IDEAS home Printed from https://ideas.repec.org/a/spr/agfoec/v12y2024i1d10.1186_s40100-024-00323-9.html
   My bibliography  Save this article

The effect of farm size and farmland use on agricultural diversification: a spatial analysis of Brazilian municipalities

Author

Listed:
  • José Luiz Parré

    (State University of Maringá)

  • André Luis Squarize Chagas

    (University of São Paulo)

  • Mary Paula Arends-Kuenning

    (University of Illinois Urbana-Champaign)

Abstract

Brazilian agriculture is characterized by the prevalence of small farms and regions with a high degree of rurality and dominance of the agricultural sector in the economy. These two characteristics affect the diversity of agricultural production in the country. Specifically, the article aims to analyze the effects of size farm and farmland use on agricultural diversification and the effects of demand and technology adopted by farmers. The database encompasses 4298 Brazilian municipalities from 1996 to 2017 (the last three agricultural censuses). Empirically, we consider spillover effects by estimating spatial models at the municipal level using panel data, highlighting the importance of location and neighborhood. The study’s findings indicate a tendency toward local concentration of agricultural production in the country, despite the balance between municipalities with diversified and concentrated production. The results showed a significant effect of small farms and the municipalities’ rurality degree on the agricultural output diversification. The study provides insights into the discussion on measures to strengthen support for small properties and regions that diversify crops to ensure economic efficiency and food security.

Suggested Citation

  • José Luiz Parré & André Luis Squarize Chagas & Mary Paula Arends-Kuenning, 2024. "The effect of farm size and farmland use on agricultural diversification: a spatial analysis of Brazilian municipalities," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 12(1), pages 1-21, December.
    • Handle: RePEc:spr:agfoec:v:12:y:2024:i:1:d:10.1186_s40100-024-00323-9
    DOI: 10.1186/s40100-024-00323-9
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1186/s40100-024-00323-9
    File Function: Abstract
    Download Restriction: no
    File URL: https://libkey.io/10.1186/s40100-024-00323-9?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Stephen Gibbons & Henry G. Overman, 2012. "Mostly Pointless Spatial Econometrics?," Journal of Regional Science, Wiley Blackwell, vol. 52(2), pages 172-191, May.
    2. Wollni, Meike & Andersson, Camilla, 2014. "Spatial patterns of organic agriculture adoption: Evidence from Honduras," Ecological Economics, Elsevier, vol. 97(C), pages 120-128.
    3. Jan Mutl & Michael Pfaffermayr, 2011. "The Hausman test in a Cliff and Ord panel model," Econometrics Journal, Royal Economic Society, vol. 14, pages 48-76, February.
    4. Donfouet, Hermann Pythagore Pierre & Barczak, Aleksandra & Détang-Dessendre, Cécile & Maigné, Elise, 2017. "Crop Production and Crop Diversity in France: A Spatial Analysis," Ecological Economics, Elsevier, vol. 134(C), pages 29-39.
    5. Agnieszka Kurdyś-Kujawska & Agnieszka Strzelecka & Danuta Zawadzka, 2021. "The Impact of Crop Diversification on the Economic Efficiency of Small Farms in Poland," Agriculture, MDPI, vol. 11(3), pages 1-21, March.
    6. Di Falco, Salvatore & Bezabih, Mintewab & Yesuf, Mahmud, 2010. "Seeds for livelihood: Crop biodiversity and food production in Ethiopia," Ecological Economics, Elsevier, vol. 69(8), pages 1695-1702, June.
    7. Culas, Richard J. & Mahendrarajah, Mahen, 2005. "Causes of Diversification in Agriculture Over Time: Evidence From Norwegian Farming Sector," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24647, European Association of Agricultural Economists.
    8. Jiang, Lei & Folmer, Henk & Ji, Minhe & Zhou, P., 2018. "Revisiting cross-province energy intensity convergence in China: A spatial panel analysis," Energy Policy, Elsevier, vol. 121(C), pages 252-263.
    9. Md Ejaz Anwer & Bimal Kishore Sahoo & Simantini Mohapatra, 2019. "Spatio-temporal variations in agricultural diversification in India," Journal of Agribusiness in Developing and Emerging Economies, Emerald Group Publishing Limited, vol. 9(5), pages 476-502, October.
    10. Song, Xiaoqing & Wang, Xiong & Li, Xinyi & Zhang, Weina & Scheffran, Jürgen, 2021. "Policy-oriented versus market-induced: Factors influencing crop diversity across China," Ecological Economics, Elsevier, vol. 190(C).
    11. Boncinelli, Fabio & Bartolini, Fabio & Casini, Leonardo, 2018. "Structural factors of labour allocation for farm diversification activities," Land Use Policy, Elsevier, vol. 71(C), pages 204-212.
    12. Salvatore Di Falco & Jean-Paul Chavas, 2008. "Rainfall Shocks, Resilience, and the Effects of Crop Biodiversity on Agroecosystem Productivity," Land Economics, University of Wisconsin Press, vol. 84(1), pages 83-96.
    13. Jiang, Lei & Folmer, Henk & Ji, Minhe, 2014. "The drivers of energy intensity in China: A spatial panel data approach," China Economic Review, Elsevier, vol. 31(C), pages 351-360.
    14. Isbell, Carina & Tobin, Daniel & Reynolds, Travis, 2021. "Motivations for maintaining crop diversity: Evidence from Vermont's seed systems," Ecological Economics, Elsevier, vol. 189(C).
    15. Ndip, Francis Ebai & Molua, Ernest L. & Mvodo, Meyo-Elise Stephanie & Nkendah, Robert & Djomo Choumbou, Raoul Fani & Tabetando, Rayner & Akem, Nina Fabinin, 2023. "Farmland Fragmentation, crop diversification and incomes in Cameroon, a Congo Basin country," Land Use Policy, Elsevier, vol. 130(C).
    16. Benin, S. & Smale, M. & Pender, J. & Gebremedhin, B. & Ehui, S., 2004. "The economic determinants of cereal crop diversity on farms in the Ethiopian highlands," Agricultural Economics, Blackwell, vol. 31(2-3), pages 197-208, December.
    17. Jean-Paul Chavas & Salvatore Di Falco, 2012. "On the Productive Value of Crop Biodiversity: Evidence from the Highlands of Ethiopia," Land Economics, University of Wisconsin Press, vol. 88(1), pages 58-74.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. José Luiz Parré & André Luis Squarize Chagas, 2022. "Determinants of agricultural diversification in Brazil: a spatial econometric analysis," Letters in Spatial and Resource Sciences, Springer, vol. 15(2), pages 173-195, August.
    2. Tesfaye, Wondimagegn & Tirivayi, Nyasha, 2020. "Crop diversity, household welfare and consumption smoothing under risk: Evidence from rural Uganda," World Development, Elsevier, vol. 125(C).
    3. François Bareille & Pierre Dupraz, 2017. "Biodiversity Productive Capacity in Mixed Farms of North-West of France: a Multi-output Primal System," Working Papers SMART 17-03, INRAE UMR SMART.
    4. Nilsson, Pia & Bommarco, Riccardo & Hansson, Helena & Kuns, Brian & Schaak, Henning, 2022. "Farm performance and input self-sufficiency increases with functional crop diversity on Swedish farms," Ecological Economics, Elsevier, vol. 198(C).
    5. Ibirénoyé Romaric Sodjahin & Fabienne Femenia & Obafemi Philippe Koutchade & A. Carpentier, 2022. "On the economic value of the agronomic effects of crop diversification for farmers: estimation based on farm cost accounting data [Valeur économique des effets agronomiques de la diversification de," Working Papers hal-03639951, HAL.
    6. Vijesh Krishna & Matin Qaim & David Zilberman, 2016. "Transgenic crops, production risk and agrobiodiversity," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 43(1), pages 137-164.
    7. François Bareille & Pierre Dupraz, 2020. "Productive Capacity of Biodiversity: Crop Diversity and Permanent Grasslands in Northwestern France," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 77(2), pages 365-399, October.
    8. Diop, Thierno Bocar & Védrine, Lionel, 2025. "Did crop diversity criterion from CAP green payments affect both economic and environmental farm performances? Quasi-experimental evidence from France," Ecological Economics, Elsevier, vol. 227(C).
    9. Song, Xiaoqing & Wang, Xiong & Li, Xinyi & Zhang, Weina & Scheffran, Jürgen, 2021. "Policy-oriented versus market-induced: Factors influencing crop diversity across China," Ecological Economics, Elsevier, vol. 190(C).
    10. Eder, Andreas & Salhofer, Klaus & Quddoos, Abdul, 2024. "The impact of cereal crop diversification on farm labor productivity under changing climatic conditions," Ecological Economics, Elsevier, vol. 223(C).
    11. Donfouet, Hermann Pythagore Pierre & Barczak, Aleksandra & Détang-Dessendre, Cécile & Maigné, Elise, 2017. "Crop Production and Crop Diversity in France: A Spatial Analysis," Ecological Economics, Elsevier, vol. 134(C), pages 29-39.
    12. Makate, Clifton & Angelsen, Arild & Holden, Stein Terje & Westengen, Ola Tveitereid, 2023. "Evolution of farm-level crop diversification and response to rainfall shocks in smallholder farming: Evidence from Malawi and Tanzania," Ecological Economics, Elsevier, vol. 205(C).
    13. Mintewab Bezabih & Mare Sarr, 2012. "Risk Preferences and Environmental Uncertainty: Implications for Crop Diversification Decisions in Ethiopia," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 53(4), pages 483-505, December.
    14. Thierno Bocar Diop & Lionel Védrine, 2024. "Did crop diversity criterion from CAP green payments affect both economic and environmental farm performances? Quasi-experimental evidence from France," Post-Print hal-04739921, HAL.
    15. Bareille, François & Dupraz, Pierre, 2016. "Biodiversity productive effects in milk farms of western France: a multi-output primal system," 149th Seminar, October 27-28, 2016, Rennes, France 244774, European Association of Agricultural Economists.
    16. Frank Davenport, 2017. "Estimating standard errors in spatial panel models with time varying spatial correlation," Papers in Regional Science, Wiley Blackwell, vol. 96, pages 155-177, March.
    17. Takeshima, Hiroyuki & Hatzenbuehler, Patrick L. & Edeh, Hyacinth O., 2020. "Effects of agricultural mechanization on economies of scope in crop production in Nigeria," Agricultural Systems, Elsevier, vol. 177(C).
    18. Elisa Gatto & Alba Marino & Guido Signorino, 2013. "Biodiversity and risk management in agriculture: what do we learn from CAP reforms? A farm-level analysis," ERSA conference papers ersa13p805, European Regional Science Association.
    19. Yingqi Wei & Sasa Ding & Ziko Konwar, 2022. "The two faces of FDI in environmental performance: a meta-analysis of empirical evidence in China," Journal of Chinese Economic and Business Studies, Taylor & Francis Journals, vol. 20(1), pages 65-94, January.
    20. Pascual, Unai & Narloch, Ulf & Nordhagen, Stella & Drucker, Adam G., 2011. "The economics of agrobiodiversity conservation for food security under climate change," Economia Agraria y Recursos Naturales, Spanish Association of Agricultural Economists, vol. 11(01), pages 1-30, November.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:spr:agfoec:v:12:y:2024:i:1:d:10.1186_s40100-024-00323-9. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.