Agricultural Economics Commons^™

Nitrogen Application Decision-Making Under Climate Risk In The U.S. Corn Belt, Benjamin M. Gramig, Raymond Massey, Seong Do Yun

Department of Agricultural Economics Faculty Publications

Nitrogen fertilizer is one of the most important inputs to corn production and farmers manage their crop by deciding how much to apply, when to apply it and how to apply it to maximize their yields and resulting profit. There is risk inherent in crop fertility manage- ment because once nitrogen is applied to the soil it is no longer immobile and cropland is subject to loss of this costly input under different weather conditions. Days suitable for field work, a farm’s machinery set, and weather conditions determine when field prepara- tion and planting activities are completed each year. This …

A County Level Analysis Of 2014 Farm Bill Commodity Payments, Seth Cole Boone

Open Access Theses

United States commodity policy was subject to a large transition in how the federal government supports agricultural producers when the 2014 Farm Bill was passed in February of 2014. The new programs are the Agricultural Risk Coverage (ARC) and the Price Loss Coverage (PLC) programs. Methods used by the federal government to distribute farm income support have evolved from constant decoupled payments into programs that respond to agricultural market fluctuations, delivering payments that are inversely related to market performance.

The United States has a long history of government programs directly and indirectly supporting farmers and their income, dating back to …

Food Security Crop Price Transmission And Formation In Nigeria, Patrick L. Hatzenbuehler

Open Access Dissertations

The three studies in this dissertation explore the current conditions and operations of markets for seven key food security crops (cassava, cowpeas, maize, millet, rice, sorghum, and yams) in Nigeria.

Chapter 2 is an empirical analysis of the current agricultural statistics system in Nigeria. A number of sources gather and report agricultural statistics for the country. Since there has not been an agricultural census implemented there for multiple decades, however, there is no objective source for data verification. Therefore, this study uses two additional types of “on the ground information” to assess if agricultural production estimates reflect growing conditions: prices …

Mergers And Acquisitions In Food And Agribusiness: Returns, Drivers, And Long Run Performance, Josiah M. Ringelberg

Open Access Theses

Food and agribusiness in the U.S is a dynamic and ever changing business. The industry has seen booms and busts, considerable consolidation, and continued globalization in the past few decades. Businesses operating within its sectors have had to demonstrate flexibility and adaptability as the industry’s landscape consolidates at the consumer, supplier, and producer level. One strategy companies have used to grow and position themselves throughout years of industry consolidation has been merger and acquisition (M&A) transactions.

During the eleven years from 1985 and 1995, the food industry was listed in the top 10 M&A most active industries ten times. It …

The Effect Of Climate Change On The Economics Of Conservation Tillage: A Study Based On Field Experiments In Indiana, Whitney Hodde

Open Access Theses

This study evaluates the economics of conservation tillage (chisel till and no till) and examines how climate change will likely affect it. We use data from long-term experimental plots in Indiana to estimate how corn and soybean yields respond to weather patterns under alternative tillage practices. Yield functions are coupled with random draws of weather variables to construct distributions describing the probability that conservation tillage will result in higher profits than more intensive tillage, under current and future climatic regimes. Results suggest that, in our study area, projected climate change will make conservation tillage more attractive.

Irrigation Adoption, Groundwater Demand And Policy In The U.S. Corn Belt, 2040-2070, Molly A. Van Dop

Open Access Theses

Climate change across the U.S. Corn Belt will significantly increase precipitation variability and temperatures by midcentury. Corn and soybean producers will seek to find strategies that may help to mitigate the potentially negative effects on yield. The adoption of irrigation technology has increased over the last several decades to improve yields in areas with insufficient rainfall, and is currently being adopted by producers who are choosing to minimize risk due to weather variability. To see if this trend in irrigation adoption has the potential to expand in the wake of climate change, this study uses weather data from four General …

The Labor Market Consequences Of Endogenous Low-Skill Migration With A Market-Based Immigration Policy, German A. Marquez Alcala

Open Access Theses

The undocumented migration of Mexican nationals to the U.S. is largely influenced by labor demand in low-skill sectors. The legal migration channels available to Mexican nationals with little education are based on family petitions and subject to visa quotas which are dwarfed by the demand for entry to the United States; visa approval can take upwards of 20 years for a Mexican national with little education and few resources. Thus, undocumented immigration is a more responsive unskilled labor distribution mechanism than the existing quota-based immigration policy. However, the restrictive legal migration channels and increased costs of undocumented migration are stifling …

Three Essays Analyzing The Role Of Social Capital On Individual And Firm Decision Making, Ariana P Torres Bravo

Open Access Dissertations

The following dissertation is comprised of three essays that focus on different mechanisms on which social capital influences firm and entrepreneur behavior. All three essays use different econometric techniques to account for endogenous variables.

Essay 1: Are Local Market Relationships Trumping Organic Certification? The Case of Small and Medium Fruit and Vegetable Farmers. This article investigates how an organic fruit and vegetable farmer’s choice to use direct-to-consumer market channels impacts his/her decision to be certified organic. First, we model the decision to be certified organic as a conditionally independent decision from the farmer’s chosen market channels. Second, we estimate …

Trade And Agriculture Policy Options To Improve The Wheat Subsector In Afghanistan, Ghulam Hazrat Halimi

Open Access Dissertations

In Afghanistan wheat availability is important for national food security as it is the key staple food, accounting for over half of calorie intake. The country has imported on average 32% of its wheat consumption over the period 2000-2015, primarily from Pakistan and Kazakhstan. Since domestic production is volatile, consumer well-being depends on access to international markets.

Pakistan, a key supplier of wheat and flour to Afghanistan, has not been a reliable source for Afghanistan to meet its wheat deficit. Pakistan subsidizes and stabilizes its wheat production, and this benefited Afghan consumers before 2008. Pakistan restricted wheat and flour exports …

Economic And Environmental Impacts Of A Hypothetical Global Gmo Ban, Harrison H. Mahaffey

Open Access Theses

The objective of this research is to assess the global economic and greenhouse gas emission impacts of GMO crops. This is done by modeling two counterfactual scenarios and evaluating them apart and in combination. The first scenario models the impact of a global GMO ban. The second scenario models the impact of increased GMO penetration. The focus is on the price and welfare impacts, and land use change greenhouse gas (GHG) emissions associated with GMO technologies. Much of the prior work on the economic impacts of GMO technology has relied on a combination of partial equilibrium analysis and econometric techniques. …

Investigating U.S. Resident Perceptions Of Corporate Social Responsibility In Food And Agriculture, Carissa Jae Morgan

Open Access Theses

Corporations are prioritizing corporate social responsibility (CSR) activities by investing in and actively promoting their social practices. In the U.S. of the modern food supply chain creates a unique challenge for corporations to address concerns about social issues of consumers and non-consumers alike. This study is motivated by the need to better understand individuals’ perceptions of CSR as it pertains to the food supply chain. In April 2015 an online survey collected information from 1,201 U.S. residents with the objective of investigating individuals’ perceptions of relative importance of eight prominent CSR areas relevant to food and agriculture. Demographic, household consumption, …

Evaluation Of Negative Energy And Mineral Balance In Periparturient Holstein-Friesian Cattle, Ameer Ahmed Abdelhameed

Open Access Dissertations

Most cows experience a state of negative energy and mineral balance during the periparturient period. This imbalance is a major problem in the dairy industry and it is more frequently seen in multiparous cattle due to their high milk production. A large amount of fat and protein is mobilized in order to address the energy deficit during the periparturient period. The ability to accurately monitor energetics and electrolytes status using accurate, rapid, and low cost point-of-care instruments will assist in optimizing animal health and productivity.

This dissertation contains three studies that evaluated point-of-care instruments for measuring blood and plasma glucose, …

U.S. Farm Capital Investment 1996--2013: Differences By Farm Size And Operator Primary Occupation, Sarah Stutzman

Open Access Dissertations

This study analyzes U.S. farm level investment in machinery, equipment and structures between 1996-2013. A synthetic panel is constructed using annual cross-sectional farm level observations from the Agricultural Resource Management Survey (ARMS). Cohorts are formed by grouping farms into similar categories based upon farm production type, region and farm typology. This methodology allows the use of fixed effects to control for cohort specific and time-invariant similarities in investment levels, addresses non-investment in a single period by using cohort average investment rates, and allows links between investment levels and other key determinants across cohorts over time.

Within farm typologies, farms are …

Behavioral Responses And Policy Evaluation: Revisiting Water And Fuel Policies, Shanxia Sun

Open Access Dissertations

In my dissertation, I examine how policies regulating agricultural production and clean technology impact the environment. I focus on policies affecting water depletion, water pollution, and fuel consumption. I assess their cost-effectiveness by modeling and quantifying the behavioral responses of farmers and households.

My first essay focuses on decreasing groundwater depletion through increasing irrigation efficiency in Mexico. I quantify the impacts of different sources of inefficiency on groundwater extraction, and I evaluate the effectiveness of alternative policies that aim to reduce the over-extraction of groundwater. I find that mechanisms of electricity cost-sharing implemented in many wells have a sizable impact …

Evaluation Of Two Non-Destructive Methods For Estimating Biomass In A Prairie, Arnoldas Pivorius, Laura Ploughe, Jeff Dukes

The Summer Undergraduate Research Fellowship (SURF) Symposium

The estimation of above ground biomass is important in managing natural resources, like assessing habitat conditions. Direct, destructive measurements by clipping, drying, and weighing plant matter is time consuming and labor intensive. It is of interest to develop non-invasive methods to complement or replace direct vegetation harvest. Two non-invasive methods were evaluated, light penetration and visual obstruction, in the Purdue Wildlife Area prairie. Light penetration in the grassland plots were measured using a Decagon light stick (LP-80), 5 cm from the ground and above the plants. Estimation of visual obstruction was done using a Robel pole, which focuses on the …

Subsidizing Carbon Sequestration Via Forestry In Maryland: A Cost-Benefit Assessment, Rachel C. Hettich

Open Access Theses

Carbon sequestration by forestry is one way to mitigate climate change, and policy incentives are in place to encourage private investment in forestry. State and federal forestry cost-share programs subsidize the establishment of trees and the improvement of existing forested land. The objective of this research was to determine the effectiveness of such programs in Maryland and to compare the monetized benefits from permanently sequestered carbon with the current subsidies. To meet this objective, private and social cost-benefit analyses were conducted for three forestry investment scenarios in Maryland that coincide with the main cost-share programs available there. Sensitivity analysis considered …

Market Participation And Profitability Of Cotton Production In Malawi, Daniel M. Ghambi

Open Access Theses

Cotton is traditionally a cash crop for smallholder farmers in Malawi, supporting more than 100,000 families. According to the government of Malawi, the cotton sector is a key element in poverty reduction and growth strategy. ^ In the market liberalized economy, the functioning of the market plays a major role in the allocation of resources for increased productivity. This paper investigates the impacts of cotton subsidy and marketing reforms on farm productivity, a key element for poverty alleviation, in rural Malawi. ^ The main objective of this study is to explore whether changes in market participation coupled with government policies …

Fuel Choice, Acute Respiratory Infection And Child Growth In Uganda, Onyekachi U. Aghasili

Open Access Theses

This thesis seeks to explain the relationship between a household's choice of fuel and the health and nutrition outcomes of children below the age of 5 in Uganda. The first objective is to examine the association between the choice of fuel and the incidence of acute respiratory infection (ARI). The second objective is to measure the relationship between choice of fuel, ARI and nutrition outcomes of children. ^ I use data from the 2006 and 2011 Uganda Demographic and Health Surveys (UDHS). The total number of observations is 4,463. Data indicate that 94% of rural households in the DHS sample …

International Comparison Of Cost Efficiency Of Corn And Soybean Production, Elizabeth Anne Lunik

Open Access Theses

Comparing detailed production costs and input use across countries allows producers to see if they are competitive with similar operations in other countries. This thesis looks at the cost efficiency of a sample of corn and soybean farms representing 16 countries to understand efficiency and cost trends at the farm-level, compare these farms, and identify factors that might explain farm-level performance. This analysis delves into detailed production data to calculate an important international benchmark, which is currently not available. ^ The data consist of a six-year (2008-2013) unbalanced panel of 35 corn-producing farms and 16 soybean-producing farms, which come from …

Stages Of Succession Planning And Factors Of Transferring Management And Ownership For The Family Agribusiness, Ryan D. Musselman

Open Access Theses

Although many family business owners want to maintain family control of the business for future generations, few businesses survive across generations. Neglecting to plan an entry and exit strategy for family members are just two factors that explains why more businesses don't succeed in transferring the business to the next generation in the family. Ordered Probit models and Probit models were used to discover factors that influence the process of family business transfer of management and ownership. Data came from a survey of 736 businesses in four Midwest states. ^ Four factors were found to be correlated with the transition …

Are Cover Crops Worth It? It Depends, Joshua S. Leirer

Open Access Theses

Society is becoming increasingly more aware of the environmental consequences of agricultural production. Farmers today are under increasing pressure to adopt more sustainable farm management practices. One method to improve the sustainability of crop production is the use of cover crops. Cover crops are planted "off-season" to provide agronomic and environmental benefits. The objective of this research is to quantify the impacts of cover crops and determine where and under which management practices cover crops provide the greatest benefit. Management practices include different crop rotations, tillage practices and residue removal rates. This paper will focus on soil erosion, nitrate leaching …

Tracking Sales Activities In Agribusiness, Jiayu Li

Open Access Theses

Decisions in the sales area, including customer and product selection and margin discipline, shape profits for companies in agribusiness. Management of the sales function takes place at the organizational, managerial, and practitioner level, each of which requires data about the process. Individual salespeople benefit from better knowledge of customers (Dixon & Adamson, 2011), and sales managers benefit from understanding the activities of salespeople. Organizationally, data on sales activities may be used to determine progress toward organizational goals or to compensate salespeople. ^ This research utilized surveys to investigate how agribusiness companies differ in the ways they keep track of sales …

Does A Family-First Philosophy Affect Family Business Profitability? An Analysis Of Family Businesses In The Midwest, Maria Victoria Iglesias

Open Access Theses

Previous family business literature has analyzed how various management strategies or family tension has impacted profit. However, profit can vary due to the different family values and goals placed on the firm. The purpose of this study was to investigate how the business philosophy of a family business influenced profit. The present study sought to examine how the family business' philosophy, as in if they have a family-first or business-first orientation, influences profit. This study also investigates how the distribution of the business to the next generation, as well as how hiring family members who may not have the qualifications …

Communication, Home Bias And Social Capital, Sharon Raszap Skorbiansky

Open Access Dissertations

This dissertation consists of three essays on the effects of communication, home bias and social capital. The first study analyzes three different laboratory treatments that determine if policies that introduce and improve communication are beneficial to a market. The control treatment has no communication. Then, two different types of communication mechanisms are introduced: cheap communication, where subjects are able to lie, and truthful communication, where only honest messages may be sent. The results demonstrate that truthful communication dramatically improves subjects' ability to trade efficiently, ultimately leading to higher social surplus and lower income inequalities. Cheap communication does not produce the …

Modeling, Empirics And Policy Implications Of Firm Heterogeneity In International Trade, Zeynep Akgul

Open Access Dissertations

Computable General Equilibrium (CGE) models are essential computational tools for trade policy analysis. While traditional CGE models based on the Armington assumption of national product differentiation have been successfully applied to various policy scenarios, they also have significant limitations in explaining the firm-level information prevalent in the recent international trade literature. The pioneering work of Melitz (2003) has provided a firm heterogeneity theory that can help address the shortcomings of Armington-based CGE models by introducing additional productivity mechanisms and extensive margin effects. Incorporation of firm heterogeneity in mainstream CGE models offers great potential to improve computational policy analysis. Even though …

Job Mobility Among Young College Graduates, Kevin Camp

Open Access Theses

This study focuses on the question of whether job mobility relates to improved labor market outcomes among young college-educated individuals in the United States. I analyze unemployment duration, overeducation, and wage earnings among college graduates. The analysis centers around three specific questions: (1) Are there differences in labor market outcomes for those who migrate ("movers") and those who stay ("stayers")? (2) Did the recent economic crisis exacerbate the mover-stayer differences? (3) Do mover-stayer differences vary for individuals based on their demographic characteristics or where they live? I examine data on migrant status, location before and after a move, reasons for …

Uncertainty, Irreversibility, And Investment In Secondgeneration Biofuels, Tanner Joseph Mccarty

Open Access Theses

The present study formalizes and quantifies the importance of uncertainty for investment in a corn-stover based cellulosic biofuel plant. Using a real options model we recover prices of gasoline that would trigger entry into the market and calculate the portion of that entry trigger price required to cover cost and the portion that corresponds to risk premium. We then discuss the effect of managerial flexibility on the entry risk premium and the prices of gasoline that would trigger mothballing, reactivation, and exit. Results show that the risk premium required by plants to enter the second-generation biofuel market is likely to …

Profit-Maximizing Responses To Climate Change In Commodity Agriculture: Does Adaptation Matter?, Sajeev Erangu Purath Mohankumar

Open Access Theses

Accumulation of greenhouse gases in the atmosphere has led to rising temperatures, and is expected to lead to a change in climate. Crop yields are vulnerable to these changes. Adaptation is expected to be key to combating climate change impacts, but the effectiveness of adaptation strategies is not well understood. Hence, there is a need to assess the impacts of climate change on agriculture and devise profitable adaptation strategies to combat its effects. This study uses historical and three projected climate data sets to simulate yields using the crop model Daycent, empirical relationships between weather and agronomic variables that influence …

Producer Perceptions Of Their Use Of Time And Various Areas Of Risk In Their Business, Kendra Marie Hedge

Open Access Theses

Agribusinesses rely on producers choosing their products and services for the success of their business. Agribusinesses can use information regarding how producers rate the importance of certain areas of risk and what takes most of the producers' time to offer specific services to different segments of producers to better meet their needs. An ordered logit model and a multinomial logit model are used to determine factors significant to producers' use of time and importance of various areas of risk. The producers are then segmented into groups based on their risk perceptions. From this research, agribusinesses can recognize that different types …

Quality And Safety Attributes Of Sun-Dried Raisins From Afghanistan, Stacy A. Mccoy

Open Access Theses

Raisins are an important export commodity for Afghanistan, however, Afghan packers are challenged to export to markets seeking high quality products due to limited knowledge regarding their quality and safety. To evaluate this, Afghan raisin samples from pre-, semi-, and post-processed raisins were obtained from a raisin packer in Kabul, Afghanistan. The raisins were analyzed and compared to U.S. standards for processed raisins. The samples tested did not meet U.S. import standards for embedded sand, but the process used to clean the raisins is suitable to maintain food safety standards.

Previous Afghan raisin shipments have been rejected from the U.S. …