University of Minnesota, Duluth

AgEcon Search: Research in Agricultural and Applied Economics
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    Drought Vulnerability Assessment to Inform Grazing Practices on Rangelands in Southeast Arizona and Southwest New Mexico’s Major Land Resource Area 41

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    Increased climate variability, including more frequent and intense drought, is projected for the southwestern region of the United States. Increased temperatures and reduced precipitation lower soil water availability, resulting in decreased plant productivity and altered species composition, which may affect forage quality and quantity. Reduced forage quality and increased heat stress attributable to warmer temperatures could lead to decreased livestock performance in this system, which is extensively used for livestock grazing. Mitigating the effects of increasing drought is critical to social and ecological stability in the region. Reduced stocking rates and/or a change in livestock breeds and/or grazing practices are general recommendations that could be implemented to cope with increased climatic stress. Ecological Sites (ESs) and their associated state-and-transition models (STMs) are tools to help land managers implement and evaluate responses to disturbances. The projected change in climate will vary depending upon geographic location. Vulnerability assessments and adaptation strategies are necessary at the local level to inform local management decisions and help to ameliorate the effects of climate change on rangelands. The USDA Southwest Climate Hub and the Natural Resources Conservation Service (NRCS) worked together to produce this drought vulnerability assessment at the Major Land Resource Area (MLRA) level: it is based on ESs/STMs that will help landowners and government agencies to identify and develop adaptation options for drought on rangelands. The assessment illustrates how site-specific information can be used to help minimize the effects of drought on rangelands and to support informed decision-making for selecting management adaptations within MLRA 41

    Implementation of family governance in a transportation company in the interior of São Paulo.

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    Family businesses exhibit significant mortality rates, with the founder's succession process being crucial for their survival. Unlike publicly traded companies, succession in a family business involves changes in the family, ownership, and business dimensions. The use of governance mechanisms in this process is useful to help separate the roles of each individual and to formalize discussion forums for each of these dimensions. However, due to limited resources, it is often necessary to prioritize the implementation of certain mechanisms. Given this context, the objective of this work was to understand the importance of each family governance mechanism in the succession process. To this end, a case study was conducted in a transportation company that implemented three of the four main family governance mechanisms cited in the literature. Through interviews, document analysis, and based on observations of a board of directors meeting, the perceived importance of each family governance mechanism by shareholders, family members, and employees was evaluated. The executive board and the board of directors were identified as the most important mechanisms, while the shareholders' council and the family council become relevant in certain situations and for specific groups. Therefore, it is recommended to prioritize the implementation of the executive board and the board of directors over the other family governance mechanisms

    The Agricultural, Scientific, and Economic Basis for Low-Cost Protein Foods

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    Excerpts: It is my intention to describe what we are doing now to meet protein needs in ways which do not drain the world's limited calorie supplies; to describe the role of the market place in determining the potential of new protein foods; and to state tentative goals of our efforts. I will examine the inter-relationship of calories to proteins and try to derive there from an idea of the role of non-calorie, non-agricultural resources in making the most of our existing calorie resources. And finally, because this is a meeting on Single-Cell Protein, I should comment on factors which may affect future demand for single cell protein. The program which I shall describe has two aspects: the first, immediate, perhaps temporary, is an effort to reach the poorest people. This calls for fortification of cereals to increase the impact of their protein content. The second calls for long-range, permanent development of new protein foods. This second program, which may require in its early stages some modicum of government support, is primarily market-oriented. The new food products must succeed in the market place as viable foods. This is true regardless of the country, its politics, or its economic system; no new food can succeed unless it is willingly supported by the population who must spend from its own resources

    Logistics and Services in the Sri Lankan Economy

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    This chapter examines the growth and performance of Sri Lankan services and logistics, and highlights the policy reforms needed to raise their productivity. The chapter commences with a broad overview of the services sector, which is followed by an investigation of one of its most important components, the logistics subsector

    Next-Generation Biofuels: Near-Term Challenges and Implications for Agriculture

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    Next-generation U.S. biofuel capacity should reach about 88 million gallons in 2010, thanks in large measure to one plant becoming commercially operational in 2010, using noncellulosic animal fat to produce green diesel. U.S. production capacity for cellulosic biofuels is estimated to be 10 million gallons for 2010, much less than the 100 million gallons originally mandated for use by the 2007 Energy Independence and Security Act. In early 2010, the Environmental Protection Agency lowered the cellulosic biofuel mandate to 6.5 million gallons, more in line with production prospects. Even so, expansion of next-generation fuels will have to be rapid to meet subsequent annual mandates and the longer-term goal of 16 billion gallons for cellulosic biofuel use by 2022. Near-term sector challenges include reducing high capital and production costs, acquiring financial resources for precommercial development, and developing new biomass supply arrangements, many of which will be with U.S. farmers. Overcoming the constraints of ethanol’s current 10-percent blending limit with gasoline, or expanding E85 markets, would improve prospects for cellulosic ethanol. An alternative is production of green gasoline and green diesel, biobased fuels equivalent to fossil fuels that could be used in unlimited volumes with existing vehicles and in the existing fuel distribution system

    Farm characteristics and exogenous factors influencing the choice to buy land in Italy

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    Access to land is one of the key factors of farm growth. However, related research is characterised by important gaps, in particular, facing the change over time in the nature and role of drivers of the land market. The objective of this paper is to identify the endogenous and exogenous factors that affect the decision to purchase land in Italy between 2013 and 2020. Five probit regression models were implemented to understand the role of a set of different determinants in land investment decision. The results show that factors related to capital in machinery and plant, energy production and the presence of a successor or young farmer are endogenous factors that positively influence the purchase decision. The ratio of rented land to utilised agricultural area and of family work units to total work units are endogenous factors that negatively affect the purchase decision. Exogenous factors related to the cost of capital and inflation rate affect the purchase of land in an opposite way, negatively and positively respectively. The role of Utilised Agricultural Area and Value Added per hectare varies depending on the specialisation considered. The research can support policymakers in designing policies to promote the survival and growth of farms, as well as to facilitate land investment by reducing barriers to land acquisition

    Do economic performance and innovation have a relationship? Evidence from Operational Groups in the Italian agri-food sector

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    This study aims to investigate the potential mutual interdependence between an environment that fosters and encourages innovation and the economic performance of agricultural businesses operating in the sector. Specifically, it seeks to determine whether the economic performance of farms in regions with established Operational Groups (OGs) is better than that of farms located in regions where OGs have not yet been implemented, using the European Innovation Partnership for Agricultural Productivity and Sustainability (EIP-AGRI). We combine data on OGs collected from the Innovarurale website, with financial information from the ORBIS database for the period 2013-2022, to assess farm performance. Our estimation strategy employs three staggered difference-in-differences models and an event-study to validate the parallel trends assumption. The results show a positive association between the presence of OGs in a region and an improved economic performance. Our findings suggest that the diffusion of innovation tends to be related to the characteristics of the local economic environment, which should be a critical factor in future policy discussions

    Enabling technologies in citrus farming: A living lab approach to agroecology and sustainable water resource management

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    This study examines the role of enabling technologies in the agroecological transition, focusing on sustainable water management in citrus farming through the participatory approach of a Living Lab in the Inner Area of Calatino in Sicily. The analysis is based on a comparison of two citrus farms: one equipped with advanced digital tools (sensors, decision support systems, and real-time monitoring), and one with a traditional management approach. Through the joint application of economic analysis, Monte Carlo simulation and sensitivity analysis, it was possible to estimate the effects of technology adoption. Findings reveal that enabling technologies reduce water consumption by 33%, increase yield per hectare by 16%, and boost net profit by 25% (+€2,780/ha), enhancing resource efficiency and lowering operational costs. Additionally, the Living Lab facilitated knowledge transfer, fostered collaboration, and mitigated resistance to innovation, highlighting the need for targeted training and institutional support to promote broader adoption. These results provide valuable insights for policymakers and stakeholders, demonstrating how digital solutions can drive sustainability, economic viability, and resilience in agriculture, but also for farmers, providing operational tools to improve farm efficiency and profitability

    The potential of digital agriculture start-ups to reshape market dynamics in the ag-input industry: A case study from Argentina

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    Agri-food global value chains (GVCs) face growing pressure to enhance productivity and environmental sustainability, with technological innovation playing a critical role. In this context, start-ups have emerged as key innovation developers. This study provides a qualitative, exploratory analysis of the technological characteristics of 114 digital agriculture (DA) start-ups in Argentina. We have characterized their solutions and proposed implications for the industrial dynamics in agricultural input markets. Our analysis implies that most DA innovations tend to be complementary to existing technological packages rather than being disruptive. While these start-ups introduce innovative solutions, they currently seem to hold limited capacity to challenge the market dominance of large multinational agricultural input firms. By exploring the intersection of innovation and market structures, this study provides valuable insights into the evolving industrial dynamics of ag-input markets in agri-food GVCs. The findings offer strategic implications for start-ups, incumbents, and policymakers

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