Ethanol subsidies, Who gets the benefits?

Agricultural and Food Policy, Resource /Energy Economics and Policy,

Ethanol Policy Analysis - What Have We Learned So Far?

Resource /Energy Economics and Policy, Q48, Q42,

Land Use Implications of Biofuel Production in the Presence of Idled Cropland and Crop Yield Improvement: Analytical and Numerical General Equilibrium Analyses

Labor and Human Capital,

Implications of the Biofuels Boom for the Global Livestock Industry: A Computable General Equilibrium Analysis

In this paper, we offer a general equilibrium analysis of the impacts of US and EU biofuel mandates for the global livestock sector. Our simulation boosts biofuel production in the US and EU from 2006 levels to mandated 2015 levels. We show that mandates will encourage crop production in both biofuel and non biofuel producing regions, while reducing livestock and livestock production in most regions of the world. The non-ruminant industry curtails its production more than other livestock industries. The numerical results suggest that the biofuel mandates reduce food production in most regions while they increase crude vegetable oils in almost all regions. Implementing biofuel mandates in the US and EU will increase croplands within the biofuel and non-biofuel producer regions. A large portion of this increase will be obtained from reduced grazing lands. The biofuel producing regions are expected to reduce their coarse grains exports and raise imports of oilseeds and vegetable oils. While all livestock industries use more biofuel byproducts in their animal feed rations, the dairy and other ruminant industry benefit most from the expansion of DDGS. We finally conclude that, while biofuel mandates have important consequences for the livestock industry, they do not harshly curtail these industries. This is largely due to the important role of byproducts in substituting for higher priced feedstuffs. In addition, with relatively inelastic food demands, producers are able to pass much of the price rise on to consumers. In general, US, EU, Meddle East & North Africa, and Russia will experience significant welfare loses due to the combined US and EU mandates, while Brazil, Japan, India, and East Asia are expected to get major gains.Biofuels, Livestock, Feed Ration, Biofuel Co-Product, Land Use, Livestock Production/Industries,

Sequential Sparsening by Successive Adaptation in Neural Populations

In the principal cells of the insect mushroom body, the Kenyon cells (KC), olfactory information is represented by a spatially and temporally sparse code. Each odor stimulus will activate only a small portion of neurons and each stimulus leads to only a short phasic response following stimulus onset irrespective of the actual duration of a constant stimulus. The mechanisms responsible for the sparse code in the KCs are yet unresolved. Here, we explore the role of the neuron-intrinsic mechanism of spike-frequency adaptation (SFA) in producing temporally sparse responses to sensory stimulation in higher processing stages. Our single neuron model is defined through a conductance-based integrate-and-fire neuron with spike-frequency adaptation [1]. We study a fully connected feed-forward network architecture in coarse analogy to the insect olfactory pathway. A first layer of ten neurons represents the projection neurons (PNs) of the antenna lobe. All PNs receive a step-like input from the olfactory receptor neurons, which was realized by independent Poisson processes. The second layer represents 100 KCs which converge onto ten neurons in the output layer which represents the population of mushroom body extrinsic neurons (ENs). Our simulation result matches with the experimental observations. In particular, intracellular recordings of PNs show a clear phasic-tonic response that outlasts the stimulus [2] while extracellular recordings from KCs in the locust express sharp transient responses [3]. We conclude that the neuron-intrinsic mechanism is can explain a progressive temporal response sparsening in the insect olfactory system. Further experimental work is needed to test this hypothesis empirically. [1] Muller et. al., Neural Comput, 19(11):2958-3010, 2007. [2] Assisi et. al., Nat Neurosci, 10(9):1176-1184, 2007. [3] Krofczik et. al. Front. Comput. Neurosci., 2(9), 2009.Comment: 5 pages, 2 figures, This manuscript was submitted for review to the Eighteenth Annual Computational Neuroscience Meeting CNS*2009 in Berlin and accepted for oral presentation at the meetin

How to Form the Knowledge that Marketers Need? An Approach for Marketers to SMEs

International audienceTraditionally, the formula for knowledge consists of belief and truth. The key challenge behind this is to understand how a marketer can benefit from this knowledge. Like the traditional Chinese saying, the reason a ship floats or sinks is the same, it is because of water. Similarly, the success or failure of a marketing campaign depends on knowledge. For a marketer, useful knowledge is the combination between the truth and the customer " s belief

Biofuels and their By-Products: Global Economic and Environmental Implications

The biofuel industry has been rapidly growing around the world in recent years. Several papers have used general equilibrium models and addressed the economy-wide and environmental consequences of producing biofuels at a large scale. They mainly argue that since biofuels are mostly produced from agricultural sources, their effects are largely felt in agricultural markets with major land use and environmental consequences. In this paper, we argue that virtually all of these studies have overstated the impact of liquid biofuels on agricultural markets due to the fact that they have ignored the role of by-products resulting from the production of biofuels. Feed by-products of the biofuel industry, such as Dried Distillers Grains with Solubles (DDGS) and biodiesel by-products (BDBP) such as soy and rapeseed meals, can be used in the livestock industry as substitutes for grains and oilseed meals used in this industry. Hence, their presence mitigates the price impacts of biofuel production on the livestock and food industries. The importance of incorporating by-products of biofuel production in economic models is well recognized by some partial equilibrium analyses of biofuel production. However, to date, this issue has not been tackled by those conducting CGE analysis of biofuels programs. Accordingly, this paper explicitly introduces DDGS and BDBP, the major by-products of grain based ethanol and biodiesel production processes, into a worldwide CGE model and analyzes the economic and environmental impacts of regional and international mandate policies designed to stimulate bioenergy production and use. We first explicitly introduce by-products of biofuel production into the GTAP-BIO database, originally developed by Taheripour et al. (2007). Then we explicitly bring in DDGS and BDBP into the Energy-Environmental version of the Global Trade Analysis Project (GTAP-E) model, originally developed by Burniaux and Truong (2002), and recently modified by McDougall and Golub (2007) and Birur, Hertel, and Tyner (2008). The structure of the GTAP-E model is redesigned to handle the production and consumption of biofuels and their by-products, in particular DDGS, across the world. Unlike many CGE models which are characterized by single product sectors, here grain based ethanol and DDGS jointly are produced by an industry, named EthanolC. The biodiesel industry also produces two products of biodiesel and BDBP jointly. This paper divides the world economy into 22 commodities, 20 industries, and 18 regions and then examines global impacts of the US Energy Independence and Security Act of 2007 and the European Union mandates for promoting biofuel production in the presence of by-products. We show that models with and without by-products demonstrate different portraits from the economic impacts of international biofuel mandates for the world economy in 2015. While both models demonstrate significant changes in the agricultural production pattern across the world, the model with by-products shows smaller changes in the production of cereal grains and larger changes for oilseeds products in the US and EU, and the reverse for Brazil. For example, the US production of cereal grains increases by 10.8% and 16.4% with and without by-products, respectively. The difference between these two numbers corresponds to 646 million bushels of corn. In the presence of by-products, prices change less due to the mandate policies. For example, the model with no by-products predicts that the price of cereal grains grows 22.7% in the US during the time period of 2006 to 2015. The corresponding number for the model with by-products is 14%. The model with no by-products predicts that the price of oilseeds increases by 62.5% in the EU during 2006-2015. In the presence of by-products, this price grows 56.4%. Finally, we show that incorporating DDGS into the model significantly changes the land use consequences of the biofuel mandate polices.Resource /Energy Economics and Policy, Environmental Economics and Policy,

Climate change interactions with agriculture, forestry sequestration, and food security

This is a working draft. Please do not cite