Exchange Rates Impacts on Agricultural Inputs Prices using VAR

The effects of the U.S. dollar exchange rate versus the Mexican peso are evaluated for four traded nonfarm-produced inputs (fertilizer, chemicals, farm machinery, and feed) in the U.S. Unit root tests suggest that the exchange rate and the four input price ratios support the presence of unit roots with a trend model but the presence unit roots can be rejected in the first difference model. This result is consistent with a fixed price/flex price conceptual framework, with industrial prices more likely to be unresponsive to the exchange rate than farm commodity prices.exchange rate, pass-through, law of one price, SUR, VAR, Agribusiness, Financial Economics, International Relations/Trade, F14, F31, F36, F42, C23,

WELFARE DIFFERENCES BETWEEN GROSS WATER PUMPED AND CONSUMPTIVE USE AS ALTERNATIVE POLICY CONTROL VARIABLES TO MEET AQUIFER MANAGEMENT OBJECTIVES

The welfare cost of using gross water pumped instead of consumptive use as a control variable to meet consumptive use goal was estimated for Southwestern Nebraska. The results show that the widespread use of gross water as a policy control variable substantially overstates the welfare cost of reducing consumptive use.Resource /Energy Economics and Policy,

Does the WTO Increase Trade? The Case of U.S. Cocoa Imports from WTO-Member Producing Countries

Replaced with revised version of paper 06/08/2010.Gravity models, Exports, Market liberalization, Cocoa, Fixed Effects, Random Effects and Pooled Models, International Relations/Trade, F10, F13,

Increased Cocoa Bean Exports under Trade Liberalization: A Gravity Model Approach

Gravity models were developed to estimate the potential bilateral exports of cocoa under trade liberalization by the sixteen major cocoa producing countries to the US using panel data from 1989 to 2003. The results indicate that differences between resource endowment, relative size of economies, and the sum of bilateral GDP of U.S. and exporting countries are the major determinants. Thus, as trade is liberalized, farmers share of the world price of cocoa increases and this raises exports.Gravity models, Bilateral exports, Market liberalization, Cocoa, Fixed Effects Model, Random Effects Model, Pooled O.L.S., International Relations/Trade, Research Methods/ Statistical Methods, F10, F13,

Efficiency Measure in Nitrogen Management under U.S. Trade Induced Corn Production

The overall objective of this paper is to measure the impact of the undesirable outputs from NAFTA (agricultural production and trade) on the environment by years in post-NAFTA period. Data Envelopment Analysis (DEA) was used to measure environmental efficiency by considering desirable (corn production) and undesirable (nitrogen) outputs in fifteen states. DEA allowed us to measure the level of nitrogen pollution to be reduced by modeling undesirable output in efficiency evaluation. Data from 15 states (Colorado, Illinois, Iowa, Indiana, Kansas, Kentucky, Michigan, Minnesota, Missouri, Nebraska, North Carolina, Ohio, South Dakota, Texas and Wisconsin) on corn production, land use and nitrogen fertilizer from 1994-2008 (post-NAFTA) were considered. The results indicated environmental inefficiency, nitrogen pollution and land use inefficiency were increasing over the years in the post-NAFTA period.Data Envelopment Analysis, Environmental Efficiency, Nitrogen Pollution, NAFTA., International Relations/Trade,

An Analysis of Trends in Food Import Refusals in the United States

Millions of pounds of fresh fruits, vegetables, cut flowers, herbs, and other agricultural and food products enter the United States via commercial shipments from other countries every year. Although these items appear harmless, there could be hidden threats in that baggage and in those truckloads, trainloads, and containers of fresh and processed food items that could seriously threaten U.S. agriculture, its natural resources, and its economy (U.S. Customs and Border Protection 2007). Food imports play a major role in the success and competitiveness of various agribusiness firms in the United States. For example, food imports generate income, employment, output, and taxes and provide consumers with lower-priced products than those produced or purchased in the domestic markets. Food imports also provide consumers with a larger variety of products that normally would not be available to them, or that would be available in limited quantities and at higher than normal prices. Consequently, without food imports many U.S. food processing and manufacturing firms would be forced to reduce plant capacity, re-locate food processing and manufacturing facilities, or close plants altogether (Rosson 2000). Thus it is important that food imports that do not comply with U.S. standards be targeted, detected, and intercepted, thereby preventing the entry of those potential threats before they have the chance to do any harm to the U.S food system and its infrastructure.Agribusiness, International Relations/Trade,

BSE and the US Economy: Input-Output Model Perspective

The potential impact of a BSE outbreak on the US economy is modeled in input-output setting using 2002 US IMPLAN data. An outbreak of BSE would hurt the US beef industry, other agriculturally-related industry, and the rest of the economy as a whole. The worse effects occur in the beef cattle and farming industries. Generally, the economy of every county would be hurt given the fact that cattle are produced in all the 50 states. But it is apparent that the damage would be substantial in those regions and households which already suffer the severest economic damage.Livestock Production/Industries,

Measurements of Agricultural Productivity and Efficiency Gains from NAFTA

The primary objective of this study is to empirically determine whether North American Free Trade Agreement (NAFTA) has contributed to increased agricultural productivity in any of its member countries. Implementation of the NAFTA began on January 1, 1994. This agreement removed most barriers to trade and investment among the United States, Canada, and Mexico, in which all non-tariff barriers to agricultural trade between these countries were eliminated. Data Envelopment Analysis (DEA) and the Malmquist Productivity Index were used to estimate the total factor productivity change, technical change, and efficiency change of agricultural production for each NAFTA country. Then, using time series data, the efficiency changes in countries were compared to determine whether NAFTA has been beneficial to the agricultural sector of a member country. , Total factor productivity, technical change, and efficiency change of agricultural production in NAFTA countries were analyzed for the period 1980-2007, and then a comparison between pre- and post-NAFTA periods was also made. In the analysis, aggregate agricultural production was used as the output, and five variables were considered as the inputs, which included: land, labor, capital, fertilizer and livestock. The results revealed that the average annual total factor productivity increased by 1.6 percent during the 1980-2007 period for NAFTA countries, mainly coming from technical change. Total factor productivity did not change obviously during the pre-NAFTA period. In contrast, it increased by 2.7 percent due to technical improvements in post-NAFTA period. Consequently, it is noticeable that compared to the pre-NAFTA period, the countries especially Mexico performed better by achieving higher levels of productivity in agricultural production.Agricultural Efficiency, Data Envelopment Analysis, Malmquist Index, NAFTA, Total Factor Productivity, International Relations/Trade,

Agricultural intensification as a strategy for climate mitigation in Ghana

In Ghana, as in many other tropical landscapes of West Africa, the expansion of extensive low input agriculture has resulted in significant deforestation with concomitant loss of biodiversity and greenhouse gas emissions. Of the many crops grown in Ghana, cocoa has had the largest expansion in area extent and is a strategic crop for the country's development. The story of cocoa in Ghana in recent years is a tale of two very different expansion episodes—the first episode witnessed an increase in the area cultivated by smallholders using extensive cocoa technology and took place in the 90s; the second episode has consisted of intensive cocoa technology adoption by smallholders induced by policy actions and growing land pressures in the decade of the 00s. A case study of cocoa intensification and the Cocobod High Tech program was conducted by the Sustainable Tree Crops Program of IITA in 2011 to better understand the potential of the intensified perennial tree production systems as a potential tool for addressing rural poverty and climate change mitigation. The objectives of this study include: 1. Quantification of the factors underlying increased cocoa yields and incomes in Bia (Juabeso). 2. Estimation of the rates of deforestation post intensification and the area of deforestation and forest degradation mitigated because of the adoption of intensified land use systems. 3. Analysis of the institutions required for the sustainable intensification of cocoa farming systems. 4. Examination of the characteristics and predictors of households adopting the intensified production of cocoa. 5. Analysis of the economic and environmental tradeoffs between shaded and full sun cocoa

Acid Mine Drainage Potential of the Coral Snake Waste Dump, Anglogold Ashanti, Obuasi Mine

This paper assessed the Acid Mine Drainage (AMD) potential of the Coral Snake Waste Dump located close to the Enkansu and Kaw streams in Obuasi. Ten water and fifty rock samples were analysed for physico-chemical parameters. Acid Base Accounting (ABA) determinations using static methods were employed to ascertain AMD potential of the dump. The modified ABA and the High Temperature Combustion methods were used to determine the Neutralisation Potential (NP) and the Maximum Potential Acidity (MPA) of the various rocks at the dump. The Net Neutralisation Potential (NNP) and Neutralisation Potential Ratio (NPR) of the rocks were calculated from the values of the NP and MPA. The pH of the streams ranges between 7.09 and 7.81. As and Pb concentrations in the streams were above WHO limits for drinking water. The major constituents of the waste dump; phyllites and greywacke constituting about 75.0 % of rocks are not acid generating. The schist and oxide minerals have negative NNP and MPA implying that they are acid generating. However, quartzite analysis indicates they lie in the uncertainty zone. The results show that the Coral Snake Waste dump is not acid generating, although As and Pb levels in streams are issues of major concern