The thrust of this paper is to identify and measure structural changes in the U.S. demand for sugar and to derive subsequent implications for import restriction policies. Empirical results indicate that changes in consumer preferences and the availability of closer and cheaper sweeteners in food processing, especially high fructose corn syrup (HFCS), are exerting a downward pressure on sugar demand. As the U.S. demand for sugar decreases and the food industry adjusts faster to sweetener choices, the U.S. government would have to impose more restrictive import barriers to maintain prices to domestic sugar and HFCS producers. Furthermore, the welfare impact of U.S. sugar policy options on domestic consumers and food processors will be lessened.

Increased concern for the environmental effects of pesticides has led to considerable interest in optimal management strategies for controlling pest populations affecting agricultural production. This issue has been considered by a number of researchers (Feder and Regev; Hall and Norgaard; Hueth and Regev; Lazarus and Swanson; Marsolan and Rudd; and Talpaz and Frisbie). With the exception of Feder and Regev, these studies considered only one species. This approach involves serious limitations since a grower is generally confronted with multiple species during the production period For example, insect prey-predator relationships may exist in the field (Feder and Regev). Alternatively, as an insect pest develops through a number of growth stages, multiple pests in effect exist (Reichelderfer and Bender).

A survey of agricultural banks in New York State found that inability to compete with the low interest rates offered by the Farm Credit Service (FCS) rather than the unavailability of funds per se was limiting agricultural lending by commercial banks. A MASI-like intermediary would (1) be of assistance only to banks unable to use loan participations and with high CD costs and (2) would likely require a large multistate area to be feasible. Only eight percent of the New York banks serving agriculture qualify for FICB funding. Further, FICB funding would be profitable only if banks experienced illiquidity at least 50 percent of the time.

Canadian agricultural trade promotion expenditures have dramatically increased from C$.4 million in 1969/70 to C$26.5 million in 1981/82. To evaluate the effect of these expenditures on agricultural exports an econometric analysis is presented in this study. The extended distributed lag model for export demand is developed and estimated using an iterative autoregressive least squares with instrumental variable (IALSI) method of estimation. The results reveal that the trade promotion programs (aggregate expenditure levels) have had a statistically significant effect on agricultural exports. The analysis of dynamic multipliers indicates that the effect of trade promotion expenditure on export levels is likely to decline gradually and last for about a five-year period. Also, the real export demand for aggregate agricultural products is found close to unitary elastic with respect to the real export price variable.

Participation in the 1984–85 Milk Diversion Program (MDP) is examined through the analysis of aggregate state level data for the U.S. and county level data from New York. Linear probability, logit and probit models of participation are estimated. The empirical results are highly similar across models and identify the important determinants of farmer participation in the MDP. Models explaining contracted diversion levels are also estimated but do not have the explanatory power of the participation models. The implications of the results for the analysis of U.S. dairy policy alternatives are discussed.

Operating cost efficiency is evaluated on Pennsylvania dairy farms using a modification of the Farrell efficient unit isoquant frontier method. Evaluating farms by herd size groups, the average measure of cost efficiency ranged from 70 to 80 percent. Farms with larger herds were more homogeneous in efficiency than farms with smaller herds. Regression analysis was used to evaluate for differences in cost efficiency by herd size group.

A severance tax can provide local jurisdictions with additional revenues to finance economic development, yet the imposition of a tax may create coal industry employment losses. This research analyzes this issue by examining the demand for Pennsylvania steam coal, providing estimates of the unconditional own price elasticities of demand for coal in each of two demand regions. These estimates in conjunction with labor/output coefficient estimates are used to determine the extent to which coal employment in a region already witnessing slow mining industry growth will be negatively affected.

Agricultural activities in three West Virginia counties were analyzed to determine their potential for increased direct marketing activities. For each county, the main type of agricultural enterprise was examined and compared with the direct marketing of small fruits and vegetables. The benefits of direct marketing combined with the present form of agriculture in these three West Virginia counties will be presented and discussed.