A real option analysis of dry-grind corn ethanol plants compared to a standard net present value analysis (NPV) shows that the option values increase entry prices and lower exit prices of investment and disinvestment considerably. For a large plant, the gross margin of ethanol price over the...

The US hog and dairy sectors are increasingly shifting production toward western states away from more traditional production regions in the east. In contrast, production levels in the fed-cattle sector have increased over the last three decades only in the three main producing states. One...

The US hog and dairy sectors are increasingly shifting production toward western states away from more traditional production regions in the east. In contrast, production levels in the fed-cattle sector have increased over the last three decades only in the three main producing states. One...

This study assesses the economic and environmental effects to hog finishing farms from residual taxes/standards and restrictions on manure application and stocking density. Economic effects are measured in terms of net farm income and land prices, while levels of ammonia and excess nitrogen and...

Approximately 40% of farmland is rented in Canada (Statistics Canada, 2011). In our survey, approximately ninety-five percent of the farmers that rent land also farm on their own land. This provides a unique empirical opportunity to assess the influence of ownership on farmers’ decision to...

To meet its commitment to the Kyoto Protocol (KP), Canada must reduce its current annual GHG emissions (694 MT CO2 equivalent) by 240 MT CO2. Canada’s agricultural industries have the potential to generate a carbon sink of 10 MT CO2 (Government of Canada, 2003). The purpose of this...

Fundamental to the assertion that environmental regulatory standards are strategically set by decentralized authorities and consequently firms respond to spatial differences in regulatory standards is the underline causal relationship. Establishing the cause-effect association between regulatory...

The economic efficiency of cropping options to mitigate GHG emissions with agriculture in Eastern Canada was analyzed. Data on yield response to tillage (moldboard plow and chisel plow) and six corn based rotations were obtained from a 20-year field experiment in Ontario. Budgets were...

Cost-effectiveness is an important consideration in evaluating choices for meeting environmental quality objectives. Estimated crop yield response functions and the associated groundwater-nitrate pollution production functions were used to evaluate the optimal N fertilization and on-farm...