A regulatory liability-based approach to reducing foodborne illnesses is widely used in the U.S. But how effective is it? We exploit regulatory regime variation across states and over time to examine the relationship between product liability laws and reported foodborne illnesses. We find a positive and statistically significant relationship between strict liability with punitive damages and the number of reported foodborne illnesses. We find, however, no statistically significant relationship between strict liability with punitive damages and the number of foodborne illness-related hospitalizations and deaths.

The idea of green infrastructure (GI) has generated great interest and creativity in addressing a range of challenging and expensive environmental problems, from coastal resilience to control of combined sewer overflows (CSOs). The appeal of GI stems from its cost savings compared to traditional “gray” infrastructure and the multiple benefits it provides, including biodiversity, aesthetics, and carbon sequestration. For example, a “green” approach to controlling CSOs in New York City saved $1.5 billion compared to a “gray” approach. Despite these advantages, GI still does not have detailed design and reliability specifications as compared to engineered gray infrastructure, potentially hindering its adoption. In this paper, we review some of the potential applications of GI in modern environmental science and discuss how reliability and associated (un)certainty in net benefits need to be addressed to realize the potential of this new approach.

This study examines the factors influencing women farmers’ choice of adaptation strategies to reduce the negative impacts of climate change and the effects of these strategies on household income and food insecurity. A field survey was conducted among 426 women farmers in the Center-North region, which covers 7% of Burkina Faso territory. Descriptive statistics, a multinomial logit model, and a propensity score matching model were used to analyze the data collected. The results of the econometric analysis show that high domestic tasks, type of climate shocks experienced, membership in women’s group, and financial constraints are important determinants of adaptation decisions. Adaptation strategies are also found to have a positive impact on income and a negative impact on household food insecurity. These different findings highlight the need to prioritize flexible adaptation options to improve women farmers’ resilience to climate change, rather than generic solutions.

Land protection not only supports vital ecosystem services but also poses important challenges for social equity. Three key concerns emerge from economic frameworks about land protection policies: potential lost local economic development, reinforcement of existing structural inequalities, and disparities in access to the benefits of protected land. This article reviews evidence for each concern and identifies research needs as well as potential improvements in policy that could better support equity goals. Pathways forward towards greater equity include specific mechanisms that can ensure local communities benefit from land protection, attention to issues of spatial impacts and timing, explicit prioritization of equity in land protection initiatives, and community-centred processes. Economists have and can continue to play a role in strengthening these dimensions of land protection policies.

This paper shows how econometric identification can be improved in studies making use of crop insurance participation as either an independent or dependent variable. The paper provides the reader with a succinct overview of how crop insurance contracts are priced and how to use publicly available data to derive a novel composite crop insurance design parameter that emulates existing crop insurance rating parameters using a procedure that is based on current actuarial practices. The derived design parameter performs well at predicting historic crop insurance loss-cost ratios and satisfies the requirements for an instrumental variable for a variety of empirical applications related to crop insurance. Representative empirical examples are presented where it is shown that the proposed instrument has favorable two-staged least squares diagnostic tests and is effective at eliminating endogeneity bias.

We present a game-theoretic model of a firm’s production decision to analyze the conditions under which the firm would engage in sustainable practices when there exists a certification agency that can audit the firm. Our results show that when the certification agency is firm-owned or when it is an independent, profit-maximizing entity, then there is no equilibrium in which the firm chooses to produce in a sustainable manner. We also present real-world examples from the apparel and footwear industry, as well as the mining industry, that are consistent with our theoretical results. We consider what would happen if the certification agency is government-operated or a non-profit organization with a mandate to monitor the firm’s production process. We show that – combined with tax incentives or subsidies for the firm if necessary, and greater specificity regarding what is sustainable – there exists an equilibrium in which the firm would choose to engage in sustainable production in this case. We analyze extensions of the model to examine conditions under which the phenomenon of greenwashing can arise as an equilibrium outcome. We also propose a “bounty system” that the government can implement to incentivize monitoring of firms’ production processes, and we show how such a policy can induce more sustainable production practices by the firm.

This paper estimates the effect of environmental remediation on housing prices in the Milwaukee Estuary Area of Concern (AOC) using a hedonic analysis of individual arms-length sales before and after a major remediation action between 2011 and 2015. Our design leverages this before-after comparison as well as the proximity of homes to remediation and the AOC boundary. Measuring the effect of AOCs in the housing market has always been a difficult task, given that water in AOCs can provide a mix of amenities and disamenities. Indeed, we find little evidence of a negative proximity effect when applying hedonic analysis to cross-section data. However, when we apply the analysis to a repeated cross section in a quasi-experimental framework, we find statistically significant evidence that living near the affected part of the AOC became more desirable after cleanup.

Climate change is one of the largest threats for biodiversity as changing climatic conditions often make existing habitat sites less suitable. This poses new challenges for species conservation, in particular in agricultural landscapes, where climate change may also induce modifications in agricultural land use. To conserve species in agricultural landscapes, agri-environment schemes (AES) which compensate farmers for implementing conservation measures are commonly used. However, current research on the cost-effective design of AES largely ignores necessary adaptations of conservation measures given climate change. We develop a climate-ecological-economic (CEE) model to examine how the cost-effective design of AES has to be modified under climate change. We apply the model to the conservation of eight meadow bird species in Northern Germany and determine the cost-effective conservation measures under recent and future climatic conditions. We find that the timing of conservation measures in the AES needs to be changed in the RCP8.5 scenario given the species’ phenological adaptations and the impact of extreme events (inundations) on costs. The novelty of the research lies in the development of a CEE model which considers both spatial and temporal changes in costs and benefits to develop recommendations for the cost-effective design of AES under climate change.

We estimate the relationship between farm animal welfare (FAW) efforts taken by beef farmers and the economic performance of beef farms by using farm accounting data from the Swedish Farm Economic Survey matched with survey data on farm management practices. To this end, we perform a two-step analysis. First, an item response theory (IRT) model estimates the latent FAW effort on farms. FAW effort likely depends on a host of complementary FAW-improving strategies, and the IRT model combines the considered strategies into a unidimensional scale. We take this to represent on-farm FAW effort. Second, we use instrumental variable regressions to estimate the relationship between FAW effort and multiple measures of farm economic performance. We find that higher FAW effort scores have no effect on margins and costs. However, higher FAW effort scores are associated with lower farm sales. Findings suggest that policies (such as targeted label for high FAW) that increase farm revenue as well as incentivize the uptake of FAW-improvement practices may be able to compensate farmers for their FAW effort.

Consumers tend to overestimate food risks, and news reporting that draws attention to the deadly aspects of animal disease can cause fear in consumers even when a disease is not a food safety issue. We utilize an online survey experiment with U.S. pork consumers to assess how prior knowledge of African swine fever (ASF) and how news headlines and article content can affect pork purchases. We find that consumers are generally unaware of ASF, and almost half of respondents, who are all typically pork consumers, would be unwilling to purchase pork if there were an ASF outbreak in the United States. Within our experiment consumers who have less prior knowledge of ASF hesitated to buy pork, when first hearing of an outbreak. While additional information that ASF is not a human health threat helped mitigate pork avoidance, the placement of food safety assurance in either the headline or body of the article does not show a significantly different impact on consumer willingness to pay. As part of preparation efforts for a potential outbreak, our results emphasize the role of consumers’ prior knowledge and perceptions of the disease, which relays the importance of media cooperation in proactively informing the public about ASF outbreaks and highlighting the nonimpact on human health.

This paper presents research on the benefits of removing legacy pollutants in Great Lakes Areas of Concern (AOCs). AOCs are heavily polluted coastal locations identified as priorities for restoration under the Great Lakes Water Quality Agreement (GLWQA) between the United States and Canada. Legacy pollutants pose a human and environmental health risk that can limit opportunities for redevelopment, recreation, and wildlife habitats. The AOC program improves water quality through remediation and restoration projects, which may increase the desirability of living in proximity to AOCs. In this paper, we estimate the economic benefit of cleaning up part of the Milwaukee Estuary AOC with a two-part sorting model using panel data on neighborhood populations and moving decisions before and after a series of remediation actions. Our results provide evidence that residents value remediation, though estimates are sensitive to the definition of the cleanup area. The average annual benefit for a household living near the AOC just downstream of cleanup is $268, with a range of $28-$499 depending on their race and tenure group; the aggregate benefit is $350 million. Results indicate a large difference in benefits between renters and owners but statistically insignificant differences between race groups.

Efficiencies of Agricultural Credit Associations of the US Farm Credit System are measured quarterly from 2005 through 2020. A slacks-based measure based on the directional distance function is used with non-performing loans included as an undesirable output. This permitted efficiency scores to be measured by type of defined input or output. Generally, most Associations were highly efficient, but there was deterioration in mean efficiency over the years 2008–2018, a period of financial difficulties in the US agriculture. Efficiencies of Associations that merged or consolidated were tracked before and after these activities. Mergers and consolidations often led to increased efficiencies.

In the coming decades, promoting the production of ecosystem service provisioning will become increasingly important in the U.S. Northeast, which is expected to experience a number of impacts as a result of climate change, including rising temperatures, changes in precipitation and seasonality, and sea-level rise, among others (U.S. Global Change Research Program 2020). Incentives have been shown to motivate the adoption of sustainable production practices that provision ecosystem services across different types of working landscapes. Using data from a recent landscape assessment in the Northeast, this paper finds an incredible breadth of programs available to producers across a variety of working landscapes (e.g., agricultural lands and working forests) and for different production practices. These data also point to critical gaps in current programming and also highlight important opportunities for programmatic synergy and more holistic program design going forward. This paper concludes by discussing the results in the context of four main themes of particular relevance to the U.S. Northeast which include (1) working landbase and infrastructure, (2) livelihood provisioning, (3) scale, and (4) resilience.

The H-2A temporary agricultural workers visa program is a federal program allowing agricultural employers to bring in foreign workers on a seasonal basis. The extent to which H-2A workers earn more compared to their domestic unauthorized counterparts is of interest for both producers and workers. Using novel data on citrus harvest workers in the state of Florida, we estimate hourly earnings differentials by legal status using Classical and Bayesian inference. Findings suggest that participation in the H-2A program is associated with 18–23% higher hourly earnings for migrant harvesters in Florida after controlling for observable demographic and work-related variables.

In recent years, there has been significant growth in the sales of plant-based alternatives to meat and dairy products. However, it remains unclear whether these alternatives are actually reducing sales of livestock-derived products. This paper examines the relationship between the sales of one particular livestock-derived product – unflavored dairy milk – and its plant-based alternative – nondairy milk. Using data from a panel of US consumers between 2004 and 2018, I find that a 1-gallon increase in nondairy milk sales is associated with a 0.43–0.60 gallon reduction in dairy milk sales. The inverse relationship between dairy and nondairy milk purchases is strongest among households with high initial expenditure on dairy milk. Despite the inverse relationship between dairy and nondairy milk purchases, the rapid increase in nondairy milk sales between 2009 and 2018 explains little of the concomitant decline in dairy milk sales.

Research on ecosystem services (ES) is heavily concentrated on ecological and economic indicators and values, with a much more limited understanding of communities’ dependence on cultural ES. That body of research is also typically focused on current generations and generates limited insights into the intergenerational dynamics of ES dependence. We use a survey of six palm harvesting communities in coastal western Ecuador to assess the livelihood dependence of four generations on 17 ES provided by the ivory palm, a near-threatened keystone species in Ecuador, Colombia, and Panama. Despite the historical prominence of the use of the ivory palm’s nut, we find that dependence is highest for regulating, supporting, and cultural ES, a result that holds across generations. We find a negative association between the current generation’s dependence on the ivory palm’s provisioning ES and that of their grandparents, who experienced the historical boom of the ivory palm’s nut exports. In contrast, respondents expect the future generation’s dependence to be positively associated with that of the grandparents’ generation. We find that provisioning ES have a complementary relationship with cultural ES and a substitutive relationship with supporting ES. Relationships across ES categories can be reversed from one generation to the next.

The US craft brewery industry has grown steadily in recent years before the 2020 COVID-19 pandemic. The majority of small, independently owned craft breweries rely on tasting rooms for revenues and profits. Using data collected from a survey of tasting room visitors from 21 craft breweries in New York, this research investigates factors influencing visitors’ customer satisfaction (CS) and the link between brewery tasting room CS and sales performance. The results show that brewery interior ambience, beer tasting execution, and friendliness and knowledge of servers are the main factors influencing CS in tasting rooms. Furthermore, results suggest that higher CS levels increase visitors’ purchase likelihood and beer purchase amounts (by volume and value). These findings indicate that breweries should focus on such factors as strengthening staff training, enhancing tasting room ambience, and improving beer tasting execution that have the highest positive influence on CS to increase sales. This study has implications for the rapidly growing craft brewery industry in the USA.

Effective irrigation management is critical for future food supplies and the prosperity of producers engaged in irrigation production. Through a deficit irrigation field experiment, we determine the financial impact on producers caused by changing irrigation costs, corn prices, extreme weather events, and restricting irrigation levels. Results suggest that the optimal economic strategy within our constrained optimization model is to fully irrigate, with the economic impact highly dependent on commodity prices, restriction level, and irrigation costs. The greatest economic losses caused by irrigation restrictions come from decreases in yield. Some simulations resulted in negative profits, indicating that a switch to alternative crops requiring less irrigation may be warranted.

Compared to other policy instruments that aim to change consumer behavior, information provision is perhaps the least controversial. An important question is how information in the form of carbon labels can contribute to direct food consumption toward reduced climate impact. From a policy guidance perspective, there is a need to identify how the labeling strategy affects consumers’ ability to identify lower emitting food products and the behavioral change due to carbon information. Key aspects of a carbon label are discussed, as well as the implications of different labeling schemes. Drawing on economic and behavioral theories, we propose that, to assist consumers in identifying changes in consumption that contribute to significant reductions in their climate impact, a carbon label must enable comparisons between product groups and not only within narrowly defined product groups. This suggests mandatory labeling, since producers of high-emission products are less likely to display such labels. However, it is important to consider both costs and benefits of labeling schemes and to consider complementing labeling with other policy instruments.

This study develops and uses a survey to gather information on demographics, production and management practices, and perceptions on using cover crops as a conservation practice from citrus growers and utilizes the double-bounded dichotomous choice contingent valuation method to measure their willingness to pay (WTP) for adopting cover crops in citrus production. The survey is conducted for citrus producers in Florida and Texas. The study finds that, on average, growers from Florida are willing to pay $509.48/acre per year for adopting cover crops. This is substantially less than the WTP for growers in Texas, who are willing to pay more than $1,000/acre per year for cover crops. The study analyzes the factors that have significant impacts on growers’ WTP for cover crops and discusses the heterogeneity in the grower perceptions on the benefits and drawbacks of using this conservation practice by state. Although using cover crops has not been a popular conservation practice in perennial fruit production systems, its potential to improve soil quality is particularly important for citrus production in Florida where soils are sandy and have low organic matter.