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doi: 10.1111/1477-9552.12568pmid: N/A
On retirement from the post of Editor in Chief of the JAE, it is appropriate that I offer some reflections on my editorship. First, I review the general performance of the journal over the period 2005‐2023, and conclude that the JAE has held its own amongst our peers though this is is largely due to our authors and reviewers, rather than the Editor. Second, I consider the subject matter and citation scores of our published papers over this period, as a reflection of the evolution of the state of the art of the Agricultural Economics profession. Here, I illustrate the increasing number and subject/method range of published papers, but raise some questions about what, exactly, citations really indicate. I conclude with some reflections on the challenges and opportunities for the profession.
doi: 10.1111/1477-9552.12567pmid: N/A
Basic economic logic, which often simplifies assessments and explanations of agricultural policy issues, is vitally important in communicating with policy‐makers. Resources are limited, and there is a premium on getting decisions at least approximately right first time. Examples from southern Africa illustrate the importance of parity pricing, and its links to household food security (Lesotho), price risk, the emergence of an agricultural futures market, and its central role in allocating scarce agricultural resources (South Africa). Insights derived from an appreciation of parity pricing are relevant in other national contexts and also help explain how international grain markets operate. The parity pricing concept provides a framework for sense‐checking complicated debates relating to two issues that have been prominent in recent years; first, whether and to what extent speculation in futures markets has been a driver of agricultural price spikes, and second, how far indirect land use change (ILUC), triggered by the use of agricultural feedstocks to produce renewable energy, is a material issue. These issues are likely to be of heightened importance in the face of climate change. Each emphasises that agricultural economics matters, and that it matters that we get the economics right.
Schulze, Christoph; Zagórska, Katarzyna; Häfner, Kati; Markiewicz, Olimpia; Czajkowski, Mikołaj; Matzdorf, Bettina
doi: 10.1111/1477-9552.12570pmid: N/A
Ensuring that farmers' ex ante preferences are accounted for is crucial for the design of effective agri‐environmental contracts. We present a systematic review of 127 discrete choice experiment (DCE) studies of farmers' preferences with respect to agri‐environmental contracts. DCE studies evaluate two central features of farmers' behaviour: (1) their willingness to accept land use prescriptions, such as fertiliser use, application of pesticides, restrictions on cropping, livestock management, integration of silvopasture, maintaining soil health or water use restrictions; and (2) their responses to variations in incentive and commitment criteria, such as reward schemes, monitoring regimes, technical assistance, flexibility of agreements, administrative burden and collaborative implementation. Our analysis considers how these different elements are interlinked and applied in experiments to simulate farmers' decision‐making processes. We examine recent methodological improvements in explaining farmer behaviour, including the accommodation of preference heterogeneity, the combining of discrete (enrolment) and continuous decisions, and the incorporation of farmers' sense of identity. DCEs have been applied for the ex ante analysis of different policy instruments to inform the European Common Agricultural Policy and agri‐environmental schemes outside the EU. The results of this systematic review may be useful in informing the future design of such agri‐environmental programmes. The database underpinning this systematic literature review may help peer scientists to (a) compare, validate and triangulate their own findings with respect to other experimental approaches, (b) use previous willingness‐to‐accept (WTA) measures as priors for their own study design, and (c) identify research gaps regarding farmers' preferences for agri‐environmental measures.
Thompson, Bethan; Leduc, Gaëlle; Manevska‐Tasevska, Gordana; Toma, Luiza; Hansson, Helena
doi: 10.1111/1477-9552.12545pmid: N/A
Understanding the factors associated with adoption of ecological farming practices is a well‐established topic of interest to agricultural economists. As the transition to more sustainable agriculture has become a policy priority for the European Union, broad and balanced reviews of this literature are important. We develop a systematic map of quantitative observational studies which describes the ecological practice(s) adopted, the frequency of inclusion and significance of a range of independent variables, and how the dependent variable is measured. We also conduct a quality assessment. We find that while socio‐demographic variables and farm structural variables are frequently included, they were insignificant more often than they were significant. For behavioural factors we find stronger evidence for the importance of cognitive or attitudinal variables compared to dispositional attitudinal variables. We also find a growing interest in social factors which will be valuable for researchers to explore further and reflect on the policy implications of our findings.
Hill, Berkeley; Bradley, Dylan
doi: 10.1111/1477-9552.12556pmid: N/A
Fifty years have passed since the Journal of Agricultural Economics published an article by Ruth Gasson on the goals and values of farmers in England. Gasson's research demonstrated the complexity of motives and, in particular, the importance farmers attached to the activities of farming (their intrinsic orientation), even among the operators of larger farms. Gasson's article has been widely cited as seminal by subsequent researchers on farmer behaviour. Governments have acknowledged the importance of understanding the motives of farm decision‐makers when explaining their responses to economic and policy signals and designing schemes to shape farmers' behaviour. Brexit and the creation of national agricultural policies for each constituent UK country have highlighted the need for this better understanding, though precisely how this information can be used remains difficult. The continued dominance of an intrinsic orientation is particularly important for policies encouraging retirement and for the agri‐environment. Gasson's legacy is also important in the quantification of goals and values to segment, and hence model, the heterogeneity of likely farmer responses to market and policy signals.
McCorriston, Steve; MacLaren, Donald
doi: 10.1111/1477-9552.12542pmid: N/A
Intermediaries play a crucial role in the functioning of agricultural and food markets in developing countries through linking production, imports and storage with consumption. We analyse how competition in the intermediary sector and alternative forms of intermediaries determine the incentives for storage and market outcomes more generally. We apply this framework to the Egyptian wheat sector as an illustrative case study, a country where food security is a priority, where both forms of intermediaries co‐exist and undertake storage but where issues of reforms to the role of intermediaries have been raised. Through stochastic simulation, we analyse two changes in government policy: first, the effects of changing the policy instruments with both types of intermediaries undertaking storage; second, relating to market reforms where the private sector replaces the storage function of the parastatal. These issues have wider significance for addressing the interaction between food security and a wide range of policy reforms including de‐regulation of parastatals in developing countries.
Negede, Betelhem M.; De Groote, Hugo; Minten, Bart; Voors, Maarten
doi: 10.1111/1477-9552.12546pmid: N/A
Seasonal price variability for cereals is two to three times higher in Africa than on the international reference market. Seasonality is even more pronounced when access to appropriate storage and opportunities for price arbitrage are limited. As smallholder farmers typically sell their production after harvest, when prices are low, this leads to lower incomes as well as higher food insecurity during the lean season, when prices are high. One solution to reduce seasonal stress is the use of improved storage technologies. Using data from a randomised controlled trial, in a major maize‐growing region of Western Ethiopia, we study the impact of hermetic bags, a technology that protects stored grain against insect pests, so that the grain can be stored longer. Despite considerable price seasonality—maize prices in the lean season are 36% higher than after harvesting—we find no evidence that hermetic bags improve welfare, except that access to these bags allowed for a marginally longer storage period of maize intended for sale by 2 weeks. But this did not translate into measurable welfare gains as we found no changes in any of our welfare outcome indicators. This ‘near‐null’ effect is due to the fact that maize storage losses in our study region are relatively lower than previous studies suggested—around 10% of the quantity stored—likely because of the widespread use of an alternative to protect maize during storage, for example a cheap but highly toxic fumigant. These findings are important for policies that seek to promote improved storage technologies in these settings.
doi: 10.1111/1477-9552.12548pmid: N/A
Seaborne shipping is the dominant mode of transport in international trade in agricultural products, and an increasing part of seaborne agricultural trade is carried in containers. Furthermore, the majority of world containers are moved through liner shipping services, that is, regular transport services provided by global shipping companies which comprise a dense network connecting ports and countries around the world. Using a theoretically consistent gravity equation and a novel identification strategy based on the use of intra‐national trade flows, this paper investigates the effect of liner shipping connectivity on international trade in agricultural products. The results show that liner shipping connectivity has a positive and statistically significative effect on agricultural trade. Moreover, this positive effect can be observed for the majority of the agricultural products analysed and is also identified for countries at different stages of development. These findings appear especially relevant in terms of the objective of increasing less developed countries' participation in global agricultural trade.
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