Hog producers in Indiana and Nebraska were surveyed about sources of risk, effectiveness of risk management strategies, and prior participation in and desire for additional risk management education. Ownership of hogs by the producer, size of the operation, and age did have significant effects on ratings of both sources of risk and effectiveness of risk management strategies. Probit analysis found age, prior attendance, knowledge and prior use of the tool, level of integration, and concern about price and performance risk have significant effects on interest in further education about production contracts, futures and options, packer marketing contracts, and financial management.

The U.S. poultry industry has spent considerable resources to date preparing for an outbreak of avian influenza in this country. This research quantifies the potential effects of two alternative avian influenza scenarios on the poultry industry. In addition, this research looks at effects on other agriculture sectors including the loss of feed demand from an outbreak and the impacts on aggregate measures like farm income and consumer food expenditures. The economic sector model maintained by the Food and Agricultural Policy Research Institute (FAPRI) is employed for these scenarios.

This study estimates the contribution of both urban-rural fringe location and lake proximity on residential property values in three upstate counties of South Carolina through estimation of spatial hedonic housing price models. Location in the urban fringe and the urban–rural interface are found to have a positive impact on residential housing values relative to either urban or more rural locations. Lakes in the upstate contribute positively to housing values to the extent that the house has a view of a lake, lake access, or lake frontage.

This article presents current investment and operating costs of ethanol and biodiesel plants for alternative prices of feedstock. The price of these two fuels is estimated for alternative prices of crude oil with the existing renewable fuels policy. The excise tax credit, currently $0.51 per gallon of ethanol and $1.00 per gallon of biodiesel, is a major contributor to the fuel price and profitability of these industries. The analysis demonstrates how the crude oil price, feedstock price, and excise tax credits interact to impact profitability of these industries.

The impact of an urban growth boundary (UGB) on land development in Knox County, TN is estimated via two-stage probit and neural-network models. The insignificance of UGB variable in the two-stage probit model and more visible development patterns in the western part of Knoxville and the neighboring town of Farragut during the post-UGB period in both models suggest that the UGB has not curtailed urban sprawl. Although the network model is found to be a viable alternative to more conventional discrete choice approach for improving the predictability of land development, it is at the cost of evaluating marginal effects.

The feasibility of integrating ethanol production into an existing sugar mill was analyzed by a stochastic spreadsheet model. As the price of corn continues to rise, ethanol producers will eventually need to look at other feedstock alternatives. Sugarcane has been proven to work well in the production of ethanol in Brazil. The results indicated existing U.S. sugar mills could economically switch to ethanol production. As imports into the United States threaten to undermine the U.S. sugar program, sugarcane producers have a viable alternative. At the very least, the alternative exists to diversify their income streams with ethanol production.

Analysis of the potential to supply 25% of projected 2025 U.S. transportation fuels indicates sufficient biomass resources are available to meet increased demand while simultaneously meeting food, feed, and export needs. Corn and soybeans continue to be important feedstocks for ethanol and biodiesel production, but cellulose feedstocks (agricultural crop residues, energy crops such as switchgrass, and forestry residues) will play a major role. Farm income increases, mostly because of higher crop prices. Increased crop prices increase the cost of producing biofuels.

A stochastic production frontier model was estimated to provide standard measurement of technical efficiency of the dual-purpose cattle system located in Zulia State, Venezuela. This system is based on local and low-cost inputs, but has been considered to be inefficient because of its low partial productivity indices when compared with those used in developed countries. Results indicate that the efficiency of this system is reasonably high, downplaying the general idea of inefficiency. Likewise, the efficiency of this system has the potential for improvement through public policies and managerial decisions based on the determinants of technical efficiency.

Increased environmental regulations and a milk quota that restricts growth have increased the interest in immigration to the United States by Dutch dairy farmers. A risk-based economic analysis of 23 representative U.S. dairy farms versus a representative Dutch farm shows that risk-averse Dutch dairy farmers would prefer to liquidate their dairy farms and invest in a large dairy in Idaho or north Texas. The risk ranking suggested that continuing to farm in the Netherlands rather than immigrating to the United States is preferred over only two of the 23 U.S. representative farms analyzed.

As the hunt for renewable energy sources from agriculture intensifies, many agricultural producers are contemplating what crops to grow in the foreseeable future. On the one hand, there are traditional food crops, such as soybean, corn, and wheat, which have recently enjoyed a spike in prices, primarily because of the seemingly ever-growing demands of the corn to ethanol industry. On the other hand, there are the lesser-known perennial energy crops, such as switchgrass. Although much information on various aspects of switchgrass production exists, this paper discusses the adaptation of existing production and processing information to Arkansas conditions as a potential alternative to crop production.

Producer-owned business models are rapidly evolving. Producer-owned, value-added ventures face a number of organizational challenges, including capital acquisition, security exchange registration, antitrust exemption, borrowing eligibility, and operational flexibility. This paper examines the success of evolving producer-owned business models in addressing these challenges. The need for uniform criteria to distinguish producer-owned business from other business forms throughout the complex structure of policies and laws affecting value-added ventures is highlighted.

Coffee production system is analyzed for 24 municipios (districts) in Veracruz, Mexico, from 1997 to 2002. A stochastic frontier approach is used to estimate an input distance function and to evaluate production efficiency. Results show the production process to be stable over time despite global price fluctuations. Production of staple crop (corn) with either coffee or other cash crops results in increased efficiency as a result of the economies of complementarity, while production of coffee with other cash crops leads to lower efficiency. Factors contributing to higher efficiency included higher population density, road availability, and higher altitude, typically associated with production of higher-quality coffee.

The transition from agricultural producer to agribusiness entrepreneur is littered with obstacles not associated with traditional farming operations. Producers are typically faced with an established market for their products as well as defined production practices and budgets. These familiar industry institutions are not available for use in the agribusiness environment. As a result, entrepreneurs are faced with new, unfamiliar situations that can significantly affect the success of their proposed or fledgling business.

Potato farmers in Ecuador rely on chemical inputs to manage pests and optimize yields. Integrated pest management techniques lower production costs, reduce pesticide exposure, and improve long-term agricultural sustainability. Public extension does not, however, exist in Ecuador, and cost-effective means of communicating complex messages to producers are needed. We analyze cost-effectiveness of alternative dissemination methods, including farmer field schools (FFS), field days, pamphlets, and word-of-mouth transmission. Field days and pamphlets have strong impacts on adoption, especially considering their low costs. FFS are effective, but expensive. Evidence also indicates significant diffusion from FFS to non-FFS farmers, indicating high complementarity across methods.

Value-added centers have been established in many states. These centers vary greatly in objectives, operational structures, staffing, and funding. This paper uses examples of several centers and programs, with a specific emphasis on three centers, to provide a better understanding of value-added centers and their operations.