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The Role of Craft Breweries in Expanding (Local) Hop Production

Author

Listed:
  • Dobis, Elizabeth A.
  • Reid, Neil
  • Schmidt, Claudia
  • Goetz, Stephan J.

Abstract

Hop production has expanded dramatically in recent years along with the number of local craft breweries, but to date the relationship between these two phenomena has not been explored systematically. Using a state-level pooled count data model with observations from 2007, 2012, and 2017, we examine the independent lagged effects of breweries on the number of hop farms and acres grown, holding constant fixed effects and key economic and geographic factors. Our results confirm that the number of breweries is associated with more hop production (farms and acres) five years later, while warmer temperatures and higher land prices discourage it. (JEL Classifications: L66, Q11, R30)

Suggested Citation

  • Dobis, Elizabeth A. & Reid, Neil & Schmidt, Claudia & Goetz, Stephan J., 2019. "The Role of Craft Breweries in Expanding (Local) Hop Production," Journal of Wine Economics, Cambridge University Press, vol. 14(4), pages 374-382, November.
    • Handle: RePEc:cup:jwecon:v:14:y:2019:i:4:p:374-382_4
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    Citations

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    Cited by:

    1. Aaron J. Staples & Carson J. Reeling & Nicole J. Olynk Widmar & Jayson L. Lusk, 2020. "Consumer willingness to pay for sustainability attributes in beer: A choice experiment using eco‐labels," Agribusiness, John Wiley & Sons, Ltd., vol. 36(4), pages 591-612, October.
    2. Staples, Malone & Chambers, Dustin & Malone, Trey, 2020. "The economic geography of beer regulations," Center for Growth and Opportunity at Utah State University 307180, Center for Growth and Opportunity.
    3. Aaron J. Staples & Trey Malone & J. Robert Sirrine, 2021. "Hopping on the localness craze: What brewers want from state‐grown hops," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 42(2), pages 463-473, March.
    4. Lucie Severová & Karel Šrédl & Marie Prášilová & Michal Štěbeták & Roman Svoboda & Dita Hommerová & Lenka Kopecká, 2021. "The Influence of the Growth of the Number of Microbreweries on the Use of Farmland and on the Cultivation of Hops in the Czech Republic: A Case Study," Land, MDPI, vol. 10(8), pages 1-17, July.
    5. Aaron J. Staples & Dustin Chambers & Trey Malone, 2022. "How many regulations does it take to get a beer? The geography of beer regulations," Regulation & Governance, John Wiley & Sons, vol. 16(4), pages 1197-1210, October.

    More about this item

    JEL classification:

    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco
    • Q11 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Aggregate Supply and Demand Analysis; Prices
    • R30 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - General

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