nep-agr New Economics Papers
on Agricultural Economics
Issue of 2015‒11‒15
eighteen papers chosen by

  1. The Economic Impacts of Global Warming on Agriculture: the Role of Adaptation By Kaixing Huang
  2. PES as Compensation ? Redistribution of Payments for Forest Conservation in Mexican Common Forests By Chloë FERNANDEZ; Driss EZZINE DE BLAS; Céline DUTILLY DIANE; Gwenole LE VELLY
  3. Is plantation agriculture good for the poor? Evidence from Indonesia's palm oil expansion By Ryan Edwards
  4. Food security and small landholders in South Asia By Raghbendra Jha
  5. International Agricultural markets after the war, 1945-1960 By Ángel Luis González; Vicente Pinilla; Raúl Serrano
  6. To pay or not to pay? Water bill and delay in payment in Bejaia (Algeria): A duration analysis By Kertous, Mourad; Zerzour, Sahad
  7. The Renewable Fuel Standard: Issues for 2014 and Beyond By Congressional Budget Office
  8. Initial Assessment of the Agricultural Risk of Temporary Water Storage for FM Diversion By Bangsund, Dean; Shaik, Saleem; Saxowsky, David; Hodur, Nancy
  9. U.S. Dairy Farmer Welfare Perceptions and Attitudes: Survey Summary By Wolf, Christopher; Tonsor, Glynn; McKendree, Melissa; Thomson, Daniel; Swanson, Janice
  10. Climate change mitigation as catastrophic risk management By Simon Dietz
  11. Findings from the Nutrition Services Program Process Study and Meal Cost Analysis By Holly Greuling; Susan Jenkins; James Mabli; Jessica Ziegler
  12. Institutional Innovation in the Management of Pro-Poor Energy Access in East Africa By Lorenz Gollwitzer; David Ockwell; Adrian Ely
  13. Options for Supporting Rice Farmers Under a Post-QR Regime: Review and Assessment By Briones, Roehlano M.; Tolin, Lovely Ann C.
  14. Explaining adoption and use of payment instruments by U.S. consumers By Sergei Koulayev; Marc Rysman; Scott Schuh; Joanna Stavins
  15. Overcoming urban-rural imbalances: the role of cooperatives and social enterprises By Salustri, Andrea; Mosca, Michele; Viganò, Federica
  16. Sustainability and replicability of multiple-use water systems (MUS). By Clement, Floriane; Pokhrel, Paras; Sherpa, Tashi Yang Chung
  17. When to harvest? The effect of disease on optimal forest rotation By Morag F. Macpherson; Adam Kleczkowski; John Healey; Nick Hanley
  18. Trans-Pacific Partnership and Foreign Ag Subsidies By Dermot J. Hayes

  1. By: Kaixing Huang (School of Economics, University of Adelaide.)
    Abstract: Studies of climate change impacts on agricultural profits using panel data typically do not take account of adaptations over time by farmers, and those that do tend to use the standard hedonic approach which is potentially biased. As an alternative, this paper develops a panel framework that includes farmer adaptation. When tested with United States data, this study finds that the negative impact of expected climate change on farm profits by 2100 is only one-third as large once likely adaptation by farmers is taken into account.
    JEL: Q15 Q51 Q54
    Date: 2015–10
    Abstract: This article empirically explores the distribution of a Payments for Environmental Services (PES) scheme within Mexican forest communities. The PSA-H is a Mexican federal PES that has been remunerating communities for forest conservation since 2003. During the last decade, Mexico’s National Forestry Commission [CONAFOR] has developed a complex targeting system in order to enroll forests owned by communities with certain socio-economic and ecological characteristics. In the present study we analyze the socio-economic characteristics and land use changes of recipients of the PSA-H to understand how the targeting objectives have been expressed in the field. We conducted a combined survey of 47 ejidos and 163 households in the south of the state of Yucatan – the Cono Sur region. We first investigate, at the ejido-level, what determines the unequal distribution of payments. Second, we analyze the amount of payment received depending on the characteristics of households. Our analysis shows that the way the PSA-H is being distributed by ejidatarios bypasses the initial compensation objective. As a matter of fact, the distribution of the payments reflects past land use trajectories.
    Keywords: PES ; Mexico ; Communities ; Forest conservation ; Economic compensation ; Distribution of payments
    JEL: D63 Q23 Q28
    Date: 2015–11
  3. By: Ryan Edwards
    Abstract: I study the poverty impacts of plantation-based agricultural growth, focusing on Indonesian palm oil. Using rich new administrative panel data, I exploit exogenous variation arising from Indonesia's unique institutions and the data's longitudinal features to identify causal effects. Increasing the palm oil share of land in a district by ten percentage points corresponds to a ten percent reduction in its poverty rate, and a narrowing of the poverty gap. Effects are similar across regions and at the province level. Oil palm expansion tends to be followed by a sustained boost to the value of agricultural output, manufacturing output, and district GDP.
    Keywords: palm oil, cash crop, plantation, agriculture, poverty, Indonesia
    JEL: C23 C26 I32 Q15 Q18
    Date: 2015
  4. By: Raghbendra Jha
    Abstract: This paper surveys the status of food security in the South Asian countries, particularly India. Particular attention has been paid to small landholders (those households owning less than 2 hectares of land). Using NSS data from 1993-94 and 2004-05 the paper shows that small landholders are an increasing proportion of i) total rural households, ii) rural households who are poor, and iii) rural households who are undernourished. The paper then singles out five disconnects in India’s recent economic performance as constituting the reason for this outcome. It advances some policy conclusions on how these disconnects can be addressed.
    Keywords: small landholders, nutritional status, agriculture, economic growth, India
    JEL: I32 O1 Q18 R20 R28
    Date: 2015
  5. By: Ángel Luis González (Universidad de Salamanca, Salamanca, Spain); Vicente Pinilla (Universidad de Zaragoza, Zaragoza, Spain); Raúl Serrano (Universidad de Zaragoza, Zaragoza, Spain)
    Abstract: The objective of the present study is to offer a general overview of the evolution of international trade in agricultural and food products between 1945 and 1960. The developed countries not only maintained policies of stimulating agricultural production implemented during the war, but also deepened their intervention and support with regard to the agricultural sector. The culmination of such policies was, in the case of Western Europe, the creation of the European Economic Community in 1957 and the implementation of the Common Agricultural Policy. This was one of the first community-wide policies and had a notable impact on international agricultural trade.To achieve the objective proposed we concentrate on two principal themes. On the one hand a reconstruction will be performed of the international flows of agricultural trade for that period. Furthermore, we shall attempt to analyse the principal determinants of the development of agricultural trade, paying special attention to the political economy which led to the taking of crucial decisions for its evolution, such as its exclusion from the GATT agreements.
    Keywords: Agrifood trade, GATT, Agricultural protectionism, Agricultural trade policies, Post-war agricultural policies
    JEL: F13 N50 N70 Q17
    Date: 2015–10
  6. By: Kertous, Mourad; Zerzour, Sahad
    Abstract: Efficient water management does not only involve effective water treatment and delivery to customer but also efficient billing and payment system to ensure financial sustainability. Delays in water bills payment are recognized as a major problem in developing countries but the reasons explaining these situations are scarcely addressed in the literature. To our knowledge, this paper is the first to address this issue.This article addresses this topic with Algeria as a case study. In this context, we identified from a literature review the factors that could affect time to water bill payment and we analyzed the effect of these factors on the time to bill payments through a Kaplan Meyer survival estimates approach. We applied this approach to two datasets, one including 27,363 household subscribers of Algerienne Des Eaux Company (ADE-Bejaia) located in Bejaia city and a second one that we collected in August 2008 made of 172 subscribers. Our results show that price is an explanatory factor in payment delays. A 10% increase in the average price generates a 4.8% increase in the average time to payment. In addition to economic factors, users’ dissatisfaction about service quality is a key element in our model.
    Keywords: Determinants, payment delays, water demand, Algeria
    JEL: Q21 Q25 Q5 Q56 Q58
    Date: 2015–11–10
  7. By: Congressional Budget Office
    Abstract: Using the rising amounts of renewable transportation fuels required by the Renewable Fuel Standard will be difficult. CBO looks at how those requirements and alternatives would affect fuel and food prices and greenhouse gas emissions.
    JEL: Q10 Q16 Q18 Q20 Q28 Q40 Q42 Q48 Q50 Q54 Q58
    Date: 2014–06–26
  8. By: Bangsund, Dean; Shaik, Saleem; Saxowsky, David; Hodur, Nancy
    Keywords: Community/Rural/Urban Development, Crop Production/Industries, Environmental Economics and Policy, Land Economics/Use,
    Date: 2015–10
  9. By: Wolf, Christopher; Tonsor, Glynn; McKendree, Melissa; Thomson, Daniel; Swanson, Janice
    Abstract: The U.S. dairy industry is facing pressure to adjust production practices in response to societal concerns. A particular area of concern surrounds how production practices impact the welfare of farm animals. This research utilizes a survey of U.S. dairy farms conducted in 2014 to examine application of animal welfare related production practices.
    Keywords: dairy cattle, dairy farmers, animal welfare, production practices, Agricultural and Food Policy, Farm Management, Livestock Production/Industries,
    Date: 2015–07
  10. By: Simon Dietz
    JEL: G32
    Date: 2014–11
  11. By: Holly Greuling; Susan Jenkins; James Mabli; Jessica Ziegler
    Abstract: Presentation for the National Resource Center on Nutrition and Aging Webinar.
    Keywords: Nutrition Services Program, Process Study , Meal Cost Analysis
    JEL: I0 I1
    Date: 2015–09–24
  12. By: Lorenz Gollwitzer (SPRU (Science Policy Research Unit), School of Business Management and Economics, University of Sussex, UK); David Ockwell (Department of Geography, ESRC STEPS Centre, Sussex Energy Group and Tyndall Centre for Climate Change Research, School of Global Studies, University of Sussex, UK); Adrian Ely (SPRU (Science Policy Research Unit), ESRC STEPS Centre, School of Business Management and Economics, University of Sussex, UK)
    Abstract: This paper articulates a new theoretical perspective on the management of rural mini-grids for facilitating pro-poor electricity access in developing countries. Bridging the literature on common pool resource (CPR) management/collective action (including its application to irrigation systems) with the hydraulic analogy for explaining the behaviour of electricity in closed electrical circuits, a refined theoretical framework is produced for analysing the socio-cultural institutional conditions for sustainable management of rural mini-grids. The utility of the framework is demonstrated via empirical analysis of mini-grids in rural Kenya. This yields insights on socio-cultural approaches to addressing challenges relating to sustainable mini-grid management, e.g. seasonality of demand and fair allocation of limited amounts of electricity to different consumers, in ways that are acceptable to, and to some extent also enforced by the entire group of diverse resource users. The paper contributes to both the literatures on sustainable CPR management/collective action and the literature on pro-poor sustainable energy access in developing countries, providing a novel theoretical and empirical contribution to the emerging socio-cultural turn in the latter.
    Keywords: innovation studies; science policy; research challenges; dark innovation
    Date: 2015–10
  13. By: Briones, Roehlano M.; Tolin, Lovely Ann C.
    Abstract: Under the World Trade Organization, the Philippines has maintained special treatment for rice, which expires on July 2017. Tariffication will involve greater competition from imports and the decline of domestic paddy prices, thereby reducing income of rice farmers. This study evaluates various payment schemes to serve as safety nets for rice farmers after tariffication. Evaluation considers international experience with such schemes based on cost, efficiency, and coverage of farmers. A decoupled payment scheme linked to above-baseline imports emerges as the most favorable option. Financial viability of the payment scheme is further subjected to scenario analysis using a supply-demand model. Results suggest that significant financial support can be provided to the average rice farmer, with cost below the projected revenues from the rice tariff.
    Keywords: Philippines, tariffication, subsidy, direct payments, deficiency payments, decoupled support, welfare impact, fiscal viability
    Date: 2015
  14. By: Sergei Koulayev (Consumer Financial Protection Bureau); Marc Rysman (Boston University); Scott Schuh (Federal Reserve Bank of Boston); Joanna Stavins (Federal Reserve Bank of Boston)
    Abstract: Motivated by recent policy intervention into payments markets that can lead to changes to the prices that consumers face for dierent payment instruments, this paper develops and estimates a structural model of adoption and use of payment instruments by U.S. consumers. We utilize a cross-section from the Survey of Consumer Payment Choice, a new survey of consumer behavior. Our structural model emphasizes the distinction between the adoption and use of a payment instrument. We evaluate substitution among payment instruments, as well welfare implications. We nd that cash is the most signicant substitute to debit cards in retail settings, whereas checks are the most signicant in bill-pay settings. Furthermore, we nd low income consumers lose proportionally more than high income consumers when debit cards become more expensive, whereas the reverse is true when credit cards do.
    Date: 2015–05–26
  15. By: Salustri, Andrea; Mosca, Michele; Viganò, Federica
    Abstract: The paper introduces a theoretical model to show how in a spatial framework characterized by urban-rural imbalances, the production of goods and services decreases moving from urban to rural areas. Specifically in rural and peripheral areas, the market and the public sector might supply an insufficient level of goods and services due to higher distance costs and lack of financial resources. Cooperatives and nonprofit organizations, i.e. social enterprises, are able to overcome distance costs and therefore spatial inequalities, by developing a productive and distributive function in marginalized areas, ensuring a fair and equal treatment among residents. Moreover, cooperatives and nonprofit organizations endorse the inclusiveness of the labor market, and raise peoples’ intrinsic motivation.
    Keywords: cooperative economics; nonprofit institutions and social enterprises; urban-rural development; size and spatial distributions of regional economic activity
    JEL: J54 R11 R12
    Date: 2015–09–30
  16. By: Clement, Floriane; Pokhrel, Paras; Sherpa, Tashi Yang Chung
    Keywords: Water use efficiency, Multiple use, Sustainability, Indicators, Performance indexes, Water distribution, Water users, Households, Farmers, Land use, Irrigation systems, Drip irrigation, Gender, Women, Equity, Vegetable growing, Marketing, Socioeconomic environment, Ecological factors, Institutions, Case studies, Nepal, Bhandarekhola, Lumle, Consumer/Household Economics, Crop Production/Industries, Farm Management, Land Economics/Use, Marketing,
    Date: 2015
  17. By: Morag F. Macpherson (Computing Science and Mathematics, University of Stirling); Adam Kleczkowski (Computing Science and Mathematics, University of Stirling); John Healey (School of Environment, Natural Resources and Geography, Bangor University); Nick Hanley (Department of Geography and Sustainable Development, University of St. Andrews)
    Abstract: Effective forest management is crucial to maximising the economic benefits obtained from forests. However, the arrival of novel pests and pathogens may have a negative effect on timber values. We argue that management strategies should be calibrated to consider the effect of disease and in this paper explore the optimal rotation length of a single rotation, even-aged, plantation forest under varying disease conditions. We show that the optimal rotation length, which maximises the net present value of the forest, is reduced when disease decreases the timber value. Moreover, an increase in the rate of disease progression or the effect of disease on timber has a negative effect on the optimal rotation length. More generally, the effect of forest disease on optimal management depends in a complex way on the interaction of economic, ecological and epidemiological parameters
    Keywords: contingent valuation; historic site; willingness to pay
    JEL: Q51 Q58
    Date: 2015–11
  18. By: Dermot J. Hayes (Center for Agricultural and Rural Development (CARD); Food and Agricultural Policy Research Institute (FAPRI))
    Abstract: Testimony before the House Committee on Agriculture
    Date: 2015–11

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