R. Bakhtavoryan, Guo ‘Chris’ Cheng, O. Capps, S. Dharmasena
Abstract An Exact Affine Stone Index demand model is estimated to analyze the household-level demand for nine nut products (peanuts, pecans, almonds, cashews, walnuts, pistachios, mixed nuts, macadamia nuts, and other nuts) in the United States using Nielsen Homescan panel data from 2009 through 2015. The demands for all nuts are elastic. All nut products are necessities and substitutes for each other. Household sociodemographic characteristics are statistically significant drivers of the demand for nut products. Finally, the effects of changes in the magnitude of selected promotion expenditure elasticities for nuts are simulated to determine their impacts on prices and quantities demanded.
{"title":"A household-level demand system analysis of nuts in the United States","authors":"R. Bakhtavoryan, Guo ‘Chris’ Cheng, O. Capps, S. Dharmasena","doi":"10.1017/age.2022.11","DOIUrl":"https://doi.org/10.1017/age.2022.11","url":null,"abstract":"Abstract An Exact Affine Stone Index demand model is estimated to analyze the household-level demand for nine nut products (peanuts, pecans, almonds, cashews, walnuts, pistachios, mixed nuts, macadamia nuts, and other nuts) in the United States using Nielsen Homescan panel data from 2009 through 2015. The demands for all nuts are elastic. All nut products are necessities and substitutes for each other. Household sociodemographic characteristics are statistically significant drivers of the demand for nut products. Finally, the effects of changes in the magnitude of selected promotion expenditure elasticities for nuts are simulated to determine their impacts on prices and quantities demanded.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"283 - 310"},"PeriodicalIF":1.3,"publicationDate":"2022-06-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48282230","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Madhav Regmi, Brian C. Briggeman, Allen M. Featherstone
Abstract Crop insurance has been linked to changes in farm production decisions. In this study, we examine the effects of crop insurance participation and coverage on farm input use. Using a 1993–2016 panel of Kansas farms, evidence exists that insured farms apply more farm chemicals and seed per acre than uninsured farms. We use a fixed effects instrumental variable estimator to obtain the effects of change in crop insurance coverage on farm input use accounting farm-level heterogeneity. Empirical evidence suggests that changes in the levels of crop insurance coverage do not significantly affect farm chemical use. Thus, moral hazard effects from purchasing crop insurance are not large on a per acre basis but can lead to expenditures of $6,100 per farm.
{"title":"Effects of crop insurance on farm input use: Evidence from Kansas farm data","authors":"Madhav Regmi, Brian C. Briggeman, Allen M. Featherstone","doi":"10.1017/age.2022.5","DOIUrl":"https://doi.org/10.1017/age.2022.5","url":null,"abstract":"Abstract Crop insurance has been linked to changes in farm production decisions. In this study, we examine the effects of crop insurance participation and coverage on farm input use. Using a 1993–2016 panel of Kansas farms, evidence exists that insured farms apply more farm chemicals and seed per acre than uninsured farms. We use a fixed effects instrumental variable estimator to obtain the effects of change in crop insurance coverage on farm input use accounting farm-level heterogeneity. Empirical evidence suggests that changes in the levels of crop insurance coverage do not significantly affect farm chemical use. Thus, moral hazard effects from purchasing crop insurance are not large on a per acre basis but can lead to expenditures of $6,100 per farm.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"361 - 379"},"PeriodicalIF":1.3,"publicationDate":"2022-05-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43800390","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Abstract Food security in many developing countries has been threatened by several factors such as unequal land distribution, ineffective land reform policies, inefficient agricultural value chains, and an increasing number of climate disasters. In Nigeria, these threats are exacerbated by rapid population growth and extreme weather events, which have resulted in farmer-herder conflicts in most agrarian communities. This paper examines the differential impacts of the incidence and severity of farmer-herder resource use conflicts on food insecurity of rural households in Nigeria. We employ a two-stage predictor substitution model to estimate survey data collected from 401 rural households in Nigeria. The empirical results show that both the incidence and the severity of farmer-herder conflicts significantly increase food insecurity, and the severity of these conflicts has a larger impact than their incidence. The estimates of the conditional mixed process models confirm the robustness of our results. Additional analysis reveals that the incidence and severity of farmer-herder conflicts positively and significantly affect food insecurity, measured by the number of days with limited varieties of food eaten. Our findings highlight the importance of policy interventions that address ongoing farmer-herder conflicts in affected countries like Nigeria to enhance food security from a sustainable development perspective.
{"title":"Farmer-herder conflicts and food insecurity: Evidence from rural Nigeria","authors":"A. Nnaji, Wanglin Ma, N. Ratna, A. Renwick","doi":"10.1017/age.2022.9","DOIUrl":"https://doi.org/10.1017/age.2022.9","url":null,"abstract":"Abstract Food security in many developing countries has been threatened by several factors such as unequal land distribution, ineffective land reform policies, inefficient agricultural value chains, and an increasing number of climate disasters. In Nigeria, these threats are exacerbated by rapid population growth and extreme weather events, which have resulted in farmer-herder conflicts in most agrarian communities. This paper examines the differential impacts of the incidence and severity of farmer-herder resource use conflicts on food insecurity of rural households in Nigeria. We employ a two-stage predictor substitution model to estimate survey data collected from 401 rural households in Nigeria. The empirical results show that both the incidence and the severity of farmer-herder conflicts significantly increase food insecurity, and the severity of these conflicts has a larger impact than their incidence. The estimates of the conditional mixed process models confirm the robustness of our results. Additional analysis reveals that the incidence and severity of farmer-herder conflicts positively and significantly affect food insecurity, measured by the number of days with limited varieties of food eaten. Our findings highlight the importance of policy interventions that address ongoing farmer-herder conflicts in affected countries like Nigeria to enhance food security from a sustainable development perspective.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"391 - 421"},"PeriodicalIF":1.3,"publicationDate":"2022-05-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"45562051","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
K. Schaefer, R. Myers, Stanley R. Johnson, M. Helmar, Tony Radich
Abstract We disentangle the effects of biodiesel incentives and shale oil expansion on the long-run equilibrium price relationships among biodiesel feedstocks and crude oil in the United States (US) and European Union (EU). We find that the 2005 Energy Policy Act in the US substantially increased the responsiveness of soy oil, canola oil, and corn oil prices to crude oil price movements. However, in recent years, expansion in the global supply of crude oil from shale oil extraction has offset the effects of US biodiesel incentives and blending mandates. In the EU, the Indirect Land Use Change Directive of 2015 substantially reduced the responsiveness of biodiesel feedstock prices to crude oil price movements.
{"title":"Biodiesel feedstock and crude oil price relationships – The effects of policy and shale oil expansion","authors":"K. Schaefer, R. Myers, Stanley R. Johnson, M. Helmar, Tony Radich","doi":"10.1017/age.2022.6","DOIUrl":"https://doi.org/10.1017/age.2022.6","url":null,"abstract":"Abstract We disentangle the effects of biodiesel incentives and shale oil expansion on the long-run equilibrium price relationships among biodiesel feedstocks and crude oil in the United States (US) and European Union (EU). We find that the 2005 Energy Policy Act in the US substantially increased the responsiveness of soy oil, canola oil, and corn oil prices to crude oil price movements. However, in recent years, expansion in the global supply of crude oil from shale oil extraction has offset the effects of US biodiesel incentives and blending mandates. In the EU, the Indirect Land Use Change Directive of 2015 substantially reduced the responsiveness of biodiesel feedstock prices to crude oil price movements.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"222 - 239"},"PeriodicalIF":1.3,"publicationDate":"2022-04-25","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44182419","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Abstract In this paper, we apply an indirect production function approach to analyze producers’ output and input allocation choices under expenditure constraints. Our estimation results show that financial constraints induced a nonoptimal usage of smallholder farm inputs, resulting in losses in potential productivity of approximately 25%. It appears that the presence of a binding expenditure constraint has led to an underutilization of fertilizer and manure as well as an overutilization of seed.
{"title":"Farm productivity under financial constraints in developing countries: evidence from maize smallholder farmers in Burkina Faso","authors":"Omer S. Combary","doi":"10.1017/age.2022.8","DOIUrl":"https://doi.org/10.1017/age.2022.8","url":null,"abstract":"Abstract In this paper, we apply an indirect production function approach to analyze producers’ output and input allocation choices under expenditure constraints. Our estimation results show that financial constraints induced a nonoptimal usage of smallholder farm inputs, resulting in losses in potential productivity of approximately 25%. It appears that the presence of a binding expenditure constraint has led to an underutilization of fertilizer and manure as well as an overutilization of seed.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"380 - 390"},"PeriodicalIF":1.3,"publicationDate":"2022-04-20","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44529734","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Abstract We investigated two potential mechanisms facilitating local food procurement in schools, food hubs, and funded farm to school policies. Using all three waves of the USDA’s farm to school census, we assessed the factors that support school districts that have stated an intention of beginning a farm to school program. We find that neither food hubs nor funded policies have an impact on farm to school programming. Instead, it is large-scale farms that play a role in the farm to school supply chain. Coupled with the positive impact of school size and receipt of increased federal funding, this suggests that while both cost and transactional barriers impact school procurement, current policy solutions are insufficient. This study improves our understanding of the role of facilitation mechanisms on farm to school implementation in the United States.
{"title":"Aiding farm to school implementation: An assessment of facilitation mechanisms","authors":"Ce Wen, Cristina Connolly","doi":"10.1017/age.2022.3","DOIUrl":"https://doi.org/10.1017/age.2022.3","url":null,"abstract":"Abstract We investigated two potential mechanisms facilitating local food procurement in schools, food hubs, and funded farm to school policies. Using all three waves of the USDA’s farm to school census, we assessed the factors that support school districts that have stated an intention of beginning a farm to school program. We find that neither food hubs nor funded policies have an impact on farm to school programming. Instead, it is large-scale farms that play a role in the farm to school supply chain. Coupled with the positive impact of school size and receipt of increased federal funding, this suggests that while both cost and transactional barriers impact school procurement, current policy solutions are insufficient. This study improves our understanding of the role of facilitation mechanisms on farm to school implementation in the United States.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"311 - 342"},"PeriodicalIF":1.3,"publicationDate":"2022-04-06","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44253476","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
J. Allison, T. Mark, Kenneth H. Burdine, J. Shockley
A hedonic model was employed to examine factors that influence the resale price of row crop planters on the used machinery market. Planter sale data from 2016 to 2018 were utilized to conduct the analysis. Results suggested that the primary factors impacting planter resale prices were make, age, condition, planter configuration, row number, and row spacing. As a function of age (depreciation), planter values were generally determined to decrease at a decreasing rate. Finally, it was determined that there was a significant interaction between the variables make and age, suggesting that different planter makes depreciate differently.
{"title":"A hedonic analysis of factors impacting the value of planters on the used machinery market","authors":"J. Allison, T. Mark, Kenneth H. Burdine, J. Shockley","doi":"10.1017/age.2022.4","DOIUrl":"https://doi.org/10.1017/age.2022.4","url":null,"abstract":"\u0000 A hedonic model was employed to examine factors that influence the resale price of row crop planters on the used machinery market. Planter sale data from 2016 to 2018 were utilized to conduct the analysis. Results suggested that the primary factors impacting planter resale prices were make, age, condition, planter configuration, row number, and row spacing. As a function of age (depreciation), planter values were generally determined to decrease at a decreasing rate. Finally, it was determined that there was a significant interaction between the variables make and age, suggesting that different planter makes depreciate differently.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"266 - 282"},"PeriodicalIF":1.3,"publicationDate":"2022-03-22","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41889056","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Abstract This article examines the impact of extreme weather on dairy farm productivity in the northeastern U.S., accounting for the effects of extreme temperatures on dairy cow productivity and on feed production—the predominant feeding system in the region. Using a stochastic frontier production model and 2010–20 dairy farm-level data, we find that although heat stress impacts cow productivity negatively, it increases feed production. No discernable impacts of extreme cold temperatures were found. Additional results indicate the presence of significant labor-augmenting productivity and that larger farms experience larger productivity growth thanks to increasing returns to scale and allocative efficiency.
{"title":"Climate change and productivity of northeastern dairy farms","authors":"R. Lopez, C. Laughton, Donghoon Kim, H. Suh","doi":"10.1017/age.2022.2","DOIUrl":"https://doi.org/10.1017/age.2022.2","url":null,"abstract":"Abstract This article examines the impact of extreme weather on dairy farm productivity in the northeastern U.S., accounting for the effects of extreme temperatures on dairy cow productivity and on feed production—the predominant feeding system in the region. Using a stochastic frontier production model and 2010–20 dairy farm-level data, we find that although heat stress impacts cow productivity negatively, it increases feed production. No discernable impacts of extreme cold temperatures were found. Additional results indicate the presence of significant labor-augmenting productivity and that larger farms experience larger productivity growth thanks to increasing returns to scale and allocative efficiency.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"203 - 221"},"PeriodicalIF":1.3,"publicationDate":"2022-03-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48285709","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Abstract Given the relatively small industry scale of cow-calf operations in New York to other regions of the country, little is known about differences in determinant values for feeder cattle. Using auction prices and quality characteristics over 7 years, differences in market, lot, and quality parameters suggest opportunities for improved marketing performance. A delta profit model is constructed to inform timing of marketing decisions for producers. The results indicate a relatively high potential for producers to increase farm returns by delaying sales of lighter-weight feeder cattle from the fall to spring auction months, given sufficient rates of gain and reasonable overwintering costs.
{"title":"Sell now or later? A decision-making model for feeder cattle selling","authors":"Min Yan, T. Schmit, M. Baker, M. LeRoux, M. Gómez","doi":"10.1017/age.2022.1","DOIUrl":"https://doi.org/10.1017/age.2022.1","url":null,"abstract":"Abstract Given the relatively small industry scale of cow-calf operations in New York to other regions of the country, little is known about differences in determinant values for feeder cattle. Using auction prices and quality characteristics over 7 years, differences in market, lot, and quality parameters suggest opportunities for improved marketing performance. A delta profit model is constructed to inform timing of marketing decisions for producers. The results indicate a relatively high potential for producers to increase farm returns by delaying sales of lighter-weight feeder cattle from the fall to spring auction months, given sufficient rates of gain and reasonable overwintering costs.","PeriodicalId":44443,"journal":{"name":"Agricultural and Resource Economics Review","volume":"51 1","pages":"343 - 360"},"PeriodicalIF":1.3,"publicationDate":"2022-03-09","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46402124","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}