nep-agr New Economics Papers
on Agricultural Economics
Issue of 2015‒03‒05
34 papers chosen by

  1. Does Minimum Tillage with Planting Basins or Ripping Raise Maize Yields? Meso-panel Data Evidence from Zambia. By Ngoma, Hambulo; Mason, Nicole M.; Sitko, Nicholas
  2. A Prospective Analysis of Participatory Research on Conservation Agriculture in Mozambique. By Grabowski, Philip; Kerr, John; Donovan, Cynthia; Mouzinho, Bordalo
  3. Measuring Access to Food in Tanzania: A Food Basket Approach By Cochrane, Nancy; D’Souza, Anna
  4. Do Input Subsidy Programs Raise Incomes and Reduce Poverty among Smallholder Farm Households? Evidence from Zambia By Mason, Nicole M.; Tembo, Solomon T.
  5. Is increasing inorganic fertilizer use in Sub-Saharan Africa a profitable proposition ? evidence from Nigeria By Liverpool-Tasie, Lenis Saweda O.; Omonona, Bolarin T.; Sanou, Awa; Ogunleye, Wale
  6. Does Gender Matter when Evaluating the Economic Impacts of Smallholder Land Titling in Zambia? By Hichaambwa, Munguzwe; Chamberlin, Jordan; Sitko, Nicholas
  7. Crop insurance subsidies and environmental externalities: evidence from Southern Italy By Fabian, Capitanio; Felice, Adinolfi; Fabio G., Santeramo
  8. Agribusiness Indicators : Synthesis Report By World Bank
  9. Why Farm Support Persists: An Explanation Grounded in Congressional Political Economy By Freshwater, David; Leising, Jordan D.
  10. China’s Growing Demand for Agricultural Imports By Gale, Fred; Hansen, James; Jewison, Michael
  11. Role of Information and Communication Technologies in Indian Agriculture: An Overview By Singh, K.M.; Kumar, Abhay; Singh, R.K.P.
  12. Farmers’ perceptions of foreign investment in Western Australian broadacre agriculture By Stewart, Fraser; Kragt, Marit; Gibson, Fiona
  13. Gender differentials and agricultural productivity in Niger By Backiny-Yetna, Prospere; McGee, Kevin
  14. Republic of India : Accelerating Agricultural Productivity Growth By World Bank Group
  15. Analyzing Nutritional Impacts of Price and Income Related Shocks in Malawi: Simulating Household Entitlements to Food By Kenneth Harttgen; Stephan Klasen; Ramona Rischke
  16. Agricultural Specific Trade Facilitation Indicators: An Overview By Peter Liapis
  17. The Ethanol Mandate and Corn Price Volatility By Peter Maniloff; Sul-Ki Lee
  18. Options trading in agricultural futures markets: A reasonable instrument of risk hedging, or a driver of agricultural price volatility? By Glauben, Thomas; Prehn, Sören; Dannemann, Tebbe; Brümmer, Bernhard; Loy, Jens-Peter
  19. Drinking water salinity and infant mortality in coastal Bangladesh By Dasgupta, Susmita; Huq, Mainul; Wheeler, David
  20. Non-Tariff Measures and Standards in Trade and Global Value Chains By John C. Beghin; Miet Maertens; Johan Swinnen
  21. Myanmar : Rice Price Reduction and Poverty Reduction By World Bank Group
  22. Producer Companies in India : Potential to Support Increased Productivity and Profitability of Poor Smallholder Farmers By Helen Leitch
  23. Republic of Moldova Forest Policy Note By World Bank
  24. Economically optimal management of two deer species competing for food By Mensah, Justice Tei; Elofsson, Katarina; Kjellander, Petter
  25. Allocating Emissions among Co-products: Implications for Procurement, Offsetting and Border Adjustment By Sunar, Nur; Plambeck, Erica
  26. A Causal Exploration of Conflict Events and Commodity Prices of Sudan By Chen, Junyi; Kibriya, Shahriar; Bessler, David; Price, Edwin
  27. Improving the Effectiveness of Weather-based Insurance: An Application of Copula Approach By Bokusheva, Raushan
  28. Role of Remittances on Households’ Expenditure Pattern in India By Parida, Jajati Keshari; Mohanty, Sanjay K.
  29. Maize price volatility : does market remoteness matter ? By Moctar,Ndiaye; d?Hôtel Elodie,Maitre; Tristan,Le Cotty
  30. Environmental Kuznets Curve and Economic Growth: The Role of Institutional Quality and Distributional Heterogeneity Revisited. By Tapas Mishra; Mamata Parhi; Claude Diebolt; Prashant Gupta
  31. Public Expenditure Reviews in Science, Technology, and Innovation : A Guidence Note By Paulo Correa
  32. Intellectual Property in Plant Breeding: Comparing Different Levels and Forms of Protection By Lence, Sergio H.; Hayes, Dermot J.; Alston, Julian; Smith, J. Stephen C.
  33. Using discrete choice experiments to regulate the provision of water services: Do status quo choices reflect preferences? By Bruno Lanz; Allan Provins
  34. Food environment and childhood obesity: The effect of dollar stores By Drichoutis, Andreas C.; Nayga, Rodolfo M.; Rouse, Heather L.; Thomsen, Michael R.

  1. By: Ngoma, Hambulo; Mason, Nicole M.; Sitko, Nicholas
    Abstract: Raising agricultural productivity to meet growing food demands while increasing the resilience of rain-fed farm systems to climate variability is one of the most pressing contemporary development challenges in Sub-Saharan Africa (SSA). Anchored on the three core principles of minimum tillage (MT), crop residue retention, and crop rotation; conservation agriculture (CA) technologies have been actively promoted over nearly the last two decades as potential solutions to raise farm productivity in the context of increased climate variability.
    Keywords: Land Economics/Use, Productivity Analysis, Public Economics,
    Date: 2015–01
  2. By: Grabowski, Philip; Kerr, John; Donovan, Cynthia; Mouzinho, Bordalo
    Abstract: The development of improved agricultural technologies has tremendous potential for improving the livelihoods of smallholder farmers in sub-Saharan Africa. Conservation agriculture (CA) has been widely promoted to improve farmers’ productivity and decrease their vulnerability to climate change. However, the benefits and challenges associated with reducing tillage vary by soil type and rainfall regime and the different minimum tillage technologies (basins, jab-planters, ox-drawn rippers, and tractor rippers) have unique labor, knowledge and financial requirements for effective use. Due to the complexity of both the livelihood strategies of resource-poor farmers and of their agro-ecological conditions, widespread adoption of any one form of CA is unlikely.
    Keywords: Agricultural and Food Policy,
    Date: 2015–02
  3. By: Cochrane, Nancy; D’Souza, Anna
    Abstract: Household access to food over time in Tanzania is measured by comparing the cost of representative food baskets to household income. Consumption patterns, estimated using household data from the 2010/11 National Panel Survey conducted by Tanzania’s National Bureau of Statistics (NBS), show considerable diversity across the country. Maize (corn) dominates the diets in the surplus-maize-producing regions. Households in the maize-deficit regions in the north favor other sources of starch such as cassava and banana. The food baskets include 15 food groups that make up approximately 67 to 88 percent of average calorie intake. From 2008/09 to 2010/11, food basket costs rose rapidly in nominal terms but were stable in real terms. Combining food basket cost data and income data suggests that households in the bottom two income quintiles have significant difficulties with access to food.
    Keywords: household access to food, Tanzania, maize, cassava, National Panel Survey, food consumption, food security, dietary diversity, Agricultural and Food Policy, Consumer/Household Economics, Food Consumption/Nutrition/Food Safety, Food Security and Poverty, International Development,
    Date: 2015–02
  4. By: Mason, Nicole M.; Tembo, Solomon T.
    Abstract: Many of the agricultural input subsidy programs (ISPs) currently being implemented in Sub-Saharan Africa include among their objectives raising farm incomes and reducing rural poverty. However, there is a dearth of empirical evidence on the extent to which ISPs are achieving these objectives. Moreover, results from previous studies on ISPs in Zambia and Malawi, and stubbornly high rural poverty rates in both countries despite many years of large-scale ISPs, have raised doubts that ISPs are effectively reducing poverty.
    Keywords: Agricultural and Food Policy, Food Security and Poverty,
    Date: 2015–02
  5. By: Liverpool-Tasie, Lenis Saweda O.; Omonona, Bolarin T.; Sanou, Awa; Ogunleye, Wale
    Abstract: Inorganic fertilizer use across Sub-Saharan Africa is generally considered to be low. Yet, this belief is predicated on the assumption that it is profitable to use rates higher than currently observed. However, there is little rigorous empirical evidence to support this notion. Using a nationally representative panel data set, and with due recognition of the role of risk and uncertainty, this paper empirically estimates the profitability of fertilizer use for maize production in Nigeria. The analysis finds that inorganic fertilizer use in Nigeria is not as low as conventional wisdom suggests. Low marginal physical product and high transportation costs significantly reduce the profitability of fertilizer use. The paper finds evidence that strategies to reduce transportation costs are likely to have a much larger effect on the profitability of fertilizer use than fertilizer subsidies. Apart from reduced transportation costs, other constraints such as timely access to the product; availability of complementary inputs such as improved seeds, irrigation, and credit; as well as good management practices are also necessary for sustained agricultural productivity improvements.
    Keywords: Transport Economics Policy&Planning,Climate Change and Agriculture,Crops and Crop Management Systems,Fertilizers,Fertilizers&Agricultural Chemicals Industry
    Date: 2015–02–01
  6. By: Hichaambwa, Munguzwe; Chamberlin, Jordan; Sitko, Nicholas
    Abstract: Rural land titling has stronger impacts on farm investments for female title-holders than for male title-holders. This effect is particularly pronounced for investments which are less capital-intensive. The gendered impacts of smallholder ownership of land titles may have to do with systematic differences in tenure security under traditional systems. Policies and programmes aimed at encouraging female access to land titles can improve the economic impact of agricultural land titling through increases in productivity and land productivity enhancing investments.
    Keywords: Land Economics/Use,
    Date: 2015–01
  7. By: Fabian, Capitanio; Felice, Adinolfi; Fabio G., Santeramo
    Abstract: Rapid environmental changes can affect agriculture by introducing additional sources of uncertainty. Conversely, policy interventions to help farmers cope with risks may have strong impacts on the environment. In this paper, we evaluate the effects of public risk management programmes, particularly subsidies on crop insurance, on fertilizer use and land allocation. We implement a mathematical programming model based on data collected from 1,092 farms in Puglia, a southern Italy region. The results show that under the current crop insurance programmes, input use is expected to increase, while the effect on production is likely to be crop-specific. The policy and environmental implications are discussed.
    Keywords: uncertainty; risk management; input use; multifunctionality
    JEL: Q18 Q50
    Date: 2014–12–01
  8. By: World Bank
    Keywords: Crops and Crop Management Systems Private Sector Development - E-Business Agriculture - Agricultural Research Transport Environment Environment - Environmental Economics & Policies
    Date: 2014–12
  9. By: Freshwater, David; Leising, Jordan D.
    Abstract: n the paper we provide an explanation of the persistence of the commodity titles in US farm bills that is grounded in core theories of the policy process from the political science literature. The political science literature explains policy continuity and policy change from a number of different perspectives and we use these to explain why the commodity titles of farm bills have persisted in the face of considerable opposition and how in response the Agriculture Committees have introduced incremental change to the content of farm bills to facilitate each bill’s passage. Unlike the standard approach of agricultural economists which focuses on the broader national economic efficiency impacts of farm programs, we concentrate on, narrower local political forces that affect individual Members of the Congress, and on the legislative process that created each farm bill.
    Keywords: US farm policy, farm bill, political economy, policy continuity and change, Agricultural and Food Policy, Public Economics, N52, Q18, B52,
    Date: 2015–02–07
  10. By: Gale, Fred; Hansen, James; Jewison, Michael
    Abstract: This report examines China’s recent emergence as a major agricultural importer and its implications for global markets. It analyzes trade patterns employing U.S. and Chinese trade statistics, summarizes alternative projections of future imports, and discusses how Chinese officials are adjusting their strategic approach to agricultural trade as imports grow. A strong agricultural trading partnership has developed between China and the United States that is likely to persist into the future. However, Chinese interventions to preserve self-reliance create volatility and uncertainty that can disrupt markets.
    Keywords: China, agricultural imports, soybeans, grain, meat, dairy, projections, policy, Agricultural and Food Policy, International Relations/Trade,
    Date: 2015–02
  11. By: Singh, K.M.; Kumar, Abhay; Singh, R.K.P.
    Abstract: The application of Information and Communication Technology (ICT) in agriculture is increasingly important. E-Agriculture is an emerging field focusing on the enhancement of agricultural and rural development through improved information and communication processes. More specifically, e-Agriculture involves the conceptualization, design, development, evaluation and application of innovative ways to use information and communication technologies (ICT) in the rural domain, with a primary focus on agriculture.ICTs promise a fundamental change in all aspects of our lives, including knowledge dissemination, social interaction, economic and business practices, political engagement, media, education, health, leisure and entertainment. ICTs are most natural allies to facilitate the outreach of Agricultural Extension system in the country. Despite large, well-educated, well-trained and well-organized Agricultural extension manpower, around 60% of farmers in the country still remain unreached, not served by any extension agency or functionary. Information is vital to tackle climate change effects: for this reason, a shift is needed in the agriculture sector to disseminate appropriate knowledge at the right time to the ones who are at the front line in the battle: the farmers, in both developed and developing countries. At the same time, information alone is not enough, but appropriate communications systems are needed to ensure that information come to farmers in an effective, accurate and clear way. The present papers tries to capture some of the ICT initiatives in agricultural sector, with reference to Indian agriculture.
    Keywords: ICTs, Agriculture, Decision Support System, Climate change
    JEL: Q0 Q01 Q1 Q16
    Date: 2015–02–15
  12. By: Stewart, Fraser; Kragt, Marit; Gibson, Fiona
    Abstract: Foreign investment can provide a flow of capital into Australian agriculture and has played an important role meeting the shortfalls in domestic savings throughout Australia’s history. Despite the political and media attention on foreign investment in agriculture, there is little knowledge about stakeholders’ perceptions of foreign investment in their community. This study assesses the opinions of farmers about foreign investment in the Wheatbelt. We investigate the economic, social and environmental opportunities and challenges associated with foreign investment. Interviews with agricultural experts identified three main operating structures of foreign investment: own-operate, own-lease and own-sharefarm. Semi-structured interviews with farmers in the WA Wheatbelt revealed that farmers generally have positive attitudes towards foreign investment, although there were clear advantages and disadvantages associated with the different operating structures. Overall, foreign investment was found to offer opportunities for capital injection, natural resource management, employment and community support in the Wheatbelt. This study provides evidence that, contrary to much speculation in the media, foreign investment is not having a detrimental effect on farmers and rural communities in the study locations.
    Keywords: farming systems, foreign investment, farmer attitudes, Australian wheatbelt, Agribusiness, Community/Rural/Urban Development, Q13, Q15, Q18,
    Date: 2015–02–17
  13. By: Backiny-Yetna, Prospere; McGee, Kevin
    Abstract: Most of the poor in Sub-Saharan Africa live in rural areas where agriculture is the main income source. This agriculture is characterized by low performance and its productivity growth has been identified as a key driver of poverty reduction. In Niger, as in many other African countries, productivity is even lower among female peasants. To build policy interventions to improve agricultural productivity among women, it is important to measure the potential gap between men and women and understand the determinants that explain the gap. This paper uses the Oaxaca-Blinder decomposition methodology at the aggregate and detailed levels to identify the factors that explain the productivity gap. The analysis finds that in Niger on average plots managed by women produce 19 percent less per hectare than plots managed by men. It also finds that the gender gap tends to be widest among Niger's most productive farmers. The primary factors that contribute to the gender productivity gap in Niger are: (i) farm labor, with women facing significant challenges in accessing, using, and supervising male farm labor; (ii) the quantity and quality of fertilizer use, with men using more inorganic fertilizer per hectare than women; and (iii) land ownership and characteristics, with men owning more land and enjoying higher returns to ownership than women.
    Keywords: Gender and Health,Housing&Human Habitats,Labor Policies,Gender and Law,Gender and Development
    Date: 2015–02–01
  14. By: World Bank Group
    Keywords: Environmental Economics and Policies Agriculture - Agricultural Research Social Protections and Labor - Labor Policies Economic Theory and Research Agriculture - Agribusiness Environment Macroeconomics and Economic Growth
    Date: 2014–05
  15. By: Kenneth Harttgen (ETH Zurich); Stephan Klasen (Georg-August-University Göttingen); Ramona Rischke (Georg-August-University Göttingen)
    Abstract: The 2007/2008 food price crisis and the following global economic recession has (temporarily) increased the number of people to suffer from hunger. While the impacts can be measured with precision only ex post, for policy makers it is critical to get a sense of likely impacts ex ante in order to plan approaches to mitigate these impacts. In this paper we adopt a very simple micro-based simulation approach to analyze how changes in prices of specific food groups, such as maize prices or prices for staple foods, as well as how negative short-term household level income shocks affect the entitlements to calorie consumption of individuals and how these changes affect overall food poverty. We illustrate our approach using household survey data from Malawi. We find that food poverty is of serious concern with large within-country variations. We find that price shocks for staple foods have a very large impact on food security with particularly strong effects on poor net food buyers in rural and urban areas. This paper demonstrates that it is possible to estimate food security impacts of price and income shocks ex ante in a relatively straightforward fashion that can be done relatively quickly and that is suitable for cross-country assessments of the likely impacts of shocks on food security and the design of appropriate response measures.
    Keywords: Price shock; Income shock; Simulation approach; Food security; Entitlement approach
    JEL: C4 D6 I3
    Date: 2015–02–25
  16. By: Peter Liapis
    Abstract: Trade facilitation matters. Estimates of trade friction costs from border and custom procedures are relatively high. Trade facilitation to allow for the speedy movement of traded goods may be more important for agricultural, especially perishable, products than for other goods because of their time sensitivity, especially for developing countries. Data suggest that many countries across the geographic and income spectrum have improved their performance on several trade facilitation variables. Concurrently, agricultural trade has grown substantially, especially from low and lower middle income countries. The data suggest that further improvements to trade facilitation in many low and lower middle income countries are needed for them to catch up with best practices. Impediments to trade remain, as indicated by the relatively high tariff equivalent of trade costs, especially on agricultural products.
    Keywords: agricultural trade, trade facilitation, developing countries, trading time, sanitary and phytosanitary standards, perishable products
    Date: 2015–03–04
  17. By: Peter Maniloff (Division of Economics and Business, Colorado School of Mines); Sul-Ki Lee (Division of Economics and Business, Colorado School of Mines)
    Abstract: Food price shocks can have substantial welfare implications, particularly in the world's low income regions. A number of previous studies has shown that the United States ethanol mandate has increased average corn price levels. We provide suggestive evidence that the mandate has also increased corn price volatility. Identification relies upon a series of falsification tests. Our results suggest that the ethanol mandate has increased the likelihood of very high price levels by even more than previously thought.
    Keywords: Ethanol, biofuels, food price shocks, food security
    Date: 2015–02
  18. By: Glauben, Thomas; Prehn, Sören; Dannemann, Tebbe; Brümmer, Bernhard; Loy, Jens-Peter
    Abstract: Options trading is increasingly important in more volatile agricultural markets. Options allow for unilateral hedging of price risks, e. g. against falling prices only, and are an indispensable risk management instrument for farmers and grain dealers. Concerns that soaring options trading could spark incremental volatility of international agricultural commodity prices have not been empirically verified to date. Econometric assessments for the MATIF grain maize market suggest that option trading does not have a volatility increasing effect.
    Abstract: Auf volatileren Agrarmärkten gewinnt der Handel mit Optionen zunehmend an Bedeutung. Optionen gestatten die einseitige Absicherung von Preisrisiken, z. B. nur gegen fallende Preise, und stellen ein zunehmend bedeutenderes Instrument für das Risikomanagement von Landwirten und Landhändlern dar. Befürchtungen, dass der zunehmende Handel mit Optionen zu einer erhöhten Volatilität internationaler Agrarrohstoffpreise führen könnte, sind bisher empirisch nicht nachzuweisen. Ökonometrische Schätzungen für den MATIF-Körnermaismarkt weisen darauf hin, dass kein volatilitätserhöhender Effekt durch den Optionshandel festzustellen ist.
    Date: 2014
  19. By: Dasgupta, Susmita; Huq, Mainul; Wheeler, David
    Abstract: Bangladesh, with two-thirds of its land area less than five meters above sea level, is one of the most climate-vulnerable countries in the world. Low-lying coastal districts along the Bay of Bengal are particularly vulnerable to sea level rise, tidal flooding, storm surges, and climate-induced increases in soil and water salinity. This paper investigates the impact of drinking water salinity on infant mortality in coastal Bangladesh. It focuses on the salinity of drinking water consumed during pregnancy, which extensive medical research has linked to maternal hypertension, preeclampsia, and post-partum morbidity and mortality. The study combines spatially-formatted salinity measures for 2001-09 provided by Bangladesh with individual and household survey information from the Bangladesh Demographic and Health Surveys for 2004 and 2007. It uses probit and logit analyses to estimate mortality probability for infants less than two months old. Controlling for many other determinants of infant mortality, the analysis finds high significance for salinity exposure during the last month of pregnancy and no significance for exposure during the preceding months. The estimated impact of salinity on infant mortality is comparable in magnitude to the estimated effects of traditionally-cited variables such as maternal age and education, gender of the household head, household wealth, toilet facilities, drinking water sources, and cooking fuels.
    Keywords: Population Policies,Water Conservation,Town Water Supply and Sanitation,Water and Industry,Water Supply and Sanitation Governance and Institutions
    Date: 2015–02–01
  20. By: John C. Beghin (Center for Agricultural and Rural Development (CARD)); Miet Maertens; Johan Swinnen
    Abstract: Abstract: We assess the literature on public and private quality standards and their impact in food markets, international trade, and global supply chains. We focus on their effects on welfare, trade, industrial organization, and labor markets and with special attention to the North-South context. We also attempt to better characterize when these measures constitute protectionism, a complicate task. We look at studies investigating public and private standards and across various quantitative approaches and countries. These standards have complex effects. The evidence is mixed regarding standards as catalyst for or impediment against trade and development, reflecting the complexity of these effects and their specificity to industries and countries. The analysis of standard-like nontariff measures and their impacts does not lead to sweeping prescriptions for policy reforms. We identify more modest prescriptions and make some recommendations for fruitful research directions.
    Keywords: supply chain, standards, nontariff measures, SPS, NTM, trade, welfare, North-South, JEL codes: F13, F15, Q17, O19
    Date: 2015–02
  21. By: World Bank Group
    Keywords: Macroeconomics and Economic Growth - Climate Change Economics Agriculture - Agribusiness Private Sector Development - Emerging Markets International Economics and Trade - Access to Markets Macroeconomics and Economic Growth - Markets and Market Access
    Date: 2014–10
  22. By: Helen Leitch
    Keywords: Finance and Financial Sector Development - Microfinance Private Sector Development - E-Business Rural Development Knowledge and Information Systems Law and Development - Corporate Law Finance and Financial Sector Development - Debt Markets Rural Development
    Date: 2014–12
  23. By: World Bank
    Keywords: Environment - Climate Change Mitigation and Green House Gases Environmental Economics and Policies Environment - Climate Change and Environment Environment - Wildlife Resources Rural Development - Forestry
    Date: 2014–12
  24. By: Mensah, Justice Tei (Department of Economics, Swedish University of Agricultural Sciences); Elofsson, Katarina (Department of Economics, Swedish University of Agricultural Sciences); Kjellander, Petter (Department of Economics, Swedish University of Agricultural Sciences)
    Abstract: This paper presents a bioeconomic model to analyze the role of interspecies competition between roe deer (Capreolus capreolus) and fallow deer (Dama dama) and the implications of the competition on optimal harvesting strategies. Analytical solutions derived from the model suggest that the degree of inter-specie competition is an important factor in the landowner’s decision to maintain a given population of both species, as it affects the net marginal benefit from managing the two species. Our numerical results suggest that the effect of inter-species competition on total net economic benefit is small compared to the impact on roe deer population density. Inclusion of trophy values implies reduced harvest of young males, but also reduced harvest of females. Our model also shows that a pulse harvesting regime for the dominant species is economically optimal.
    Keywords: Stage-structured modeling; Optimal management; Species competition; Bioeconomic
    JEL: Q26 Q57
    Date: 2015–02–27
  25. By: Sunar, Nur (University of NC); Plambeck, Erica (Stanford University)
    Abstract: A state with climate policy may impose a tax on imported products for greenhouse gas emissions that occur in production and transportation to its border (a so-called border adjustment). A buyer may voluntarily commit to offset its upstream supply chain emissions, with similar effect. When a process yields co-products in fixed proportions, how should emissions from the process be allocated among the co-products? We address that question from the perspective of a border adjustment policy maker and buyer, in turn. Emissions and a buyer's profit can increase due to border adjustment, or because a buyer is required to use a higher allocation or pay a higher tax (offset price) per unit emissions.
    Date: 2014–01
  26. By: Chen, Junyi; Kibriya, Shahriar; Bessler, David; Price, Edwin
    Abstract: Though recent literature uncovers linkages between commodity prices and conflict, the causal direction of the relationship remains ambiguous. We attempt to contribute in this strand of research by studying the dynamic relationship of commodity prices and the onsets of conflict events in Sudan. Using monthly data ranging from January 2001 through December 2012, we identify a structural breakpoint in the multivariate time series model of prices of the three staple foods (sorghum, millet, and wheat) and conflict measure (number of conflict events) in September of 2011. Applying Structure Vector Autoregression (SVAR) and Linear Non-Gaussian Acyclic Model (LiNGAM), we find that wheat price is a cause of conflict events in Sudan. We find no feedback from conflict to commodity prices.
    Keywords: Commodity Prices, Conflict, Sudan
    JEL: C54 O1 Q02
    Date: 2015
  27. By: Bokusheva, Raushan
    Abstract: The study develops the methodology for a copula-based weather index insurance rating. As the copula approach is better suited for modeling tail dependence than the standard linear correlation method, we suppose that copulas are more adequate for pricing a weather index insurance contract against extreme weather events. To capture the dependence structure in the left tail of the joint distribution of a weather variable and the farm yield, we employ the Gumbel survival copula. Our results indicate that, given the choice of an appropriate weather index to signal extreme drought occurrence, a copula-based weather insurance contact might provide higher risk reduction compared to a regression-based indemnification.
    Keywords: catastrophic insurance, weather index insurance, copula, insurance contract design
    JEL: C18 G22 Q14
    Date: 2014–01–22
  28. By: Parida, Jajati Keshari; Mohanty, Sanjay K.
    Abstract: Using the unit data from the National Sample Survey (64th round, 2007-08), this paper examine the effect of remittances on the marginal spending behavior of households in India. Majority of the households reported that they spent remittances on food items, clothing bedding and foot wears, healthcare and educating the household members and on durable goods etc. The share of expenditure on difference heads with respect to receipts of remittance, however, suggests that households receiving remittances spend 2 per cent less at the margin on food articles compared to households those who do not receive remittances. Further, households receiving remittances spend more at the margin on education (12 per cent), clothing and bedding & foot wears (1.5 per cent) and durable consumer goods (6 per cent), compared to those who do not receive any remittance. These findings support the theoretical argument that remittances help to increase the level of investment in human and physical capital and play an important role in raising the standard of living of the households.
    Keywords: Remittance and Households Expenditure
    JEL: R2 R23
    Date: 2013–06–09
  29. By: Moctar,Ndiaye; d?Hôtel Elodie,Maitre; Tristan,Le Cotty
    Abstract: This paper addresses the role of market remoteness in explaining maize price volatility in Burkina Faso. A model of price formation is introduced to demonstrate formally that transport costs between urban and rural markets exacerbate maize price volatility. Empirical support is provided to the proposition by exploring an unusually rich data set of monthly maize price series across 28 markets over 2004-13. The methodology relies on an autoregressive conditional heteroskedasticity model to investigate the statistical effect of road quality and distance from urban consumption centers on maize price volatility. The analysis finds that maize price volatility is greatest in remote markets. The results also show that maize-surplus markets and markets bordering Côte d'Ivoire, Ghana and Togo have experienced more volatile prices than maize-deficit and non-bordering markets. The findings suggest that enhancing road infrastructure would strengthen the links between rural markets and major consumption centers, thereby also stabilizing maize prices.
    Keywords: Debt Markets,Markets and Market Access,Access to Markets,Transport Economics Policy&Planning,Emerging Markets
    Date: 2015–02–25
  30. By: Tapas Mishra; Mamata Parhi; Claude Diebolt; Prashant Gupta
    Abstract: We re-examine the frequency observed inverted U-Shaped relationship between income and environmental quality (Environmental-Kuznets-Curve, EKC) by introducing the roles of institutional quality and distributional heterogeneity. A panel quantile regression of 127 economies run over a period of four decades demonstrates that once endogeneity bias is corrected and heterogeneity in the effects of income and institutional quality is introduced, EKC tends to disappear at higher quantiles of emission but proves its existence at lower quantiles. The non-uniqueness of EKC is also confirmed by robustness checks where various instruments for institutional quality as well as an alternative measure of emission are introduced.
    Keywords: Income and environment, Endogeneity bias, Institutional heterogeneity, Instrumental variable, Panel quantile regression.
    JEL: Q56 C21 C23
    Date: 2015
  31. By: Paulo Correa
    Keywords: Agriculture - Agricultural Research Public Sector Expenditure Policy Social Protections and Labor - Labor Policies Private Sector Development - E-Business Information and Communication Technologies - ICT Policy and Strategies Public Sector Development
    Date: 2014
  32. By: Lence, Sergio H.; Hayes, Dermot J.; Alston, Julian; Smith, J. Stephen C.
    JEL: O31 O34 Q16
    Date: 2015–03–02
  33. By: Bruno Lanz; Allan Provins
    Abstract: Discrete choice experiments (DCE) are increasingly used to quantify the demand for improvements to services provided by regulated utility companies and inform price controls. This form of preference elicitation, however, often reveals a high frequency of status quo (SQ) choices. This may signal an unwillingness of respondents to evaluate the proposed trade-offs in service levels, questioning the welfare theoretic interpretation of observed choices and the validity of the approach for regulatory purposes. Using the methodology for DCE in the regulation of water and sewerage services in England and Wales, our paper contributes to the understanding of SQ choices in several novel dimensions. First, we control for the perception of the SQ and the importance of attributes in day-to-day activities. Second, we use a split sample design to vary both the description of the SQ and the survey administration mode (online vs. in-person). Third, the service attributes can both improve or deteriorate, so that the SQ is not necessarily the least-cost option. Fourth, we examine SQ choices in individual choice tasks and across all tasks so as to identify the determinants of serial SQ choices. Our results suggest that individual SQ choices mostly reflect preferences and thus represent important information for the regulator. However, serial SQ choices are mainly driven by cognitive and/or contextual factors, and these responses should be analysed as part of standard validity tests.
    Keywords: Cost-benefit analysis; Regulated utilities; Economic valuation; Discrete choice experiments; Individual decision making; Status quo effect.
    JEL: C25 L43 L95 Q25 Q51 Q58
    Date: 2015–02–26
  34. By: Drichoutis, Andreas C.; Nayga, Rodolfo M.; Rouse, Heather L.; Thomsen, Michael R.
    Abstract: In this paper we examine the effect of dollar stores on children's Body Mass Index (BMI). We use a dataset compiled by the Arkansas Center for Health Improvement which created and implemented the BMI screening process for all public school children in the state of Arkansas. We combine propensity score matching with difference-in-differences methods to deal with time-invariant as well time-varying unobserved factors. We find no evidence that the presence of dollar stores within a reasonably close proximity of the child's residence increases BMI. In fact, we see an increase in BMI when dollar stores leave a child's neighborhood. Given the proliferation of dollar stores in rural and low-income urban areas, the question of how dollar stores could contribute to dietary health should be considered in efforts to combat childhood obesity.
    Keywords: Childhood obesity; foot-at-home; propensity score matching; difference-in-difference
    JEL: C31 C33 D10 I10 R1
    Date: 2014–04–02

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