Agricultural and Resource Economics Commons^™

North Central Risk Management Education Center, Beth A. Eberspacher

Cornhusker Economics

The North Central Risk Management Education Center has been providing program leadership and coordination for risk management education in the North Central Region since 2001. This region includes the following states: Kansas, Illinois, Indiana, Iowa, Michigan, Minnesota, Missouri, Nebraska, Ohio, North Dakota, South Dakota and Wisconsin. The North Central Center is one of four Risk Management Education Centers in the United States. The other three centers are located at the University of Delaware, Texas A&M University and Washington State University.

The Teeter Totter Factor In Community Development, Cheryl A. Burkhart-Kriesel

Cornhusker Economics

Think back to when you were on a playground as a child ... do you remember playing on a teeter totter? Ever try to find the balance point while the other person was on the opposite end? That took some skill! One slight move of the body by either you or your partner immediately set the board bouncing up and down. In Boomtown USA (2004), Jack Schultz uses the analogy of a teeter totter to illustrate his last key to big success in small towns. He describes it this way: It takes only a small shift one way or the …

Nama At National Marketing Competition In Kansas City, Melissa Williams, Matt Spilker

Cornhusker Economics

The National Agri-Marketing Association (NAMA) is comprised of over 25 chapters in six regions nationwide and has more than 3,500 professional and student members. NAMA professionals have a background in advertising, marketing, media or other areas of agribusiness. This year, members of the University of Nebraska–Lincoln chapter of the National Agri-Marketing Association (NAMA) had the chance to attend the National Marketing Competition held April 18-21 in Kansas City.

2005 Nebraska Farm Business Data, Tina N. Barrett

Cornhusker Economics

Following a year of climbing fuel prices, tough crop prices and average yields, I really didn’t expect to be reporting record high net farm income for the State of Nebraska, but that’s the news I have to report. Net Farm Income for 2005 was $83,095, up 5 percent over last year’s record high income. I was really surprised as the averages were coming in, but it didn’t take long to understand where the numbers were coming from.

Crop Revenue, Resource Contributions And Budgeted Rents, Roger Selley

Cornhusker Economics

In an earlier newsletter (March 15, 2006) steps were outlined for arriving at a crop share and cash rent. It was ‘argued’ that establishing the productivity of the rental property is fundamental. Once the size of the pie is determined, it can then be divided between the resources used to produce the crop. As illustrated in the March 15th newsletter, failure to value the contributions so they add up to the expected revenue will misrepresent the actual value of the contributions.

A New Tool For Analyzing Cooperative Equity Plans, Jeffrey S. Royer, Darrell R. Mark

Cornhusker Economics

A computer program designed to aid Nebraska cooperatives in making financial decisions will be released this month by University of Nebraska–Lincoln Extension. The NebCAST program will enable directors and managers of any cooperative to assess the effects of their equity management decisions on the organization and its members in a manner consistent with the decision-making processes cooperatives typically follow. NebCAST, which stands for University of Nebraska–Lincoln Extension Cooperative Analytical Simulation Tool, was developed by Darrell R. Mark, Jeffrey S. Royer, and Rik R. Smith of the UNL Department of Agricultural Economics.

The Pork Industry -- A Year Later, Allen Prosch

Cornhusker Economics

The only words for the pork industry in 2004, were “demand driven.” The industry had just put an annual record amount of pork on the market and received near record high prices for doing so. Demand for pork exports were at record levels and domestic demand was fueled by high protein diets.

Cropland Leasing, Bruce Johnson

Department of Agricultural Economics: Presentations, Working Papers, and Gray Literature

Contents:

Shift from Crop-share to Cash leasing over time

Incidence of Crop Share and Cash Leasing varies across the state

Nebraska Agricultural Statistical Districts

Cash Lease Rates for Cropland

Cash rent adjustments for non-irrigated corners and for shared irrigation equipment.

Do cash rents lead or lag cropland value trends?

Central Nebraska Center Pivot Irrigated Land: Cash Rental Rates & Values 1981-2006

Eastern Nebraska Center Pivot Irrigated Land: Cash Rental Rates & Values 1981-2006

Relation of Cash Leasing to Crop Share Leasing.

Today’s Crop Share Rent Negotiation Process

Western EcoFallow

Pasture Leasing, Bruce Johnson

Department of Agricultural Economics: Presentations, Working Papers, and Gray Literature

Contents:

Introduction
Nebraska Vegetative Zones
Grassland Table I Nebraska Department of Revenue
Grassland Table II Nebraska Department of Revenue
Grazing Land Leasing
Historical Cash Rental Rates For Cow- Calf Pairs for Major Grazing land Areas
Preliminary 2006 Cash Rental Rates For Major Grazing land Areas
Why variation in rates?
2006 County Rental Surveys
Where are pasture rates headed?
New factors to watch on the horizon

Cattle Lease Checklist, J. David Aiken

Cornhusker Economics

Some producers find it advantageous to lease their cattle to other producers either for cash or for a share of the calf crop. This may be in the course of ultimately transferring the herd — e.g., to a child or other new owner. It may also be used by a producer who has been forced to liquidate his/her herd and wishes to re-establish a new herd. This checklist has been adapted from Doye, Sahs & Coe, Breeding Livestock Lease Agreements, F-571 and Doye, Sahs & Coe, Stocker Livestock Lease Agreements, F-572 (Oklahoma Cooperative Extension Service).

Beef Export Verification Program For Japan, Mark Halstead, Darrell R. Mark

Cornhusker Economics

After regaining beef export trade with Japan in December 2005, export rule violations prompted Japan to reinstate its beef trade ban on January 20, 2006. While it is uncertain when trade will resume, it is incumbent upon the entire U.S. beef industry to understand the rules for beef export to Japan. These rules are established in USDA’s Beef Export Verification (BEV) Program for Japan. This BEV Program applies to companies, producers, feedlots, slaughterers and fabricators who supply beef and beef offal for export to Japan. Suppliers must comply with the specified product requirements under the USDA BEV Program for Japan …

Nebraska’S Agricultural Land Markets: Dynamic And Diverse, Bruce B. Johnson

Cornhusker Economics

Preliminary results for the 2006 University of Nebraska–Lincoln Nebraska Farm Real Estate Market Developments Survey show patterns of change and contrast. Overall, the average per-acre value of Nebraska farmland climbed 9.6 percent during the year ending February 1, 2006 (Figure 1 and Table 1). However, based on these preliminary findings, the annual changes across regions and types of land varied widely.

Crop Rental Rates, Roger Selley

Cornhusker Economics

One of the most frequently asked questions by landlords and tenants is, “Should we be adjusting our rental arrangement in response to the recent changes in costs (or returns)?” A related question is, “What are others in the area doing?” An implication of some of the questions asked is, “We should be doing something similar to our neighbors,” or at least, “what others are doing will provide guidance on what we should be doing.”

Nebraska Supreme Court Allows School Consolidation Law To Move Forward, J. David Aiken

Cornhusker Economics

On March 3, 2006 the Nebraska Supreme Court ruled that a district court’s order stopping the implementation of a 2005 school consolidation statute was in error. Pony Lake School District v. State Committee for Reorganization, 271 Neb. 173 (2006). The Supreme Court’s ruling paved the way for the mandatory June 15, 2006 termination of over 200 Class I School Districts pursuant to L.B. (Legislative Bill) 126, despite a November 7, 2006 voter referendum on LB126.

A Billion Dollars A Day, E. Wesley F. Peterson

Cornhusker Economics

Government subsidies for agriculture in the industrialized nations of North America, Western Europe and East Asia (Japan and South Korea) have been severely criticized by many commentators because of their negative impact on developing countries. (See, for example, “Protecting the French Farmer,” from the editorial page of the New York Times, December 8, 2005). Many have noted that these wealthy countries subsidize their farmers at the rate of a billion dollars a day and that the resulting overproduction depresses world prices to the detriment of low-income countries that depend on agricultural exports. Agricultural subsidies have been a major issue during …

Public Inputs And Dynamic Producer Behavior: Endogenous Growth In U.S. Agriculture, Lilyan E. Fulginiti, Alejandro Onofri

Department of Agricultural Economics: Faculty Publications

This paper is an attempt to understand the impact of public R&D and public infrastructure on the performance of the U.S. agricultural sector during the last part of the twentieth century. A neoclassical Solow growth model is not sufficient for this understanding given the sustained growth performance of the sector. We base our analysis on a well known endogenous growth model, the 'AK model' where nonconvexities are introduced through non-rival inputs. Based on these models and within the dynamic models that rationalize private and public decision making, we have identified three testable hypotheses regarding the aggregate agricultural production technology. They …

Cattle Cycles: Where Are We And Where Are We Headed?, Dillon Feuz

Cornhusker Economics

There are 97.1 million total head of cattle in the U.S. as of January 1, 2006. That is an increase of 1.78 percent over the 2005 value, and an increase of 2.33 percent over the 2004 value. The January 1, 2004 value marked the end of the prior cattle cycle and the start of a new cycle. The total number of beef cows that have calved is now at 33.3 million head, an increase of one percent over 2005. This marks the second year of herd growth and it appears that growth will continue in 2006; beef replacement heifers were …

Did He Say Switchgrass?, Richard K. Perrin

Cornhusker Economics

Yes, in his recent state of the union address, President Bush said, "We will also fund additional research in cutting-edge methods of producing ethanol, not just from corn but from wood chips and stalks or switchgrass. Our goal is to make this new kind of ethanol practical and competitive within six years."

Managing An Agricultural Business In A Risky Environment, H. Douglas Jose

Cornhusker Economics

What is Risk? Risk is a possible adverse event that has the potential to interfere with a business entity’s financial stability or its ability to achieve its mission. Risk can also have a positive outcome. Srategic planning is the process of selecting the plan that will overcome the possible negative impact and convert risks into opportunities.

Recreational Liability Bill Killed, J. David Aiken

Cornhusker Economics

Years of low commodity prices have encouraged farmers to consider adding alternative enterprises to their operation in order to improve farm income. Some farmers and ranchers have turned to community agriculture or “pick your own” operations (including organic agricultural production), and encourage customers to tour the farm when purchasing produce. Other operators have started a fee hunting enterprise. Still others have started a “pumpkin patch” type operation where visitors enjoy a variety of farm and outdoor amusements for a fee. While Nebraska law exempts landowners from recreational liability where no use fee is charged, landowners may be liable for injuries …

Strategic Labeling And Trade Of Gmos, Luc Veyssiere, Konstantinos Giannakas

Department of Agricultural Economics: Faculty Publications

The emergence of agricultural biotechnology and the subsequent introduction of genetically modified organisms (GMOs) into the food system have been among the most controversial issues surrounding the increasingly scrutinized agri-food system. They have received considerable attention in the economics literature with the main focus being on the optimal regulatory response to products of biotechnology. This paper builds on the literature on the regulation of products of biotechnology by placing the analysis of labeling decisions in a multi-country context. Specifically, the objective of this study is to examine the effect of the strategic interdependence between countries on their regulatory responses to …

Agri-Tourism: Family Style, David J. Goeller

Cornhusker Economics

Many farm and ranch families are considering adding agri-tourism as a way to supplement income or to provide increased profits needed to bring a younger family member back into the business. Agri-tourism however, is NOT for everyone. Dealing with the public, being available “on demand” and providing a service requires a completely different skill set than traditional farming and ranching.

Bill Proposes Changes To Fence Viewer Statutes, J. David Aiken

Cornhusker Economics

In Nebraska, if I want to make a neighbor pay for part of a division fence, I can ask him or her to do so. If they refuse, I can request fence viewers to determine how much of the division fence each neighbor should pay for. I can also build the fence myself and assume full responsibility for the costs of construction and maintenance. Ideally, neighbors should have a written agreement (filed with the land deeds) identifying how the costs of building and maintaining the fence will be shared. But written fence agreements are rare.

Nebraska’S Participation In Global Food And Agricultural Marketing, Neil H. Donovan

Cornhusker Economics

Nebraska is one of the leading agricultural producing states in the country, and the Nebraska Department of Agriculture is highly committed to ensuring that the state maintains its leadership position. Within the Department, the Division of Agricultural Promotions and Development assists agricultural producers and value-added companies in identifying target markets, coordinating trade missions and sponsoring outreach projects to market Nebraska products abroad. The Division utilizes funds available from USDA’s Foreign Agricultural Service along with membership in MIATCO (Mid-America International Agri-Trade Council), USMEF (United States Meat Export Federation) and USLGE (United States Livestock Genetic Exports) who also provide financial support and …

The Hog Industry In 2005, Al Prosch

Cornhusker Economics

The hog industry enjoyed a remarkable year in 2005. The USDA, December 1st Hog and Pig Report estimated the market herd at 100.3 percent, breeding herd at 100.7 percent, and total herd at 100.4 percent of December 1, 2004 numbers. For the third year in a row, producers increased production while receiving profitable prices.

Science-Based Organic Farming 2006: Toward Local And Secure Food Systems, Charles A. Francis, Katja Koehler-Cole, Twyla Hansen, Peter Skelton

Publications from the Center for Applied Rural Innovation (CARI)

Organic farming includes growing food and fiber—animals, agronomic crops, horticultural fruits and vegetables, related products—as one dynamic and rapidly evolving component of our complex U.S. food system. Even as more farmers are moving toward organic certification and participation in an environmentally sound and economically lucrative market, questions arise about the long-term social impacts and sustainability of a set of practices that has gone from a movement to an industry. Consolidations in the organic trade have brought multinational corporations to the table, as they have observed a grassroots activity that has grown by 20% per year for the past two decades, …

Hydrologically-Connected Ground Water, Section 858, And The Spear T Ranch Decision, J. David Aiken

Department of Agricultural Economics: Faculty Publications

This 2006 Nebraska Law Review articles analyzies the 2005 Nebraska Supreme Court decision of Spear T Ranch v. Knaub in which the court adopts section 858 of the the Restatement of Torts (2d) as the judicial rule for resolving conflicts between competing users of surface water and hydrologically-connected ground water.

Developing And Extending Sustainable Agriculture: A New Social Contract, Michele Schoeneberger, Gary Bentrup, Charles A. Francis, Richard Straight

United States Department of Agriculture, Forest Service / University of Nebraska-Lincoln: Faculty Publications

Conclusions

Based on the practical community applications of woody buffe rs and multifuncti onal areas that grew from the ini tial concepts ofecobelts. we are convinced that this type of initiative is a viable option in establishing a positive interface between different types of human activities. The challenge becomes more real every day, as cities expand and both city-edge subdivisions and acreages create ever more interfaces between people with different and often con!1icting activities and basic values. There is a need to provide some logical and acceptable boundary between these people and their different lifestyles. It is also desirable to …

Federal Court Invalidates Initiative 300, J. David Aiken

Cornhusker Economics

On December 15, 2005, the U.S. District Court for Nebraska (Judge Camp) ruled that Article 12 Section 8 of the Nebraska Constitution, popularly known as Initiative 300, violated federal law. The court ruled that I300, which regulates corporate farming, violated the Interstate Commerce Clause and the Americans with Disabilities Act.

Tourism: The Cinderella Stepchild Of Economic Development?, Cheryl A. Burkhart-Kriesel

Cornhusker Economics

When most people think about the economic engines that drive the state of Nebraska, agriculture and manufacturing almost always come to mind. But did you know that tourism is ranked #3 in dollars generated into the state economy?