Randomised control trials (RCTs) and field studies are two empirical approaches. We conducted a field study analysing the adoption of Bt eggplant in Bangladesh and compared the results of previous RCTs. We find that Bt eggplant raises yields, lowers total cost and pesticide costs and generates a price premium compared to non-Bt eggplant, increasing profits by 23 per cent. We also identify factors contributing to adopting Bt eggplant, including better access to credit, farm sizes and expected profitability. Our low-cost field study confirms the impact assessment results of RCTs and provides insight into factors affecting adoption.
{"title":"Complementarity of field studies and RCTs: evidence from Bt eggplant in Bangladesh","authors":"Ahsanuzzaman, Hamza Husain, David Zilberman","doi":"10.1093/erae/jbae003","DOIUrl":"https://doi.org/10.1093/erae/jbae003","url":null,"abstract":"\u0000 Randomised control trials (RCTs) and field studies are two empirical approaches. We conducted a field study analysing the adoption of Bt eggplant in Bangladesh and compared the results of previous RCTs. We find that Bt eggplant raises yields, lowers total cost and pesticide costs and generates a price premium compared to non-Bt eggplant, increasing profits by 23 per cent. We also identify factors contributing to adopting Bt eggplant, including better access to credit, farm sizes and expected profitability. Our low-cost field study confirms the impact assessment results of RCTs and provides insight into factors affecting adoption.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2024-03-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140229407","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Xinquan Zhou, Guillaume Bagnarosa, Michael Dowling, Jagadish Dandu
Understanding agricultural commodity futures is crucial for efficient business operations. This study employs textual machine learning on 290,271 articles (2009–2020) focusing on corn markets, aiming to model the impact of news on corn futures pricing. Our novel approach enables the identification of seven distinct topics within corn news, offering a comprehensive view of the news coverage spectrum. Soybean biofuel news notably influences corn prices, while exports, weather and wheat news significantly impact pricing uncertainty. These insights deepen our understanding of factors shaping corn futures and highlight machine learning’s potential in agricultural economic analysis, enabling more accurate market predictions and policy decisions.
{"title":"Media influences on corn futures pricing","authors":"Xinquan Zhou, Guillaume Bagnarosa, Michael Dowling, Jagadish Dandu","doi":"10.1093/erae/jbae002","DOIUrl":"https://doi.org/10.1093/erae/jbae002","url":null,"abstract":"Understanding agricultural commodity futures is crucial for efficient business operations. This study employs textual machine learning on 290,271 articles (2009–2020) focusing on corn markets, aiming to model the impact of news on corn futures pricing. Our novel approach enables the identification of seven distinct topics within corn news, offering a comprehensive view of the news coverage spectrum. Soybean biofuel news notably influences corn prices, while exports, weather and wheat news significantly impact pricing uncertainty. These insights deepen our understanding of factors shaping corn futures and highlight machine learning’s potential in agricultural economic analysis, enabling more accurate market predictions and policy decisions.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2024-03-16","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140142083","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
While there is strong evidence that becoming an exporter increases a firm’s productivity, underlying mechanisms that explain such a relationship remain largely unexplored. This paper analyses the contribution of the complementarity between exporting and investment in technology as a potential driver of export-related productivity gains. We employ firm-level data on production and trade combined with information on new products in the French dairy industry to conduct a causal mediation analysis between exporting, innovation investment, innovation output and productivity. Our estimation result show that starting exports increase the productivity by eight percentage points. Our mediation analysis reveals that innovation (investment and output) explains 31 per cent of this productivity growth.
{"title":"Does innovation help to explain the effect of export on productivity? Evidence from the French dairy industry","authors":"Kevin Randy Chemo Dzukou, Mark Vancauteren","doi":"10.1093/erae/jbae005","DOIUrl":"https://doi.org/10.1093/erae/jbae005","url":null,"abstract":"While there is strong evidence that becoming an exporter increases a firm’s productivity, underlying mechanisms that explain such a relationship remain largely unexplored. This paper analyses the contribution of the complementarity between exporting and investment in technology as a potential driver of export-related productivity gains. We employ firm-level data on production and trade combined with information on new products in the French dairy industry to conduct a causal mediation analysis between exporting, innovation investment, innovation output and productivity. Our estimation result show that starting exports increase the productivity by eight percentage points. Our mediation analysis reveals that innovation (investment and output) explains 31 per cent of this productivity growth.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2024-03-12","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140114696","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We analyse the effect of front-of-package nutrition labelling using the example of France, where Nutri-Score was adopted in 2017. Our focus is on changes in available products, i.e. on producer choices rather than consumer choices. Employing a difference-in-differences approach, we find that products introduced or altered after the change receive better Nutri-Score ratings than those introduced before the adoption, indicating a shift to items that are healthier overall. In addition, there is some evidence of bunching at the cutoffs for better Nutri-Score grades, which suggests that the improvements are at least in part a strategic reaction to the Nutri-Score introduction.
{"title":"The effect of front-of-package nutrition labelling on product composition","authors":"Christoph Bauner, Rajib Rahman","doi":"10.1093/erae/jbae004","DOIUrl":"https://doi.org/10.1093/erae/jbae004","url":null,"abstract":"We analyse the effect of front-of-package nutrition labelling using the example of France, where Nutri-Score was adopted in 2017. Our focus is on changes in available products, i.e. on producer choices rather than consumer choices. Employing a difference-in-differences approach, we find that products introduced or altered after the change receive better Nutri-Score ratings than those introduced before the adoption, indicating a shift to items that are healthier overall. In addition, there is some evidence of bunching at the cutoffs for better Nutri-Score grades, which suggests that the improvements are at least in part a strategic reaction to the Nutri-Score introduction.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2024-03-07","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"140064147","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Our paper assesses the technical and economic effects of adopting environmental standards aimed at favouring biodiversity on wheat production. We consider two standards with different levels of environmental stringency. We use data on French wheat production at the plot level from the period 2014–2020. We implement an endogenous switching regression model taking into account two sources of endogeneity, environmental standards adoption and inputs quantity use. Our results indicate that adopting the more stringent standard slightly decreases wheat yield and quality. In contrast, it induces a low increase in wheat price. The price premium of the more stringent environmental standard merely compensates for the negative effect of the standard’s adoption on quality.
{"title":"The technical and economic effects of biodiversity standards on wheat production","authors":"Marie Lassalas, Sabine Duvaleix, Laure Latruffe","doi":"10.1093/erae/jbad044","DOIUrl":"https://doi.org/10.1093/erae/jbad044","url":null,"abstract":"Our paper assesses the technical and economic effects of adopting environmental standards aimed at favouring biodiversity on wheat production. We consider two standards with different levels of environmental stringency. We use data on French wheat production at the plot level from the period 2014–2020. We implement an endogenous switching regression model taking into account two sources of endogeneity, environmental standards adoption and inputs quantity use. Our results indicate that adopting the more stringent standard slightly decreases wheat yield and quality. In contrast, it induces a low increase in wheat price. The price premium of the more stringent environmental standard merely compensates for the negative effect of the standard’s adoption on quality.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2024-01-30","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"139644109","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
We investigate the impact of severe drought shocks in Morocco’s agricultural sector. Using a staggered difference-in-differences design, we estimate that climatic shocks resulted in a job displacement of approximately 6.5 percentage points for workers exposed to severe drought events. Additionally, we observe that, overall, approximately 39 per cent of these workers remained unemployed, leading to a partial reallocation failure. These effects are significant only for severe and extreme shocks, persist for at least 5 years, and are more pronounced among informal and female workers.
{"title":"Job displacement and reallocation failure. Evidence from climate shocks in Morocco","authors":"Federica Alfani, Vasco Molini, Giacomo Pallante, Alessandro Palma","doi":"10.1093/erae/jbad043","DOIUrl":"https://doi.org/10.1093/erae/jbad043","url":null,"abstract":"We investigate the impact of severe drought shocks in Morocco’s agricultural sector. Using a staggered difference-in-differences design, we estimate that climatic shocks resulted in a job displacement of approximately 6.5 percentage points for workers exposed to severe drought events. Additionally, we observe that, overall, approximately 39 per cent of these workers remained unemployed, leading to a partial reallocation failure. These effects are significant only for severe and extreme shocks, persist for at least 5 years, and are more pronounced among informal and female workers.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2023-12-19","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138770923","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Organic inputs can be effective in reversing soil degradation and improving crop yields, but are often underused in a developing country context. This study seeks to determine whether farmer field days (FFDs) are effective in disseminating information about novel organic inputs, and the extent to which they increase demand for these products. Using experimental auctions to measure willingness to pay (WTP) among smallholder farmers in Western Kenya, we find that those farmers exposed to information from FFDs related to biochar and vermicompost, novel organic inputs, have lower WTP for the products. We present evidence that this is likely driven by two factors in particular: changes in perceptions of input profitability and heterogeneity in yields across demonstration plots within field day sites.
{"title":"Show and tell: farmer field days and learning about inputs with heterogeneous yield effects","authors":"David M. A Murphy, Dries Roobroeck, David R Lee","doi":"10.1093/erae/jbad042","DOIUrl":"https://doi.org/10.1093/erae/jbad042","url":null,"abstract":"Organic inputs can be effective in reversing soil degradation and improving crop yields, but are often underused in a developing country context. This study seeks to determine whether farmer field days (FFDs) are effective in disseminating information about novel organic inputs, and the extent to which they increase demand for these products. Using experimental auctions to measure willingness to pay (WTP) among smallholder farmers in Western Kenya, we find that those farmers exposed to information from FFDs related to biochar and vermicompost, novel organic inputs, have lower WTP for the products. We present evidence that this is likely driven by two factors in particular: changes in perceptions of input profitability and heterogeneity in yields across demonstration plots within field day sites.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2023-12-18","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138740403","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Elin Martinsson, Helena Hansson, Klaus Mittenzwei, Hugo Storm
We present a novel procedure based on eco-efficiency for assessing farm-level effects of technology adoption while considering secondary effects. Secondary effects are defined as structural and behavioural adaptations to technology that may impact environmental, social or economic outcomes. We apply the procedure to automatic milking systems (AMS) in Norway and find that AMS induces secondary effects, most strongly by decreasing labour per cow and increasing herd sizes. For estimating effects of AMS we employ a novel causal machine learning approach. AMS induce heterogenous effects on eco-efficiency, negatively associated with herd expansion and labour per cow.
{"title":"Evaluating environmental effects of adopting automatic milking systems on Norwegian dairy farms","authors":"Elin Martinsson, Helena Hansson, Klaus Mittenzwei, Hugo Storm","doi":"10.1093/erae/jbad041","DOIUrl":"https://doi.org/10.1093/erae/jbad041","url":null,"abstract":"We present a novel procedure based on eco-efficiency for assessing farm-level effects of technology adoption while considering secondary effects. Secondary effects are defined as structural and behavioural adaptations to technology that may impact environmental, social or economic outcomes. We apply the procedure to automatic milking systems (AMS) in Norway and find that AMS induces secondary effects, most strongly by decreasing labour per cow and increasing herd sizes. For estimating effects of AMS we employ a novel causal machine learning approach. AMS induce heterogenous effects on eco-efficiency, negatively associated with herd expansion and labour per cow.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2023-12-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138679098","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Abebayehu Girma Geffersa, Martin Paul Jr Tabe-Ojong
This paper examines the relationship between smallholder commercialisation and rural household welfare. Employing a comprehensive three-wave panel dataset of smallholder maize farmers in Ethiopia, we find a positive association between commercialisation and household income which translates to wealth endowments through asset ownership and accumulation. We also show that commercialisation is associated with poverty reduction by reducing the prevalence of income poverty and the poverty gap. Deep diving into who benefits most from commercialisation, we find that agricultural commercialisation is inclusive and benefits all households. However, the greatest welfare gains accrue to income-poor households, suggesting some potential for reducing rural inequality. These insights support existing evidence that smallholder commercialisation is pro-poor and could be a significant entry point for stirring income growth and development in rural areas. Consequently, supporting poor and marginalised farmers with resources needed to boost agricultural production and commercialisation are relevant steps in the right direction of ensuring integrated rural development.
{"title":"Smallholder commercialisation and rural household welfare: panel data evidence from Ethiopia","authors":"Abebayehu Girma Geffersa, Martin Paul Jr Tabe-Ojong","doi":"10.1093/erae/jbad040","DOIUrl":"https://doi.org/10.1093/erae/jbad040","url":null,"abstract":"This paper examines the relationship between smallholder commercialisation and rural household welfare. Employing a comprehensive three-wave panel dataset of smallholder maize farmers in Ethiopia, we find a positive association between commercialisation and household income which translates to wealth endowments through asset ownership and accumulation. We also show that commercialisation is associated with poverty reduction by reducing the prevalence of income poverty and the poverty gap. Deep diving into who benefits most from commercialisation, we find that agricultural commercialisation is inclusive and benefits all households. However, the greatest welfare gains accrue to income-poor households, suggesting some potential for reducing rural inequality. These insights support existing evidence that smallholder commercialisation is pro-poor and could be a significant entry point for stirring income growth and development in rural areas. Consequently, supporting poor and marginalised farmers with resources needed to boost agricultural production and commercialisation are relevant steps in the right direction of ensuring integrated rural development.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2023-12-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138475665","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
This study utilises structural gravity models to examine the impact of globalisation on distance in agricultural and processed food trade, the relative effects of international distance and home bias effects. The results show that larger internal distances lower domestic sales. The home bias effect is substantially larger in agricultural commodities compared to processed agricultural commodities. Omitted variable bias is observed in friction variables when the relative intra-national distance and home market bias are excluded. After controlling for relative intra-national trade costs and the home bias effect, globalisation does not lead to a smaller impact of distance on trade. Substantial heterogeneity exists when analysing individual commodities.
{"title":"Globalisation and agri-food trade","authors":"Jeff Luckstead","doi":"10.1093/erae/jbad038","DOIUrl":"https://doi.org/10.1093/erae/jbad038","url":null,"abstract":"This study utilises structural gravity models to examine the impact of globalisation on distance in agricultural and processed food trade, the relative effects of international distance and home bias effects. The results show that larger internal distances lower domestic sales. The home bias effect is substantially larger in agricultural commodities compared to processed agricultural commodities. Omitted variable bias is observed in friction variables when the relative intra-national distance and home market bias are excluded. After controlling for relative intra-national trade costs and the home bias effect, globalisation does not lead to a smaller impact of distance on trade. Substantial heterogeneity exists when analysing individual commodities.","PeriodicalId":50476,"journal":{"name":"European Review of Agricultural Economics","volume":null,"pages":null},"PeriodicalIF":3.4,"publicationDate":"2023-11-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"138455284","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}