Agri-food Value Chain Revolutions in Low- and Middle-Income Countries

Journal of Economic Literature · 2022 · 295 citations

• Political Science
• Economics
• Business

Agri-food value chains (AVCs) intermediate the flow of products between largely rural farmers, fisherfolk, or herders and increasingly urban consumers. The theoretical models that historically structured research on the economic development process assumed away AVC functions, however, and AVC firms and workers were necessarily omitted from the household data that generated most empirical findings in the agricultural and development economics literatures. As a result, the discipline has somewhat overlooked the rapid growth and structural change in AVCs over the past few decades that turned AVCs into major employers and sources of value addition, as well as key loci for technology transfer and foreign investment. This paper offers an integrated, structured, empirical narrative of how and why AVC revolutions occur in developing countries, the impacts of those changes, and the abundant economic research opportunities these structural changes afford economists. (JEL L14, L81, O13, O33, Q12, Q13, Q17)

Lessons Learned from US Experience with Biofuels: Comparing the Hype with the Evidence

Review of Environmental Economics and Policy · 2021 · 38 citations

• Economics
• Agricultural economics
• Natural resource economics

Biofuel production in the United States, primarily from corn, has more than doubled since 2007, leading to concerns about its unintended consequences for agricultural and fuel markets. To examine the validity of these concerns and inform the debate about biofuels and their impacts, we review ex ante projections and ex post evidence of the effects of biofuels on land use, food and fuel prices, and greenhouse gas (GHG) emissions. We find that biofuels expansion contributed to an initial significant increase in agricultural commodity prices, but these impacts have dissipated over time as crop productivity has increased and cropping patterns have changed. Simulated estimates of indirect land use change and the related GHG emissions intensity of biofuels have also declined sharply from their early levels, which is consistent with ex post evidence. Additionally, growth in biofuel production caused a very modest reduction in fossil fuel prices, implying a small fuel rebound effect. Overall, estimates imply that first-generation biofuels from corn have a lower carbon intensity than gasoline. Finally, learning by doing, economies of scale, and technological improvements have made biofuels from corn increasingly competitive, reducing the need for subsidies and import tariffs. We conclude with a discussion of the lessons learned from the US biofuels experience.

Compound natural and human disasters: Managing drought and COVID-19 to sustain global agriculture and food sectors

The Science of The Total Environment · 2020 · 190 citations

• Business
• Natural resource economics
• Development economics