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Spatial Externalities in Agriculture: Empirical Analysis, Statistical Identification, and Policy Implications

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  • Lewis, David J.

    (U of Wisconsin)

  • Barham, Bradford L.
  • Zimmerer, Karl S.

Abstract

Spatial externalities can affect economic welfare and landscape pattern by linking farm returns on adjoining parcels of land. While policy can be informed by research that documents spatial externalities, statistically quantifying the presence of externalities from landscape pattern is insufficient for policy guidance unless the underlying cause of the externality can be identified as positive or negative. This article provides a springboard for empirical research by examining the underlying structure, social-environmental interactions, and statistical identification strategies for the analysis and quantification of agricultural spatial externalities that are derived from observations of landscape change. The potential for original policy treatments of agricultural spatial externalities in development and environment outcomes are highlighted.

Suggested Citation

  • Lewis, David J. & Barham, Bradford L. & Zimmerer, Karl S., 2007. "Spatial Externalities in Agriculture: Empirical Analysis, Statistical Identification, and Policy Implications," Staff Paper Series 519, University of Wisconsin, Agricultural and Applied Economics.
    • Handle: RePEc:ecl:wisagr:519
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    4. David J. Lewis & Bradford L. Barham & Brian Robinson, 2011. "Are There Spatial Spillovers in the Adoption of Clean Technology? The Case of Organic Dairy Farming," Land Economics, University of Wisconsin Press, vol. 87(2), pages 250-267.
    5. Mogues, Tewodaj & Yu, Bingxin & Fan, Shenggen & McBride, Linden, 2012. "The impacts of public investment in and for agriculture: synthesis of the existing evidence," ESA Working Papers 288994, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
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    7. Amponsah, Lawrence, 2016. "Modelling the effect of public investment on agricultural productivity in Ghana," MPRA Paper 70924, University Library of Munich, Germany.
    8. Diogo, V. & Reidsma, P. & Schaap, B. & Andree, B.P.J. & Koomen, E., 2017. "Assessing local and regional economic impacts of climatic extremes and feasibility of adaptation measures in Dutch arable farming systems," Agricultural Systems, Elsevier, vol. 157(C), pages 216-229.
    9. Mirela Cristea & Graţiela Georgiana Noja & Eleftherios Thalassinos & Daniel Cîrciumaru & Constantin Ștefan Ponea & Carmen Claudia Durău, 2022. "Environmental, Social and Governance Credentials of Agricultural Companies—The Interplay with Company Size," Resources, MDPI, vol. 11(3), pages 1-12, March.
    10. Li, Sheng & Nadolnyak, Denis & Hartarska, Valentina, 2019. "Agricultural land conversion: Impacts of economic and natural risk factors in a coastal area," Land Use Policy, Elsevier, vol. 80(C), pages 380-390.
    11. Gray, Emily & Ancev, Tihomir & Drynan, Ross, 2011. "Coexistence of GM and non-GM crops with endogenously determined separation," Ecological Economics, Elsevier, vol. 70(12), pages 2486-2493.
    12. Tomasz Pajewski & Barbara Gołębiewska & Agnieszka Sobolewska, 2019. "The Area of Farms and their Influence on Generating Negative Externalities," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 3-14.
    13. Narloch, Ulf & Pascual, Unai & Drucker, Adam G., 2012. "Collective Action Dynamics under External Rewards: Experimental Insights from Andean Farming Communities," World Development, Elsevier, vol. 40(10), pages 2096-2107.
    14. Yeboah Asuamah, Samuel, 2016. "Modelling the Effect of Investment on Agricultural Productivity in Ghana," MPRA Paper 70606, University Library of Munich, Germany.
    15. Farrow, Andrew & Opondo, Chris & Rao, KPC & Tenywa, Moses & Njeru, Rose & Kashaija, Imelda & Kamugisha, Rick & Ramazani, Michel & Nkonya, Ephraim & Kayiranga, Didace & Lubanga, Lunze & Nabahungu, Leon, 2013. "Selecting sites to prove the concept of IAR4D in the Lake Kivu Pilot Learning Site," African Journal of Agricultural and Resource Economics, African Association of Agricultural Economists, vol. 8(3), pages 1-19, August.
    16. Drechsler, Martin, 2023. "A game-theoretic systematic of interactions and dynamics in the conservation and management of spatial ecosystem services," MPRA Paper 117605, University Library of Munich, Germany.
    17. Jie Guo & Tianqi Zhu & Minghao Ou & Fengsong Pei & Xiaoyu Gan & Weixin Ou & Yu Tao, 2018. "A Framework of Payment for Ecosystem Services to Protect Cropland: A Case Study of the Yangtze River Delta in China," Sustainability, MDPI, vol. 10(1), pages 1-18, January.
    18. Chu Qin & Wei Zhang, 2022. "Green, poverty reduction and spatial spillover: an analysis from 21 provinces of China," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 24(12), pages 13610-13629, December.
    19. Diogo, V. & Koomen, E. & Kuhlman, T., 2015. "An economic theory-based explanatory model of agricultural land-use patterns: The Netherlands as a case study," Agricultural Systems, Elsevier, vol. 139(C), pages 1-16.

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