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TEMPORAL UNCERTAINTY AND IRREVERSIBILITY: A THEORETICAL FRAMEWORK FOR THE DECISION TO APPROVE THE RELEASE OF TRANSGENIC CROPS AgEcon
Wesseler, Justus.
Tipo: Conference Paper or Presentation Palavras-chave: Crop Production/Industries.
Ano: 2000 URL: http://purl.umn.edu/26010
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Correcting for multiple destination trips in recreational use values using a mean-value approach; An application to Bellenden Ker National Park, Australia AgEcon
Nillesen, Eleonora; Wesseler, Justus; Cook, Averil.
This paper focuses on an empirical application of the travel cost method, to estimate the recreational use value of Bellenden Ker National Park, part of the Wet tropics World Heritage Area Queensland, Australia. Walking appears to be one of the main activities associated with recreational experiences in the region. Substantial socio-economic as well as environmental benefits are expected to be gained if the areas was to be developed further, with regard to walking tracks, provided that this would be done in an environmentally sustainable way. Two overnight tracks within the park have been selected to obtain information about visitors’ experiences with the tracks in the past, to address specific needs for possible future developments. A standard assumption...
Tipo: Working or Discussion Paper Palavras-chave: Multi-criteria analysis; Multiple trip bias; Travel cost method; Wet Tropics World Heritage Area; Resource /Energy Economics and Policy.
Ano: 2003 URL: http://purl.umn.edu/46733
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BIODIVERSITY VERSUS TRANSGENIC SUGAR BEET: THE ONE EURO QUESTION AgEcon
Demont, Matty; Wesseler, Justus; Tollens, Eric.
The decision of whether to release transgenic crops in the EU is one subject to flexibility, uncertainty, and irreversibility. We analyse the case of herbicide tolerant sugar beet and reassess whether the 1998 de facto moratorium of the EU on transgenic crops for sugar beet was correct from a cost-benefit perspective using a real option approach. We show that the decision was correct, if households value possible annual irreversible costs of herbicide tolerant sugar beet with about 1 E or more on average. On the other hand, the total net private reversible benefits forgone if the de facto moratorium is not lifted are in the order of 169 Mio E per year.
Tipo: Working or Discussion Paper Palavras-chave: Research and Development/Tech Change/Emerging Technologies.
Ano: 2002 URL: http://purl.umn.edu/31859
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The Effect of HIV/AIDS Driven Labor Organization on Agrobiodiversity: an Empirical Study in Ethiopia AgEcon
Gebreselassie, Kidist; Wesseler, Justus; van Ierland, Ekko C..
Improved micronutrient intake contributes to delaying the progression of HIV into AIDS and to reducing HIV infection rates. Higher agrobiodiversity in the homegarden contributes to improving the nutritional status of farm households. Farm households with HIV/AIDS affected members observe a decrease in labor supply and productivity causing them to reallocate labor. The reallocation of labor may result in change in agrobiodiversity. Sharecropping is often used to alleviate labor shortage in agricultural production. The purpose of this paper is to analyze the implications of HIV/AIDS on agrobiodiversity through sharecropping arrangements. The study is based on a survey among 205 farm households in the Jimma zone of South Western Ethiopia. Results show that...
Tipo: Conference Paper or Presentation Palavras-chave: Agrobiodiversity; Ethiopia; HIV/AIDS; Labor organization; Sharecropping; Farm Management; Labor and Human Capital.
Ano: 2007 URL: http://purl.umn.edu/7929
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Does ignoring multidestination trips in the travel cost method cause a systematic bias? AgEcon
Kuosmanen, Timo; Nillesen, Eleonora; Wesseler, Justus.
The present paper demonstrates that treating multidestination trips (MDT) as single‐destination trips does not involve any systematic upward or downward bias in consumer surplus (CS) estimates because the direct negative effect of a price increase (treating MDT as a single‐destination trip) is offset by a shift in the estimated demand curve. Still, ignoring MDT can greatly underestimate or overestimate the CS. In addition, we demonstrate that there is a sound theoretical basis for using preference information for allocating travel costs between different sites included in the MDT package. A novel extreme value approach is proposed, which does not require any overly restrictive assumptions about consumer preferences. This approach is applied to the zonal...
Tipo: Journal Article Palavras-chave: Research Methods/ Statistical Methods.
Ano: 2004 URL: http://purl.umn.edu/117997
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The Impact of Labeling Practices on Perceived Quality of GM Food Products: A Revealed Preferences Approach AgEcon
Scatasta, Sara; Wesseler, Justus; Hobbs, Jill E..
This article contributes to the ongoing discussion about the impact of different labeling practices on the quality of genetically modified (GM) food products as perceived by the consumer. Thus far, many studies have adopted a stated preferences approach, finding that consumers have different willingness to pay for GM and non-GM products. This article offers an empirically tractable theoretical model that can be used easily to investigate the impact of GM labeling practices on the perceived quality of GM food products, making use of market data.
Tipo: Conference Paper or Presentation Palavras-chave: Consumer preferences; Genetically modified food products; Labeling; Quality; Variety; Elasticity of substitution; Consumer/Household Economics; Q11; Q18; D12.
Ano: 2005 URL: http://purl.umn.edu/24599
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The Effect of Farm Labor Organization on IPM Adoption. Empirical Evidence from Thailand AgEcon
Beckmann, Volker; Irawan, Evi; Wesseler, Justus.
This paper examines the effect of labor organization on integrated pest management (IPM), using cross section data collected from a participatory farming system survey of 157 durian growers in Chanthaburi, Thailand, in 2005. In contrast to many studies of IPM adoption, this work uses the form of farm labor organization as an endogenous factor for identifying the rate of IPM adoption among durian growers. The instrumental variables method was employed to econometrically relate a set of alleged variables as instruments of labor organization to the rate of IPM adoption. Results show that, among others, farms employing hired labor have a significantly lower adoption rate of IPM.
Tipo: Working or Discussion Paper Palavras-chave: Labor Organization; IPM Adoption; 2SLS; Farm Labor; Agricultural Extension; Agricultural and Food Policy; Agricultural Finance; Consumer/Household Economics; Crop Production/Industries; Environmental Economics and Policy; Farm Management; Financial Economics; Food Consumption/Nutrition/Food Safety; Food Security and Poverty; Institutional and Behavioral Economics; International Development; Labor and Human Capital; Land Economics/Use; Political Economy; Production Economics; Research and Development/Tech Change/Emerging Technologies; Resource /Energy Economics and Policy; Q16; J2; J43.
Ano: 2009 URL: http://purl.umn.edu/55767
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Biodiversity versus Transgenic Sugar Beet: The One Euro Question AgEcon
Demont, Matty; Wesseler, Justus; Tollens, Eric.
The decision of whether to release transgenic crops in the EU is one subject to flexibility, uncertainty, and irreversibility. We analyse the case of herbicide tolerant sugar beet and reassess whether the 1998 de facto moratorium of the EU on transgenic crops for sugar beet was correct from a cost-benefit perspective using a real option approach. We show that the decision was correct, if households value possible annual irreversible costs of herbicide tolerant sugar beet with about 1 € or more on average. On the other hand, the total net private reversible benefits forgone if the de facto moratorium is not lifted are in the order of 169 Mio € per year.
Tipo: Conference Paper or Presentation Palavras-chave: Crop Production/Industries; Research and Development/Tech Change/Emerging Technologies.
Ano: 2003 URL: http://purl.umn.edu/25831
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Coping with ex ante Regulations and ex post Liability Rules for Planting Bt-maize – The Portuguese Experience AgEcon
Skevas, Theodoros; Fevereiro, P.; Wesseler, Justus.
This study investigates the attitude and practices of GM and non-GM maize farmers in Portugal. Thirty seven GM maize farmers were interviewed representing 22.5% of the total number of GM maize notifications in the country. Additionally, 66 non-GM maize farmers were surveyed in an attempt to investigate their opinion on the Bt technology, its viability and its future. The most interesting finding is that almost half of all the surveyed maize farmers (GM and non-GM) stated that the ex ante regulations are rigid and difficult to apply. On the contrary, the ex post tort liability rules are very clear and provide the appropriate security for the continuation of the GM maize cultivation.
Tipo: Conference Paper or Presentation Palavras-chave: Coexistence; Bt-maize; Portugal; Agricultural and Food Policy; Crop Production/Industries.
Ano: 2008 URL: http://purl.umn.edu/44189
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Did the Economic Conditions for Bt-maize in the EU Improve from 1995 to 2004? A MISTICs Perspective. AgEcon
Scatasta, Sara; Wesseler, Justus; Demont, Matty.
The debate about the "quasi" moratorium on the release of GMOs in the European Union is on going. One of the major arguments that were put forward to delay the release of new traits was the one for more information. In this contribution we compare the situation for Bt-maize from the 1995 and 2004 perspective. The 2004 perspective differentiate between two scenarios: one without the CAP reform and one including the CAP reform. For the comparison we use an ex-ante assessment model based on real option theory that explicitly considers the irreversible costs and benefits of the technology. As empirical information about possible irreversible costs is scarce we identify the maximum incremental social tolerable irreversible costs, MISTICs, for Bt-maize, a...
Tipo: Conference Paper or Presentation Palavras-chave: Bt-maize; Irreversibility; Real options; Uncertainty; Crop Production/Industries; Research and Development/Tech Change/Emerging Technologies.
Ano: 2006 URL: http://purl.umn.edu/25245
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Introducing a Genetically Modified Banana in Uganda: Social Benefits, Costs, and Consumer Perceptions AgEcon
Kikulwe, Enoch M.; Wesseler, Justus; Falck-Zepeda, Jose Benjamin.
Banana is a staple crop consumed by Ugandan households. The Uganda National Agricultural Research Organization has implemented conventional and biotechnology programs that seek improving bananas and address the crop’s most important pest and disease problems. A major thrust is the development of genetically modified (GM) bananas. The purpose of this paper is to examine potential social welfare impacts of adopting a GM banana in Uganda. The study has three objectives. First, suggest and apply an approach to calculate reversible and irreversible benefits and costs of introducing a GM banana. The study applies a real option approach to estimate, ex ante, the maximum incremental social tolerable irreversible costs (MISTICs) that would justify immediate...
Tipo: Working or Discussion Paper Palavras-chave: GM banana; Real option; Choice experiment; Biosafety; MISTICs; Uganda; Crop Production/Industries; Research and Development/Tech Change/Emerging Technologies.
Ano: 2008 URL: http://purl.umn.edu/42323
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Economic Incentives for Entry and Exit in Gum Arabic Agroforestry System in Sudan AgEcon
Rahim, Afaf H.; van Ierland, Ekko C.; Wesseler, Justus.
The gum tree (Acacia senegal) in the Sahel-Sudan zone has many environmental benign functions. An important function is to control desertification. In this paper we analyze farmers' economic incentives to preserve the existing gum trees and their incentives to create new plantations using a real options approach. Results indicate that agricultural crops provide higher economic benefits as compared to gum agroforestry system. However, on the one hand, as gum arabic is produced during the dry period and land is abundant, there are low incentives for deforestation. Instead, farmers' tend to leave the land idle and let the tree growing. On the other hand, our results suggest that an increase in the prices of gum arabic of about 330 per cent is needed to induce...
Tipo: Conference Paper or Presentation Palavras-chave: Gum arabic; Deforestation; Entry and exit; Real options; Sudan; Crop Production/Industries; D4; N5; O13; Q12; Q23.
Ano: 2006 URL: http://purl.umn.edu/25720
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SPATIAL DIMENSION OF EXTERNALITIES AND THE COASE THEOREM: IMPLICATIONS FOR CO-EXISTENCE OF TRANSGENIC CROPS AgEcon
Beckmann, Volker; Wesseler, Justus.
“"No form of agriculture should be excluded in the EU."” Many observers see this recent statement by European agricultural commissioner Franz Fischler as a clear signal towards a nearby lifting of the quasi EU moratorium on transgenic crops (or GMs for short) launched in 1998 (European Commission 2002). One of the last obstacles towards lifting the moratorium, however, is the problem of coexistence. How can GM-crops and non-GM-crops coexist? Since the European Environmental Agency published its report on "“Genetically modified organisms (GMOs): The significance of gene flow through pollen transfer”" (EEA 2002) the debate focuses on the external effects that GM-farmers may cause to non-GM farmer if accidental pollen transfer takes place. While strong...
Tipo: Conference Paper or Presentation Palavras-chave: Research and Development/Tech Change/Emerging Technologies.
Ano: 2005 URL: http://purl.umn.edu/19534
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The Effect of Farm Labor Organization on IPM Adoption: Empirical Evidence from Thailand AgEcon
Beckmann, Volker; Irawan, Evi; Wesseler, Justus.
This paper examines the empirical evidence of a theoretical economic model of the effect of labor organization on IPM adoption developed by Beckmann and Wes seler (2003). We use cross section data collected from the participatory farming system survey of 150 durian growers in Chanthaburi, Thailand, on March – April 2005. In contrast to many studies of IPM adoption, this work uses the form of farm labor organiza tion as endogenous factor for identifying the rate of IPM adoption of durian growers. Instrumental variables method was employed to relate econometrically a set of suspected variables as instruments of labor organization to the rate of IPM adoption of duri an growers. Results show that, among others, farms employing hired labor have a lower adoption...
Tipo: Conference Paper or Presentation Palavras-chave: Labor Organization; IPM Adoption; IV -Tobit; Farm labor; Agricultural Extension; Farm Management; Labor and Human Capital; Q16; J2; J43.
Ano: 2006 URL: http://purl.umn.edu/25711
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Dominos in the dairy: An analysis of transgenic maize in Dutch dairy farming AgEcon
Groeneveld, Rolf A.; Wesseler, Justus; Berentsen, Paul B.M..
Isolation distances to limit the risk of cross-pollination from transgenic to nontransgenic crops can severely limit the potential use of transgenic crops through a so-called 'domino effect' where a field of non-transgenic crops limits adoption of transgenic crops not only on plots in its direct vicinity, but also in plots further away as its neighbors are forced to grow the non-transgenic varieties, forcing their neighbors to grow the non-transgenic variety, and so on. The extent to which this effect takes place, however, may depend crucially on the type of farm. For example, dairy farms can use grassland as a buffer between transgenic and conventional maize plots. This article assesses the effects of isolation distances for transgenic maize in dairy...
Tipo: Conference Paper or Presentation Palavras-chave: Crop Production/Industries; Livestock Production/Industries.
Ano: 2011 URL: http://purl.umn.edu/114595
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Irreversibility, Uncertainty and the Adoption of Transgenic Crops: the Case of BT-Maize in France AgEcon
Scatasta, Sara; Wesseler, Justus; Demont, Matty.
This study applies a real option approach to quantify, ex-ante, the maximum incremental social tolerable irreversible costs that would justify immediate adoption of Bt maize in France. Based on field trials, we find that incremental private reversible benefits in the agricultural sector are -18 million euro yearly for maize for animal feed and 1 million euro yearly for maize for human consumption. Incremental social irreversible benefits from reduced insecticide use are negligible. The maximum incremental social tolerable irreversible costs are -28 million euro yearly for maize for animal feed and 0.4 million Euro yearly for maize for human consumption.
Tipo: Conference Paper or Presentation Palavras-chave: Bt maize; Real option; France; Field trials; Irreversible social costs; Crop Production/Industries; D6; D8; Q1.
Ano: 2005 URL: http://purl.umn.edu/24758
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Governing the Co-existence of GM Crops: Ex-Ante Regulation and Ex-Post Liability under Uncertainty and Irreversibility AgEcon
Beckmann, Volker; Soregaroli, Claudio; Wesseler, Justus.
The future institutional environment for the co-existence of genetically modified (GM) crops, conventional crops and organic crops in Europe combines measures of ex-ante regulation and ex-post liability rules. Against this background we ask the following two questions: How does ex-ante regulation and ex-post liability under irreversibility and uncertainty affect the adoption of GM crops? What are the implications for regional agglomeration of GM and non-GM crops? Ex-ante regulations and ex-post liabilities for using GM crops will induce additional costs. These costs are modelled in a classical way. The model is advanced by including irreversibility and uncertainty and taking into account transaction costs of negotiating possible solutions with neighbouring...
Tipo: Working or Discussion Paper Palavras-chave: Co-existence; GM crops; Liability law; Public regulation; Technology adoption; Agricultural and Food Policy; Research and Development/Tech Change/Emerging Technologies; K13; O33; Q18.
Ano: 2006 URL: http://purl.umn.edu/18845
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Bt and Ht Corn versus Conventional Pesticide and Herbicide Use. Do Environmental Impacts Differ? AgEcon
Nillesen, Eleonora; Scatasta, Sara; Wesseler, Justus.
In this paper we empirically assess and compare the environmental impact of pesticide programs for Bt, Ht (glufosinate) and conventional corn in Europe, employing the Environmental Impact Quotient. We use field trial data from Narbons, France 2004 as well as secondary data. Our results show that management of Bt corn has a lower environmental impact than conventional corn programs. Herbicide treatment of the Ht variety also has a much lower environmental impact than that of the two conventional programs. Our empirical findings support the argument of lower environmental and health impacts with respect to pesticide use when growing Bt and Ht corn. The outcomes are relevant for environmental benefit-cost analysis of Bt and Ht corn.
Tipo: Conference Paper or Presentation Palavras-chave: EIQ; Pesticide use; Bt; Ht corn; Crop Production/Industries; Environmental Economics and Policy; Q10; Q16.
Ano: 2006 URL: http://purl.umn.edu/25504
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