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    Scarpa, R

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    The value of collective reputation for environmentally-friendly production methods: The case of Val di Gresta

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    In this paper we investigate consumers' preferences for various environment-friendly production systems for carrots. We use discrete-choice multi-attribute stated-preference data to explore the effect of collective reputations from growers of an Alpine valley known for its environment-friendly production: Val di Gresta 'the valley of organic orchards'. Data analysis of the panel of discrete responses identifies unobserved taste heterogeneity for organic, bio-dynamic and place of origin, while observed heterogeneity for income is addressed by a piece-wise linear function. The implied sample distributions of individual-specific WTP for each of these random attributes are then compared. Results indicate that Integrated Pest Management is preferred to biodynamic as an emerging method. The presence of a premium for Val di Gresta produce is confirmed. The use of an experimental design to identify the relevant second order effects reveals the presence of a reputation effect which can be decomposed into a generic effect from place of origin and a specific one for each EFPMs. Farmers operating in geographically limited marginal areas, such as mountain valleys, may find it useful to invest in collective reputation through high quality standard to achieve higher returns. This strategy may compensate for the dwindling public support to farm income from EU programmes

    Using Flexible Taste Distributions to Value Collective Reputation for Environmentally Friendly Production Methods

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    "In this paper, we investigate consumer preferences for various environmentally friendly production systems for carrots. We use discrete choice multi-attribute stated preference data to explore the effect of the collective reputation of growers from an Alpine valley with an established reputation for its environmentally friendly production: Val di Gresta 'the valley of organic orchards.' Data analysis of the panel of discrete responses identifies unobserved taste heterogeneity for organic, biodynamic, and place of origin along with extra variance associated with experimentally designed alternatives. The assumed parametric taste distributions are each tested using the semi-nonparametric specification proposed by Fosgerau and Bierlaire, while the null of normality cannot be rejected for organic and biodynamic production methods, though it is for the place of origin. The latter is found to be bi-modal, with modes at each side of zero. The use of a flexible taste distribution increases the plausibility of this form of heterogeneity and it appears promising for future applied studies." Copyright (c)2008 Canadian Agricultural Economics Society.

    Valuing animal genetic resources: a choice modeling application to indigenous cattle in Kenya

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    In an effort to improve productivity and profits, many farmers have replaced traditional livestock breeds with higher yielding alternatives. While such changes may bring about short-term economic gains, the loss of traditional livestock breeds could result in the loss of an important genetic resource as a variety of important genetic traits adapted to local conditions gradually become less common in the population. This is a particular problem in Africa, where livestock make a substantial contribution to human livelihoods. Using the example of cattle in Kenya's pastoral livestock markets this study uses a choice experiment approach to investigate buyers' preferences for indigenous breeds such as the Maasai Zebu. The analysis employs a latent class approach to characterize heterogeneity in valuations both within and across respondents buying cattle for breeding, slaughter, or resale. The results show that there are at least three classes of buyers with distinct preferences for cattle traits and that most buyers favor exotic rather than indigenous breeds. Such preferences have implications for the conservation of indigenous cattle in Kenya and in other developing countries and suggest that some form of intervention may be required to ensure the preservation of this important animal genetic resource. Copyright 2008 International Association of Agricultural Economists.

    Benefit estimates for landscape improvements: sequential Bayesian design and respondents’ rationality in a choice experiment

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    A multi-attribute, stated-preference approach is used to value low and high impact actions on four major landscape components addressed by the Rural Environment Protection Scheme in Ireland. Several methodological issues are addressed: the use of prior beliefs on the relative magnitudes of parameters, standardized description of different levels of landscape improvements via image manipulation software, adoption of efficiency-increasing sequential experimental design, and sensitivity of benefit estimates to inclusion of responses from "irrational" respondents. Results suggest that Bayesian design updating delivers significant efficiency gains without loss in respondent efficiency, and estimates are upward-biased when irrational respondents are included

    Introduction and overview to the Special Issue on animal genetic resources

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    Introduction to the special issue on animal genetic resources and their valu
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