substitute for conventional training programs
    Keywords: rice production , Uganda , program evaluation, cultivation practices , technology adoption
    Date: 2014–09–17
    URL: http://d.repec.org/n?u=RePEc:jic:wpaper:80&r=agr
  34. By: Cecilia Navarra (CRED, University of Namur); Elena Vallino (Department of Economics and Statistics, University of Torino)
    Abstract: In this paper we deal with the relationship between external donors and village organizations (VOs) in Western Sub-Saharan Africa. We utilize a large dataset of village organizations in rural areas of Senegal and Burkina Faso. We argue that the kind of relationship established with northern donors may have effects on the governance mechanisms of the village organization. We investigate to what extent differences in the foundation of the VO and of the partnership with the external donor can partially explain outcomes and membership structures of the VO itself. Our results go in the direction of possible diverging effects of a donor intervention in the village organization, according to the degree of proactivity and initiative that the VO displays.
    Keywords: village organizations, donors, North-South partnership, Senegal, Burkina Faso
    JEL: L31 O19
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:nam:wpaper:1411&r=agr
  35. By: Swenson, David A.
    Abstract: This project was a partnership with the American Farmland Trust, the Kane County, Il, planning department, and the author to demonstrate the regional economic gains that could be anticipated were the county able to expand local fresh fruits and vegetable production for both local and regional sales. �The report is important in that it takes into consideration the density of regional demand for local foods in light of regional production and establishes realistic thresholds of production gains for area producers.
    Date: 2013–05–19
    URL: http://d.repec.org/n?u=RePEc:isu:genres:38114&r=agr
  36. By: Claire Salmon; Jeremy Tanguy
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:tep:teppwp:wp14-10&r=agr
  37. By: Joachim Schleich (University of Karlsruhe); Claudia Schwirplies (University of Kassel); Andreas Ziegler (University of Kassel)
    Abstract: This paper extends the economic literature on the private provision of public goods by examining the relevance of perceptions of climate policy to voluntary contributions to the public good of climate protection. Based on an analytical model which allows for perceptions of climate policy such as justification of international climate policy, procedural trust and procedural justice to affect voluntary climate protection activities, we examined data from representative surveys among citizens in the USA and Germany. Our microeconometric analysis confirmed the prediction that the perceived justification of international climate policy is positively related to voluntary contributions to climate protection in both countries. We also found empirical support (mainly for the USA) that higher perceived procedural justice lowers citizens' propensity to adopt climate protection activities. In contrast, we found no support that higher perceived procedural trust reduces citizens' propensity to adopt such measures. In a broad interpretation, our empirical results imply that individuals' perceptions about the process of providing public goods should also be considered when analyzing the factors explaining voluntary individual contribution to public goods.
    Keywords: Public good, voluntary contribution, perceptions of international climate policy, climate protection activities
    JEL: H41 Q54 Q58
    Date: 2014
    URL: http://d.repec.org/n?u=RePEc:mar:magkse:201453&r=agr
  38. By: Erik Ansink (VU University Amsterdam); Harold Houba (VU University Amsterdam)
    Abstract: We survey the economics of transboundary river water allocation, which emerged in the 1960s and has matured over the last decade due to increasing concerns over water scarcity and pollution. We outline the major approaches and pay specific attention to the strategic aspects of transboundary river water allocation. These strategic aspects are captured by employing game theory to assess the economics of transboundary river water allocation in a simple model of river sharing. This model allows us to show how conflict and cooperation over transboundary water resources may occur. It also allows us to pay specific attention to the efficiency, sustainability, and fairness of solutions to this model. We compare and contrast both cooperative and non-cooperative approaches and we relate their solutions to illustrative examples.
    Keywords: River sharing problem, River claims problem, Fairness, Efficiency, Sustainability, Water allocation agreement, Bargaining, Water trade, Sharing rules, Axiomatic approach
    JEL: C71 C73 D63 D74 F53 Q25
    Date: 2014–10–06
    URL: http://d.repec.org/n?u=RePEc:dgr:uvatin:20140132&r=agr
  39. By: Esther Blanco; E. Glenn Dutcher; Tobias Haller
    Abstract: Many policies addressing global climate change revolve around the implementation of mitigation and adaptation strategies. We experimentally examine subjects? choices in a climate change game where subjects are put into groups where they face a potential damage and have the choice to invest resources into mitigation, adaptation and/or productive funds. Resources allocated to mitigation reduce the probability of the loss to the entire group while adaptation investments reduce the magnitude of the loss to the investing agent and productive investments increases payoffs only for the investing agent. We explore subject's response to three treatment conditions; high damage, low damage and heterogeneous damage. Results show that subjects view mitigation and adaptation funds as substitutes in that they contribute higher levels to the adaptation fund if low levels of contributions to the mitigation fund exist, but free-ride on others by contributing to the productive fund if contributions to the mitigation fund are high enough. In particular, we find the highest level of contributions to the socially efficient mitigation fund when all subjects in a group face a high damage and the lowest level when all subjects face a low damage. When high-damage subjects are mixed with low-damage subjects, their contribution levels to the mitigation fund decline, but are still greater than those of their low-damage group members.
    Keywords: Collective Action, Climate Change, Economic Experiments
    JEL: H41 H87 C92
    Date: 2014–10
    URL: http://d.repec.org/n?u=RePEc:inn:wpaper:2014-27&r=agr

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