The use of surface water to replace groundwater for irrigation is often viewed as an effective approach for reducing groundwater overdraft on an agricultural landscape. However, the availability of surface water does not necessarily lead to groundwater conservation in practice. The expected increase in the aquifer volume in the presence of surface water does not occur unless the off-farm water price is low enough to generate a significant shift away from groundwater. There is a change in the crop pattern toward more irrigation-intensive crops, and the net effect can be a rise in groundwater extraction.

In order to guarantee the success of the nascent cellulose-based biofuel industry, it is crucial to identify the most economically relevant components of the biofuel production path. To this aim, an original stochastic financial model is developed to estimate the impact that different feedstock production and biofuel conversion parameters have on the probability of economic success. Estimation of the model was carried out using Monte Carlo simulation techniques along with parametric maximum likelihood estimation procedures. Results indicate that operational efficiency strategies should concentrate on improving feedstock yields and extending the feedstock growing season.

Livestock risk protection (LRP) insurance is a price risk management tool available to cattle producers; however, producers have been hesitant to adopt LRP. The objective of the study was to determine the monthly feeder cattle LRP contract coverage level and length maximizing the probability of the LRP net price being greater than the CME Feeder Cattle Index (CME FCI) price. The CME FCI prices were higher than the LRP net price for the majority of the contract lengths and coverage levels. Several coverage lengths and levels provided similar price protection, and there was no consistent preferred coverage length and level.

We examine the relationship of product characteristics of ready-to-eat breakfast cereal and targeted television advertising to specific consumer segments. We compile a unique data set that includes brand-packaging characteristics, including on-box games, nutrition information, and cobranding. We find that the relationship of television advertising and a cereal's brand-packaging characteristics varies by target audience. Our results provide insight into understanding how manufacturers strategically utilize branding, packaging, and television advertising. This can help industry and policy makers develop food product advertising policy. This analysis extends to other product markets where extensive product differentiation and promotion are present as well.

Past research shows that prices move in response to World Agricultural Supply and Demand Estimates (WASDE) reports immediately prior to and after a report. This research develops trading models based on knowing the next WASDE report in advance. This should help traders evaluate investments to predict information contained within the report and in determining how best to use such forecasts. The price-forecasting models use regressions against the ratios of ending stocks to use. Results show a steady increasing return to trading over the report month. The highest returns are produced by trading during the growing and harvest seasons.

Using nationwide survey data, we investigate U.S. meat goat producer preferences and willingness to pay for meat goat breeding stock attributes. Discrete choice experiments were employed, and mixed logit and latent class models were used for analysis. Results showed that producers preferred animals that were highly masculine/feminine, had good structure and soundness, and were of the Boer breed, whereas they preferred fewer animals that were older, of Kiko and Spanish breeds, and priced higher. Significant preference heterogeneity was found among the respondents. Larger-scale producers had greater preference for high masculinity/femininity, good structure and soundness, and Boer bucks.

This study reports the findings for an analysis using the computer program NAADSM (North American Animal Disease Spread Model) and a supply-driven social accounting matrix to examine the impact of a hypothetical foot-and-mouth disease (FMD) outbreak in a relatively isolated part of the United States, Utah, under various levels of livestock traceability. The analysis demonstrates that a significant regional economic impact in Utah would result from an FMD outbreak but that improved levels of traceability would be very important in helping to reduce the negative economic consequences of the outbreak.

The U.S. Department of Agriculture (USDA) beef grading system plays an important role in marketing and promoting beef. USDA graders inspect beef carcasses and determine a quality grade within a few seconds. Although the graders are well trained, the nature of this grading process may lead to grading errors. Significant differences in the USDA graders’ “called” and “camera-graded” quality grades were observed, as well as variations in quality grades across seasons and years. Under grid pricing, producers gained financially from grades called by USDA graders rather than grades measured by cameras.