16,163,485 Works

Status-Quo-Bias and Voluntary Contributions: Can Lab Experiments Parallel Real World Outcomes for Generic Advertising?

Kent D. Messer, Harry M. Kaiser, William D. Schulze, Kent D. Messer, Harry M. Kaiser & William D. Schulze
Many commodities have programs assessing producers for generic advertising. Ads such as "Got Milk?" and the "Incredible Edible Egg" are a public good for producers. Most of these programs originally used the Voluntary Contribution Mechanism, but have now become mandatory because of free-riding. This research simulates both the economic and psychological details of the egg industry in experiments that produce strikingly realistic results. Because mandatory programs have recently been declared unconstitutional, we also the test...

The (Bargaining) Power of Incentives: Cooperatives, For-Profit Firms and the Cost of Procurement

Philippe Bontems, Murray E. Fulton, Philippe Bontems & Murray E. Fulton
In this paper, we show formally that cooperatives can possess an informational - and hence cost - advantage compared to For Profit Firms. This advantage is directly linked to the goal alignment between the cooperative and its members, and is influenced by the extent of income redistribution between members. Hence the standard practice of modeling the cooperative and the FPF as having identical cost structures appears to be theoretically unsound.

EXAMINING FOOD CONSUMPTION IN JAPAN UNDER LIFE-CYCLE HYPOTHESIS: IMPLICATION FROM CROSS-SECTIONAL DATA

Maurício Vaz Lobo Bittencourt, Ratapol P. Teratanavat, Wen S. Chern, Maurício Vaz Lobo Bittencourt, Ratapol P. Teratanavat & Wen S. Chern
This study estimates a cross-sectional model through a theoretically consistent Almost Ideal Demand System (AIDS) to examine the economic and demographic determinants of food consumption patterns in Japan over life-cycle periods. Results show key factors that explain such behavior, including family size, number of children, lifestyle and health concern.

COST EFFECTIVENESS OF NUTRIENT MANAGEMENT AND BUFFERS: COMPARISONS OF FOUR SPATIAL SCENARIOS

John G. Bonham, Darrell J. Bosch, James W. Pease, John G. Bonham, Darrell J. Bosch & James W. Pease
Policymakers are seeking cost effective methods to reduce nutrient pollution from agriculture. Predicted costs and pollution reductions from nutrient management and buffers are evaluated under four spatial scenarios describing a watershed. Results will help policymakers evaluate alternative Best Management Practices (BMPs) for water quality protection in agriculture.

FOREIGN DIRECT INVESTMENT BY EUROPEAN FOOD RETAILING FIRMS INTO ASIA, EASTERN EUROPE, AND LATIN AMERICA

Mariah D. Ehmke & Mariah D. Ehmke
This research determines significant characteristics that can be used to identify developing countries which are likely to receive foreign direct investment into their food retailing industry. It also tests the likelihood that a real option value exists for the investment and that there is a first-mover advantage into new markets.

DOES RURAL JOB GROWTH LEAD THE ECONOMY OUT OF RECESSION?

Alla A. Golub, Jason R. Henderson, Kenneth A. Foster, Alla A. Golub, Jason R. Henderson & Kenneth A. Foster
This paper explores the dynamics of rural and non-rural job growth to investigate if job growth starts in rural places, making it one of the leading indicators of economic growth. Empirical results provide mixed evidence. The mixed results of the Granger non-causality tests could be sensitive to the non-rural area definition. The relationship between rural job growth and non-rural job growth is not restricted to post-recession periods. Analysis of Bureau of Labor Statistics data suggests...

THE FARM DIVERSIFICATION DISCOUNT

Ani L. Katchova & Ani L. Katchova
This paper examines the effect of diversification on farm value by comparing values of diversified farms to a portfolio of comparable specialized farms. Using data from the Agricultural Resource Management Study, this study finds a diversification discount in agriculture similar to the discount found for corporate firms. The results show that diversified crop/livestock farms have a value loss of 5.8% in comparison with specialized crop or livestock farms for 1999-2001. Farms with commodity diversification have...

SUSSESSION IN AGRICULTURE: A PROBIT AND COMPETING RISK ANALYSIS

Thomas Glauben, Hendrik Tietje, Christoph R. Weiss, Thomas Glauben, Hendrik Tietje & Christoph R. Weiss
The present study examines family and farm characteristics affecting the choice and the timing of intergenerational farm transfers. Using survey data which are linked to accounting data for 272 farms in Northern Germany, we use a probit approach to examine whether specific farm and family characteristics are related to the likelihood of succession within a given period. We go beyond the existing literature by applying a competing risk approach to study the process and thus...

CONSUMERS' WILLINGNESS TO PAY FOR FOOD SAFETY: A PATHOGEN SPECIFIC ANALYSIS

Kaushik Mukhopadhaya, Bishwa B. Adhikari, Gerald A. Mumma, Mario F. Teisl, Kaushik Mukhopadhaya, Bishwa B. Adhikari, Gerald A. Mumma & Mario F. Teisl
Estimates of the economic benefits of intervention strategies to make food safer from specific pathogens for different durations of protection are not available. We estimated consumers' willingness to pay for a hypothetical vaccine that would deliver a 1-year, 5- years, 10-years, or lifetime protection against Salmonella, E. coli, or Listeria. We used logit and Tobit models to estimate the economic benefits of food safety measures against these major foodborne pathogens. Based on FoodNet 2002 population...

EXPLAINING COOPERATION IN MUNICIPAL SOLID WASTE MANAGEMENT

Kelly Tiller, Paul M. Jakus, Kelly Tiller & Paul M. Jakus
As traditional methods of municipal solid waste management (MSWM) become increasingly expensive due to increased regulation, many local governments are considering cooperation as a waste management strategy. A theoretical model is used to specify a partial observability probability model in which the decision Tennessee counties made to form either a single-county solid waste region or a multi-county region. We find that, while economies of scale may be a factor in the consolidation decision, current and...

ECONOMIC EFFICIENCY OF ALTERNATIVE BYCATCH-REDUCTION POLICIES AND BYCATCH REDUCTION DEVICES

Yong-Suhk Wui, Richard T. Woodward, Wade L. Griffin, Yong-Suhk Wui, Richard T. Woodward & Wade L. Griffin
This paper examines the ability of two new policies to reduce bycatch of red snapper by the shrimp fishery in the Gulf of Mexico: Fractional License and Fractional Gear Programs, as proposed by Townsend, reduce bycatch by reducing the effort levels of shrimp vessels. The policies are evaluated both theoretically and using a simulation model, and they are compared with the current regulatory policy requiring shrimp vessels to use bycatch reduction devices to rebuild red...

DISCRETE AND CONTINUOUS TIME MODELS FOR FARM CREDIT MIGRATION ANALYSIS

Xiaohui Deng, Cesar L. Escalante, Peter J. Barry, Yingzhuo Yu, Xiaohui Deng, Cesar L. Escalante, Peter J. Barry & Yingzhuo Yu
This paper introduces two continuous time models, i.e. time homogenous and non-homogenous Markov chain models, for analyzing farm credit migration as alternatives to the traditional discrete time model cohort method. Results illustrate that the two continuous time models provide more detailed, accurate and reliable estimates of farm credit migration rates than the discrete time model. Metric comparisons among the three transition matrices show that the imposition of the potentially unrealistic assumption of time homogeneity still...

CHINA'S INCOME DISTRIBUTION OVER TIME: REASONS FOR RISING INEQUALITY

Ximing Wu, Jeffrey M. Perloff, Ximing Wu & Jeffrey M. Perloff
We estimate China's rural, urban and overall income distributions using grouped data from 1985-2001. We show how the distributions evolve as well as examine trends in welfare indices. We find the growing rural-urban income gap and increases in inequality within either sector have been equally responsible for overall inequality growth.

ANALYZING VERTICAL MARKET STRUCTURE AND ITS IMPLICATIONS FOR TRADE LIBERALIZATION

Richard J. Sexton, Ian M. Sheldon, Steve McCorriston, Humei Wang, Richard J. Sexton, Ian M. Sheldon, Steve McCorriston & Humei Wang
A model is developed to characterize the vertically linked and concentrated nature of developed country food markets. This model is then parameterized and used to simulate the effects of varying food market structures on the benefits to developing country exporters of agricultural commodities from trade liberalization by developed countries.

REPLACING ASSETS UNDER ACCELERATED DEPRECIATION LAWS

Gregory A. Ibendahl, John D. Anderson, Gregory A. Ibendahl & John D. Anderson
The accelerated depreciation laws provide more revenue in earlier years of a new asset due to shielding of taxes. The laws seem designed to encourage farmers to purchase assets more often. This paper exams the optimal purchase period for a beef cattle farm buying replacement cows. While the accelerated depreciation laws do help farms, the optimal asset life is seldom shortened.

DEMAND FOR DIFFERENTIATED VEGETABLES

Steven T. Yen, Biing-Hwan Lin, James Michael Harris, Nicole Ballenger, Steven T. Yen, Biing-Hwan Lin, James Michael Harris & Nicole Ballenger
To obtain a healthier diet, Americans need to consume not only more vegetables, but also a healthier mix of vegetables. Household demands for eight categories of vegetables are investigated, using ACNielsen's Homescan data. A maximum simulated likelihood estimation procedure results in elasticity estimates which are somewhat larger than those obtained from both time-series and cross-section data in the literature. Even these larger elasticities are not large enough to bridge the dietary consumption gap without, and...

Monetary Policy Impacts on Cash Crop Coffee and Cocoa Using Structural Vector Error Correction Model

Ibrahim Bamba, Michael R. Reed, Ibrahim Bamba & Michael R. Reed
Coffee and cocoa are two agricultural commodities produced mainly in developing countries and exported almost entirely to high income industrialized countries. The international market for these products is marked by high price instability. This paper investigates whether monetary policy disturbances contribute to cocoa and coffee price instability. Monthly time series data were collected for five variables including agricultural prices, industrial prices, money supply, exchange rate, and interest rate. A Vector Error Correction model is used...

REGIONAL COMPETITIVE POSITION OF PORK INDUSTRY

Bishwa B. Adhikari, Stephen B. Harsh, Gerald Schwab, Bishwa B. Adhikari, Stephen B. Harsh & Gerald Schwab
In the recent past U.S. pork industry experienced geographical shifts in its production and processing. Some geographical areas have competitive advantages over the areas in raising pigs. Costs of raising pigs vary by type and size of operations, and other location specific factors. We used enterprise budgeting approach to estimate the profitability of representative feeder to finishing operations in different geographical regions in U.S. We obtained data from the United States Department of Agriculture databases,...

THE EFFECT OF CONTINGENT VALUATION FORMAT ON PRODUCERS' ROTATIONAL GRAZING ADOPTION RESPONSES

Seon-Ae Kim, Jeffrey M. Gillespie, Krishna P. Paudel, Seon-Ae Kim, Jeffrey M. Gillespie & Krishna P. Paudel
Contingent valuation survey was conducted to assess cattle producers' willingness to adopt rotational grazing. Both dichotomous and polychotomous formats were used. Analyses were conducted to assess the effect of the two formats on the adoption response. Limited evidence suggests that farmers answering under the dichotomous format would be less likely to adopt.

COLLECTIVE ACTION AND INFORMAL FINANCIAL INSTITUTIONS: AN EMPIRICAL ANALYSIS OF ROTATING AND SAVINGS CREDIT ASSOCIATIONS (ROSCAS) IN SENEGAL

Mohamadou L. Fadiga, Leslie A. Fadiga-Stewart, Mohamadou L. Fadiga & Leslie A. Fadiga-Stewart
This study analyzes how rotating savings and credit associations (ROSCAs) in Senegal were able to overcome the collective action dilemma, maintain institutional performance, and remain sustainable over time. This study models cooperation among members as well as the performance and sustainability of associations using data collected from field research conducted in Dakar, Senegal in 2001. The results show that factors such as homogeneity of individuals within an association, how long the association has existed, how...

DEMOGRAPHIC, ECONOMIC, AND POLITICAL DETERMINANTS OF LAND DEVELOPMENT IN THE U.S.

Scott R. Templeton & Scott R. Templeton
Two reduced-form, econometric models of developed land area were estimated with the data from the USDA's National Resource Inventory and numerous other sources for 49 states during 1982-1997. In these linear and semi-quadratic fixed-effects models, developed land area is smaller where the average real gas price or conservation- reserve-program payment per enrolled acre during the previous five years is higher. This area also decreases as the average share of lower-house Democrats or real per-capita agricultural...

CHINA'S ROLE IN WORLD COTTON AND TEXTILE MARKETS

Stephen MacDonald, Suwen Pan, Agapi Somwaru, Francis C. Tuan, Stephen MacDonald, Suwen Pan, Agapi Somwaru & Francis C. Tuan
The growth of China's textile industry has been one of the dominant factors shaping world cotton and textile markets in recent years. Since China's accession to the World Trade Organization (WTO) in December 2001, China's textile and apparel (T&A) exports have grown by more than 40 percent and China's cotton consumption has grown by 34 percent. By the end of 2003, China had nearly doubled its share of world T&A exports in less than a...

ECONOMIC BURDEN OF SALMONELLA INFECTIONS IN THE UNITED STATES

Bishwa B. Adhikari, Frederick Angulo, Martin Meltzer, Bishwa B. Adhikari, Frederick Angulo & Martin Meltzer
The aim of this study is to evaluate medical expenditures and lost productivity associated with burden of Salmonella infections. We used laboratory confirmed number of Salmonella cases and corresponding multipliers to estimate the burden of illness using the method adopted by Foodborne Diseases Active Surveillance Network (FoodNet) at Centers for Disease Control and Prevention (CDC). The medical costs estimates are retrospective analysis of reimbursement records from MarketScan data. We identified patients with a diagnosis of...

THE VALUE OF THE VIEW: VALUING SCENIC QUALITY USING CHOICE AND CONTINGENT VALUATION MODELS

Leah Greden Mathews, Susan B. Kask, Steve Stewart, Leah Greden Mathews, Susan B. Kask & Steve Stewart
Scenic beauty contributes to residents' quality of life and also serves to attract visitors to recreational areas. Because of the dynamic relationship between people, land, and rural development, there is an increasing interest in estimating the value of scenic quality using nonmarket valuation techniques. This study estimates the value of scenic quality to Blue Ridge Parkway visitors using choice and contingent valuation models. Results suggest that further research into respondent perceptions of CM and CVM...

BOOTSTRAPPING IN VECTOR AUTOREGRESSIONS: AN APPLICATION TO THE PORK SECTOR

Dwi Susanto, Hector O. Zapata, Gail L. Cramer, Dwi Susanto, Hector O. Zapata & Gail L. Cramer
Standard bootstrap method is used to generate confidence intervals (CIs) of impulse response functions of VAR and SVAR models in the pork sector. In the VAR model, the bootstrap method does not produce significant different results from Monte Carlo simulations. In the SVAR analysis, on the other hand, the bootstrap CIs are significantly different from Monte Carlo CIs after a six period forecast intervals. This suggests that the choice of method used to measure reliability...

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