Agriculture Commons^™

Importance Of Good Communications For Generational Ag Business Transfers, Allan Vyhnalek

Cornhusker Economics

Adapted from Right Risk, volume 10, Issue 10, October 2022.

Effective communication within a farm or ranch family, especially when multiple generations are operating and managing the business, is the underpinning of all other decisions made in a family business. It is critical that farm and ranch families identify areas of contention and develop communication skills that will allow them to negotiate satisfying outcomes. This may involve basic skills training, including communication, problem solving, and decision making.

Value Of Gain On Winter Backgrounded Cattle, Elliott James Dennis

Center for Agricultural Profitability

Survey work from the University of Nebraska–Lincoln shows that producers can use a combination of price risk management and different lengths in their production system as a hedge against adverse price movements. Putting on weight during the winter and selling in March-April or selling in the late summer are the two common backgrounding production systems in Nebraska. Within these two systems, total weight gain can be influenced by the type of feed given. Table 1 shows group-level trial data for these two types of systems in Nebraska. Gain can either be fast or slow in either the winter stocking 2022-23 …

The Impact Of Low Stocks-To-Use Ratio And The Ukraine-Russia Conflict On The Distillers-To-Corn Price Ratio, Elliott James Dennis

Center for Agricultural Profitability

Distillers’ grains play an important role in both maintaining ethanol plant profit margins and providing affordable, nutritious feed to livestock feeding operations. Distillers’ grains are produced as necessary by-products of the fuel ethanol production process and therefore rely on an input grain – most commonly corn in the United States – and fuel ethanol in their production (USDA ERS 2021). As a result, the primary tenets of the supply structure in the distillers’ grains market In the United States are fuel ethanol and corn, while livestock operations in need of feed products comprise the majority of distillers’ grain demand structure.

Innovation In Futures Markets: Event Contracts, Speculation, And Hedging, Fabio Mattos

Cornhusker Economics

The CME Group has recently launched a new type of contract whose payoffs are based on specific events. These contracts are called event contracts but are also known as prediction contracts or information contracts. They are short-term contracts that expire at the end of each trading day. Traders can take positions in these contracts as they predict whether the price of a given asset will finish the trading day above or below a set value.

Discusses: How are they traded? Main characteristics of event contracts. Event contracts offered by CME group and event examples on October 21, 2022. Why were …

Historical Corn Price Evolution Implications For Pre-Harvest Hedging, Cory Walters, Richard K. Preston

Cornhusker Economics

Commodity markets evolve through information provided by participating buyers and sellers and throughout this process the conditions in which commodity markets work are revealed. Producer pre-harvest commodity marketing can be further developed by incorporating information on how commodity markets work, leading to better farm financial performance.

We investigate how commodity markets have historically evolved from spring to fall. While changes in future prices appear random in any given year, observing average daily prices over 32 years could uncover a seasonal tendency. In the past 32 years, the average daily price tends to be higher in the spring than the fall, …

New Cooperative Approaches: Successes And Opportunities, Charlotte Narjes

Cornhusker Economics

The National Cooperative Business Association CLUSA International states that there are 40,000 co-ops in the United States that range in size. Examples of cooperatives include the local Ace Hardware (purchasing cooperative) to Land O' Lakes. Cooperative businesses operate across virtually all industries, or sectors. The most common cooperative in Nebraska is the agricultural cooperative. According to the Nebraska Cooperative Council ag facts, in June 2020 there were 401 cooperatives located across the state providing jobs and services in many rural communities. In addition, there are over 64,400 farmers and ranchers that are voting members of Nebraska cooperatives with many members …

On The Market For "Lemons": When Low Quality Does Not Drive High Quality Out Of The Market, Konstantinos Giannakas, Murray E. Fulton

Cornhusker Economics

In a research article published in Nature's Humanities and Social Sciences Communications (available at https://www.nature.com/articles/s4l 599-020-00658-w) we identify the conditions under which the introduction of a low -quality product does not drive its high-quality counterpart out of the market but, instead, ends-up coexisting with it. Using a theoretical framework of heterogeneous consumers and producers in the context of a market for quality- ( or vertically-) differentiated products supplied by producers differing in their production efficiency, we show that the equilibrium quality configuration in a market depends on both the unobservability of product quality by consumers and the relative costs …

Don't Let The Past Sink Your Future, Timothy L. Meyer

Cornhusker Economics

Decision scientists have many algorithms for making decisions. These algorithms can be qualitative and subjective, such as following a 7-step process, to highly quantitative procedures like minimax regret, or linear programming. These techniques are very different from each other, but in one way they are very similar; they never, ever suggest the manager become emotional and use past decisions to guide the future.

Past decisions and events should guide decision-making. They help managers assign probabilities as well assessing performance. Viewing these events and situations as permanent paths is where sunk costs become problematic.

Includes discussions of four scenarios.

“Hadithi Ya Matunda”: The Informal Fruit Economy On Unguja Island: A Study Of The Livelihoods Of Smallholder Producers, Intermediaries, And Sellers, Daisy Kettle

Independent Study Project (ISP) Collection

This is the story of fruit on Unguja Island. It illuminates the livelihoods of farmers, intermediaries, and sellers and each of their roles in the island’s fruit commodity chain. Linkages between these actors are known to play increasingly important roles in agricultural economies across the world due to their ability to create “multiplier effects” through networks of non-farm income opportunities (Wineman, 2020). Through interviews with 19 Zanzibaris who work in this trade network, I learned about the intricacies of these networks. My data revealed that the fruit flow chain on Unguja creates a network of extensive backward and forward economic …

The Storm In World Fertilizer Markets Continues, John C. Beghin

Cornhusker Economics

This article updates the recent article on world fertilizer markets by Beghin and Nogueira (2021), which noted the perfect storm affecting global fertilizer markets through high demand, droughts affecting fertilizer supply, high fossil energy prices, COVID 19-related supply-chain disruptions, and trade policies, all conspiring to elevate fertilizer nominal prices to levels not seen since 2008. In the last 10 months, the Ukraine-Russia war and associated trade sanctions have exacerbated the disruptions in fossil energy, grain, vegetable oil, and fertilizer markets already present in 2021. On the more hopeful side, some United States trade policy developments will help reduce US fertilizer …

Setting The Stage For The Next Farm Bill Debate, Bradley D. Lubben

Cornhusker Economics

The 2018 Farm Bill is set to expire in September 2023. New farm bill legislation will be needed by then if authority is to be extended for a wide range of programs from farm support to conservation, nutrition assistance, credit, trade promotion, rural development, research and education, and more.

The agricultural committees in Congress have already held initial hearings and many agricultural and other interest groups have noted their policy priorities. However, formal debate on a new farm bill is not expected to begin in earnest until early 2023 when a new session of Congress convenes.

While the formal debate …

Disagreements And Proper Respect In Farm/Ranch Succession, Allan Vyhnalek

Cornhusker Economics

Adapted from "Does Disrespect Have a Place in Your Ag Legacy?" Volume 6, Issue 1, February 2021, Ag Legacy, by Caleb Carter, consultant to the Department of Agricultural and Applied Economics in the University of Wyoming College of Agriculture and Natural Resources.

Briefly covers disagreements and proper respect in farm/ranch succession.

Flexible Cropland Lease Arrangements Across Nebraska In 2022, Jim Jansen, Jeffrey Stokes

Cornhusker Economics

Survey results shown and discussed in this report are findings from the University of Nebraska-Lincoln's 2022 Nebraska Farm Real Estate Market Survey. Complete results from the survey may be found at the Nebraska Farm Real Estate website: http://cap.unl.edu/realestate.

Tensions Surrounding Us Beef Exports To China, Elliott James Dennis

Center for Agricultural Profitability

No abstract provided.

Improving Australia’S Containerised Grain Exports, Ross Kingwell, Scott Mckay, Peter White Dr

Research Reports

This report provides an overview of Australia’s containerised grain export supply chains and compares them to Australia’s bulk grain supply chains. The report outlines the main broad ways in which Australia’s containerised grain supply chains can be improved by investment, policy or regulatory change and education.

Western Australia's Bulk And Containerised Grain Exports In A National Context, Ross Kingwell, Dipesh Maharjan

Research Reports

This report describes containerised and bulk grain exports from Western Australia and all other main grain-producing Australian states. The types of grain, their export volumes and destinations, since 2011-12 until 2021-22 are described.

What Is The Value Of Ethanol To Nebraska Corn Producers?, Austin Harthoorn

Department of Agricultural Economics: Dissertations, Theses, and Student Research

In this thesis, we examine the role of local ethanol plants on net price received by Nebraskan corn growers, with net price comprised of the grain buyer’s bid onsite less the transportation cost incurred through delivery. As each farm operation is uniquely located between different sets of grain buyers, an ethanol plant impacts each grower’s net price to a different degree, depending on location. Exploring this, we use grain bid and transportation cost data based on actual ethanol plants, grain elevators, and sample farm locations in Nebraska, estimating the diversely located corn grower’s net prices received from surrounding grain buyers. …

Causal Forest Approach For Site-Specific Input Management Via On-Farm Precision Experimentation, Shunkei Kakimoto

Department of Agricultural Economics: Dissertations, Theses, and Student Research

Estimating site-specific crop yield response to changes to input (e.g., seed, fertilizer) management is a critical step in making economically optimal site-specific input management recommendations. Past studies have attempted to estimate yield response functions using various Machine Learning (ML) methods, including the Random Forest (RF), Boosted Random Forest (BRF), and Convolutional Neural Network (CNN) methods. This study proposes use of the Causal Forest (CF) model, which is one of the emerging ML methods that comprise “Causal Machine Learning.” Unlike previous yield-prediction-oriented ML methods, CF focuses strictly on estimating heterogeneous treatment effects (changes in yields that result from changes in input …

Use Of Livestock Risk Protection Insurance For Cattle Continues To Grow, Jay Parsons

Cornhusker Economics

When used as a regular part of a market risk management plan, livestock risk protection (LRP) insurance can help protect profits in years where markets turn for the worse. The recent changes to the program have made LRP insurance more appealing to cattle producers and sales of LRP have subsequently increased dramatically. Strong price increases may make LRP unnecessary, but it is difficult to predict when the price increases will end. LRP insurance is a safety net, reducing downside price risk by providing a floor on national price expectations while also allowing producers to take advantage of higher national prices …

Valuation Of Soil Health Ecosystem Services. Vermont Payment For Ecosystem Services Technical Research Report #5, Benjamin Timothy Dube, Alissa C. White, Taylor H. Ricketts, Heather M. Darby

UVM Extension Faculty Publications

In this report, we present estimates for ecosystem services from soil health using two approaches for four different services. One approach generates estimates based on soil-health practices, and the other approach is based on improvements in soil-health indicators. For soil- health practices, such as adopting best-management practices on annual corn, we utilize a set of off-the shelf empirical models widely used to estimate ecological functions on farm landscapes. For soil-health indicators, we make estimates by linking these tools with soil data and statistical models describing how soil-health parameters influence the interaction of soils with water and their environment. We provide …

Consumption Of Healthy And Unhealthy Foods By The African Poor: Evidence From Nigeria, Tanzania, And Uganda, Michael Dolislager, Lenis Saweda Liverpool-Tasie, Nicole Mason, Thomas Reardon, David Tschirley

Business Educator Scholarship

We use national Living Standards Measurement Study (LSMS) datasets from Nigeria, Tanzania, and Uganda to examine consumption by the rural and urban poor of “unhealthy foods” (including ultra-processed foods such as sweets and sugary beverages) versus “healthy foods” beyond starchy staples (such as vegetables, beans, animal products, and fruits). Consumption of processed foods and nonstaples is often associated in policy discussion in Africa with middle-class urban consumers rather than the poor. We analyzed household food consumption expenditure with Locally Weighted Scatterplot Smoothing (LOWESS) curves and augmented Engel regressions. We found that substantial shares of the consumption expenditure of the poor, …

Northeastern United States Maple Syrup Production And Economics: A 2019 Survey Of Producers, Mark Cannella, Christopher Lindgren, Mark Isselhardt

UVM Extension Faculty Publications

A survey of northeastern maple syrup producers was completed to explore factors of business scale, economic viability, organic production and the outlook for the maple crop in the coming years. Results from this survey demonstrate the wide range of hobby and commercial scales present within the maple producer community across the Northeastern United States. As the U.S. domestic maple syrup crop continues to grow the influence of different scales and types of business can shape local communities, national trends and future policy. Survey results offer insight into production yields, technology adoption, economics and business performance.

2020 Northeast Maple Business Benchmark, Mark Cannella, Christopher Lindgren

UVM Extension Faculty Publications

The 2020 production season began just as the Covid-19 pandemic was emerging across the United States. Most states quickly enacted “essential industry” provisions that enabled agricultural and forestry operations to remain active assuming their workers were healthy and willing to report to work. Lingering policy and regulatory issues faced maple producers in the coming months as the pandemic disruptions continued. While many businesses faced short term cash flow challenges the overall maple demand rebounded and exceeded expectations for growth by the end of 2020.

The 2020 Northeast Maple Business Benchmark report documents the eight year of financial record analysis for …

“Somos Un Pueblo Fumigado”: Un Análisis De La Lucha Contra La Fumigación Y Sistema De Agronegocios En La Provincia De Buenos Aires, Samuel Brooks

Independent Study Project (ISP) Collection

Esta investigación estudia el movimiento contra el sistema de monocultivo de soja transgénica, la fumigación con “agrotóxicos,” y los grandes agronegocios en la provincia de Buenos Aires. Con la información de tres entrevistas y una visita a un encuentro de habitantes de pueblos fumigados, examino los diferentes “marcos” que el movimiento tiene para describir las formas en que ellos expresan el problema actual, las soluciones que proponen, sus métodos para motivar a la gente, y la perspectiva del movimiento en general. También, incorporo perspectivas académicas para profundizar el análisis de las diferentes áreas de discurso en el movimiento y definir …

Drivers And Barriers Of The Transition To Regenerative Agriculture Within The Eu’S Common Agricultural Policy Reform: Comparative Analysis With The Us Farm Bill, Samantha Gish

Independent Study Project (ISP) Collection

In the wake of multiple crises, such as climate change and international conflict, there is increased urgency to ensure a stable food system. Additionally, changing priorities of citizens have fostered the desire for sustainable production of food. One innovative method of food production is regenerative agriculture and in this practice the main goals are to increase system resilience, improve soil and sequester carbon. This is done through practices such as no tilling, cover and intercropping, and incorporation of livestock into crop fields. Although great in theory, these practices go against traditional agricultural practices and therefore the policy currently in place …

The Design Of An Agricultural Youth-Centered Rural Development Program In Rwanda, Laetitia Igiraneza Sinyigenga

Honors Theses

Rwanda is primarily a rural, young, and agriculture-based country. The referred variables- agriculture, rural population, and youth- can be creatively merged to engage and empower youth for rural development. This paper indicates the utilization of cross-disciplinary knowledge to design an agricultural youth-centered rural development program in Rwanda. The program uses the interdependence of economic sectors (agriculture and education) with resources (environmental & natural resources and human resources) to boost rural community development. The program’s main activities- mentorship, agribusiness training, tutoring, exposure visits, and community work- highly reflect the requirement for advancing the selected main economic sectors and resources. There is …

Us Agricultural University Students' Mental Well-Being And Resilience During The First Wave Of Covid-19: Discordant Expectations And Experiences Across Genders, Mariah D. Ehmke, Bhagyashree Katare, Kristin Kiesel, Jason S. Bergtold, Jerrod M. Penn, Kathryn A. Boys

Faculty Publications

The coronavirus disease 2019 (COVID-19) pandemic's first wave led to declining mental health and life satisfaction outcomes for college students, especially women. While women in undergraduate agricultural programs outperformed men academically prior to and during the pandemic, the achievement may have come at personal cost, especially for those women with fewer personal and environmental resiliency resources. Our research objective was to expand on personal, social, and environmental factors linked with lower mental health and life satisfaction scores for students in agriculture during the pandemic. We measured the influence of such factors across gender-based mental health and life satisfaction outcomes. Our …

Conservation And Farm Viability On Vermont Medium And Large Farms, Mark P. Cannella, Anthony Kitsos

UVM Extension Faculty Publications

In winter 2021 a survey of Medium Farm Operations (MFO) and Large Farm Operations (LFO) was conducted in Vermont. The goal of this survey was to gather information on the economic situation across Vermont’s medium-to-larger farms, explore their adaptation to water quality regulations and to understand the next steps for farms moving forward. The survey was distributed to 143 MFO and LFO farm business owners through postal mail. Sixty-two useable surveys were analyzed resulting in a 44% response rate.

Results show that conservation practice adoption among MFO and LFO farms is high. The largest compliance factor this group of farms …

Inflation: Just How Bad Is It?, Timothy Meyer

Cornhusker Economics

Amidst the chaotic news cycle of politics, the pandemic, and global affairs, a new topic is making headlines – inflation. To some, rising inflation causes greater fear than the other headlines combined; to others, it is nothing more than a minor nuisance. This article will explain why people’s divisive attitudes toward inflation are likely justified.

The Online Ordering Behaviors Among Participants In The Oklahoma Women, Infants, And Children Program: A Cross-Sectional Analysis, Qi Zhang, Kayoung Park, Junzhou Zhang, Chuanyi Tang

Department of Marketing Faculty Scholarship and Creative Works

The Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) is a nutrition assistance program in the United States (U.S.). Participants in the program redeem their prescribed food benefits in WIC-authorized grocery stores. Online ordering is an innovative method being pilot-tested in some stores to facilitate WIC participants’ food benefit redemption, which has become especially important in the COVID-19 pandemic. The present research aimed to examine the online ordering (OO) behaviors among 726 WIC households who adopted WIC OO in a grocery chain, XYZ (anonymous) store, in Oklahoma (OK). These households represented approximately 5% of WIC households who redeemed …