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A Note on the Locational Determinants of the Agricultural Supply Chain

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  • Anders Van Sandt
  • Craig Wesley Carpenter

Abstract

Over the past several decades, an increasing share of the agricultural supply chain is located beyond the farmgate, implying that some set of economic factors are influencing the location decisions of food and agricultural establishments. We explore the location decisions of several food and agricultural industries for employer and non-employer establishments by expanding on the empirical implications of Carpenter et al. (2021)’s demand threshold models. While Carpenter et al. (2021) focus on methods to estimate these industries’ demand thresholds using restricted access data, we focus on expanding the interpretations of their empirical research and explore additional industries along the agricultural supply chain using their refined methods. Results highlight the influential role of the Land Grant University system for specific establishment types, the importance of diverse industries within local economies, and the changing rurality of the agricultural supply chain.

Suggested Citation

  • Anders Van Sandt & Craig Wesley Carpenter, 2021. "A Note on the Locational Determinants of the Agricultural Supply Chain," Working Papers 21-16, Center for Economic Studies, U.S. Census Bureau.
    • Handle: RePEc:cen:wpaper:21-16
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    References listed on IDEAS

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    1. Paulo Guimarães & Octávio Figueirdo & Douglas Woodward, 2003. "A Tractable Approach to the Firm Location Decision Problem," The Review of Economics and Statistics, MIT Press, vol. 85(1), pages 201-204, February.
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    3. Craig W. Carpenter & Anders Van Sandt & Rebekka Dudensing & Scott Loveridge, 2022. "Profit Pools and Determinants of Potential County-Level Manufacturing Growth," International Regional Science Review, , vol. 45(2), pages 188-224, March.
    4. Rupasingha, Anil & Goetz, Stephan J. & Freshwater, David, 2006. "The production of social capital in US counties," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(1), pages 83-101, February.
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    7. Conroy, Tessa & Deller, Steven & Tsvetkova, Alexandra, 2016. "Regional business climate and interstate manufacturing relocation decisions," Regional Science and Urban Economics, Elsevier, vol. 60(C), pages 155-168.
    8. Craig Wesley Carpenter & Anders Van Sandt & Scott Loveridge, 2021. "Empirical methods in business location research," Regional Studies, Regional Science, Taylor & Francis Journals, vol. 8(1), pages 344-361, January.
    9. Anders Van Sandt & Craig Wesley Carpenter & Rebekka Dudensing & Scott Loveridge, 2021. "Estimating determinants of healthcare establishment locations with restricted federal administrative data," Health Economics, John Wiley & Sons, Ltd., vol. 30(6), pages 1328-1346, June.
    10. Kalyan Chakraborty, 2012. "Estimation of Minimum Market Threshold for Retail Commercial Sectors," International Advances in Economic Research, Springer;International Atlantic Economic Society, vol. 18(3), pages 271-286, August.
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    Cited by:

    1. Anders Van Sandt & Craig Wesley Carpenter, 2022. "So Close, Yet So Far: The Benefits and Limits of Rural–Urban Industry Linkages," Sustainability, MDPI, vol. 14(5), pages 1-21, March.

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    Keywords

    Agriculture; supply chain; demand threshold; location decisions; non-employers;
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