Metropolitan agriculture is not homogeneous. This paper delves beneath metropolitan county averages using data on individual farms in the Northeast classified into three statistically distinct types. A small group of adaptive farms profit from intensive production on smaller acreage to accommodate themselves to the urban environment. Traditional farms have increased costs and pressures on their more extensive operations without compensating increases in revenue from better-adapted enterprises. A large group of recreational farms subsidize small-farm activities from nonfarm income. Operating characteristics of each farm type are presented and their importance to metropolitan agriculture is assessed. Implications for preserving farming and farmland in the Northeast are drawn.

We use data from hypothetical and nonhypothetical choice-based conjoint analysis to estimate willingness to pay for local food products. The survey was administered to three groups: consumers from a buying club with experience with local and grass-fed production markets, a random sample of Maryland residents, and shoppers at a nonspecialty Maryland supermarket. We find that random-sample and supermarket shoppers are willing to pay a premium for local products but view local and grass-fed production as substitutes. Conversely, buying-club members are less willing to pay for local production than the other groups but do not conflate local and grass-fed production.

A large and growing body of literature has studied consumer willingness to pay (WTP) for local foods in the United States. However, these studies implicitly assume that consumers perceive local foods to have superior quality than nonlocal foods. Little is known about WTP for local foods when taking into account differences in consumer perception of food quality between local and nonlocal foods. In this article, we conduct an economic experiment to assess the effect of locally grown information on consumer WTP and quality perceptions of three broccoli varieties (one commercial variety grown in California and two newly developed local varieties). Our results show that consumers rate both the appearance and the taste of the two local broccoli varieties lower than the California variety when evaluating food quality blindly. However, consumers’ evaluations of the two local varieties improve substantially after being told the two varieties are locally grown. Results also indicate that consumers are willing to pay a price premium for the two local varieties after being told that they are locally grown. Our results provide evidence that locally grown information has a positive effect on both consumer WTP and quality perception of local foods.

This study examines the effects of a wife's participation in the labor force and other socioeconomic factors on family expenditures for prepared food, food prepared at home, and food away from home using the Bureau of Labor Statistics 1992 consumer expenditure survey. On the one hand, results indicate that the number of children, home ownership with mortgage, seasonality, region, wife's age, and income are important determinants of expenditures on food prepared at home. A wife's education and participation in the labor force, on the other hand, affect expenditures on prepared food and food away from home. The impact of both these factors is greater on food away from home than on prepared food expenditures.

As demand and supply of organic produce has increased, it has become possible to distinguish between the many individuals that express a preference for organic and the share of their purchases that is organically produced. This study examines the share of a consumer's produce purchases that are organic, and how that is influenced by economic factors, environmental and health motivations, and demographic characteristics. Results from a model of organic preference are compared to those from a model of organic buying proportions. Buying proportion models are also estimated separately for those that preferred organic and those that preferred conventional produce. A limitation in this study is that it evaluates stated buying proportions rather than actual purchases.

A conceptual bioeconomic framework that integrates dynamic epidemiological-economic processes was designed to analyze the effects of invasive species introduction on decision making in a livestock sector (e.g., production and feeding). The framework integrates an epidemiological model, a dynamic livestock production model, domestic consumption, and international trade. The integrated approach captures producer and consumer responses and welfare outcomes of livestock disease outbreaks, as well as alternative invasive species management policies. Scenarios of foot-and-mouth disease are simulated to demonstrate the usefulness of the framework in facilitating invasive species policy design.

The Internet may reduce constraints on a farmer's ability to receive and manage information, regardless of where the farm is located or when the information is used. Using a count data estimation procedure, this study attempts to examine the key farm, operator, regional, and household characteristics that influence the number of Internet applications used by farm households. Findings indicate that educational level of the farm operator, farm size, farm diversification, off-farm income, off-farm investments, and regional location of the farm have a significant impact on the number of Internet applications used.

Policies to mitigate greenhouse gas emissions are likely to increase energy prices. Higher energy prices raise farmer costs for diesel and other fuels, irrigation water, farm chemicals, and grain drying. Simultaneously, renewable energy options become more attractive to agricultural producers. We consider both of these impacts, estimating the economic and environmental consequences of higher energy prices on U.S. agriculture. To do this we employ a price-endogenous agricultural sector model and solve that model for a range of carbon-tax-based energy price changes. Our results show mostly positive impacts on net farm income in the intermediate run. Through market price adjustments, fossil fuel costs are largely passed on to consumers. Additional farm revenue arises from the production of biofuels when carbon taxes reach $30 per ton of carbon or more. Positive environmental benefits include not only greenhouse gas emission offsets but also reduced levels of nitrogen leaching.

Reducing costs of controlling nonpoint source (NPS) pollution will be a high public priority in the next century. Compliance and transaction costs of reducing nitrogen runoff from dairies in the Lower Susquehanna Watershed by 40% are estimated for perfectly targeted and uniform performance standards. The perfectly targeted standard reduces compliance and transaction costs by almost 75% compared with the uniform standard. Future NPS control policies should use spatial information to target policy resources to priority concerns, areas, and farms. Further research is needed to lower the costs and increase the accuracy of spatial information.

This study assesses the potential interaction between climate change and agricultural trade policies. We distinguish between two dimensions of agricultural trade policy: market insulation and subsidy levels. Building on the previous work of Tsigas, Frisvold and Kuhn (1997) we find that, in the presence of current levels of agricultural subsidies, increased price transmission—as called for under the Uruguay Round Agreement on Agriculture—reduces global welfare in the wake of climate change. This is due to the positive correlation between productivity changes and current levels of agricultural support. Increases in subsidized output under climate change tend to exacerbate inefficiencies in the global agricultural economy in the absence of market insulation. However, once agricultural subsidies have also been eliminated, price transmission via the global trading system contributes positively to economic adaptation under climate change.

This study examines consumer preferences for three socially responsible products: minimal-pesticide strawberries, fair-trade bananas, and milk from pasture-fed cows. In-person survey data were collected in four states. Understanding preferences for these characteristics is difficult because they may appeal to different individuals depending on their personal attitudes and values. To address this issue, health, environmental and other attitudes are measured based on survey questions. Responses to these questions are used to produce explanatory factor scores. Stated preference models, both with and without factor scores, are estimated to evaluate the relative strengths of consumer preferences and motivations to purchase these products.

In developing countries across the globe the impact of livestock on deforestation levels has been profound. This paper explores the role of the cattle industry in household decision making for small landholders in the Brazilian Amazon. Important inquiries raised in the literature are addressed, including the determinants of the co-evolution of deforestation and cattle herds, the possibility of production specialization, and the role of cattle in household livelihoods. Panel data suggest that households have changed focus from crop production to cattle. Empirical models reveal that location, wealth, and education are among the important determinants of production decisions and cattle accumulation. Policy recommendations include a focus on the cattle sector coupled with initiatives to establish and enforce protected areas.

The cost-effectiveness of total maximum daily load (TMDL) programs depends heavily on program design. We develop an optimization framework to evaluate design choices for the TMDL for the Potomac River, a Chesapeake Bay sub-basin. Scenario results suggest that policies inhibiting nutrient trading or offsets between point and nonpoint sources increase compliance costs markedly and reduce ecosystem service co-benefits relative to a least-cost solution. Key decision tradeoffs highlighted by the analysis include whether agricultural production should be exchanged for low-cost pollution abatement and other environmental benefits and whether lower compliance costs and higher co-benefits provide adequate compensation for lower certainty of water-quality outcomes.

We study consumers’ motivations for buying organic food by analyzing their shopping baskets. Buying organic can be motivated by concern about sustainable development and/or self-interest (considerations related to health or product quality). Pro-social motivation is inferred from the presence of fair trade products in the consumer's basket; consumer self-interest is deduced from the presence of healthy and higher-quality products bearing special quality labels or certifications. Our results indicate that environmental motivation predicts organic food purchases better than health or quality considerations: the complementarity between organic and fair trade products is strongest. In addition, the household's socioeconomic background influences secondary motivations.

Plant invasions and their impact on land use pose difficult research questions, due to the complex relationships between the ecological nature of the invasion and the human responses to the invasion. This paper focuses on the linkages between an invasion of bracken fern and land use decisions in an agricultural frontier in southern Mexico. Agriculture in this region is practiced on an extensive basis, using traditional slash-and-burn techniques of temporary cultivation and continuous rotation through forest fallow. We investigate the factors that affect the decision of a subsistence farmer to either continue cultivating an invaded agricultural plot or permanently abandon the plot and cultivate elsewhere. We develop an agricultural household model of land use choices, where households maximize utility subject to constraints on land, labor, and income. We subsequently test the hypotheses raised, using data from a small household survey performed in the region in 2002.

In view of continuing economic stagnation and consequent budgetary constraints facing the state, Hawaii public libraries have been concerned with their operational efficiency and library managers have been seeking better methods in allocating limited resources among the libraries. This paper employed data envelopment analysis (DEA) technique to assess the performance and resource utilization efficiency of 47 public libraries in Hawaii. Three output measures—circulation, reader visits, and reference transactions and four input categories—collection, library staff, days open, and nonpersonal expenditures were used in the analysis. For fiscal year 1996/97, the estimated technical efficiency scores for Hawaii State public library branches ranged from 0.45 to 1.00, with an average of 0.84. The results showed that 14 of the 47 libraries are technically efficient. The estimated efficiency scores were related to relevant library-specific factors and community characteristics, such as total floor space, size of collection, population density, and location to identify factors influencing library performance. Only floor space and volume of collection did show moderate positive effects on library performance. The resulting information can be mainly useful in improving the performance of inefficient libraries. With special consideration to factors uncontrollable by the libraries the results may also be useful in allocating limited resources among them.

The effects of managerial ability on farm financial success are analyzed for a 1990 sample of Pennsylvania commercial dairy farms using structural latent variable techniques. Latent factors related to dairy, crop, and financial management are used with herd size to explain farm financial success, measured by net farm income. Results indicate the relative importance of each management variable toward farm financial success.

Technology adoption in dairy production allows for higher milk yield and lower per-unit costs. The importance of herd expansion and other factors to adoption was examined using a multinomial logit model and data from the USDA's 1993 Farm Costs and Returns Survey. Predicted probabilities of adoption were used to simulate the effect of herd expansion on milk production. Results identified age, size, and specialization in dairy production as important in increasing the likelihood of adopting a capital-intense technology. Education and size of operation positively impacted the decision to adopt a management-intense technology. Age, education, credit reserves, size, and increased usage of hired labor positively influenced the decision to adopt a combined capital- and management-intense technology.

Stated preference scenarios often provide information on intermediate biophysical processes but omit information on the resulting final services that provide utility. This may cause respondents to speculate about the effects of intermediate outcomes on their welfare, leading to biased welfare estimates. This work clarifies distinctions between intermediate and final ecosystem services within stated preference valuation and develops a structural model by which to infer respondents’ speculations when a final ecosystem service is omitted. The model also derives implications for welfare estimates. Methods and results are illustrated using an application of choice experiments to fish restoration in Rhode Island's Pawtuxet watershed.

We investigate local economic impacts of shale gas development using the natural experiment of the discontinuity in regulation caused by New York's 2008 moratorium on fracking. Using county- and zip-code-level data for 2001–2013 to examine differences in New York and Pennsylvania counties before and after the moratorium, we find that shale gas development has a positive local impact on employment and wages in the natural resource, mining, and construction sectors and an offsetting reduction in employment in the manufacturing sector. Overall, we find no statistically significant local effects on total employment or on wages.