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A Stepwise Innovation toward Viable Educational Services in Agriculture: Evidence from Japan

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  • Ohe, Yasuo
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    Abstract

    Although the educational function in agriculture is attracting growing attention as a kind of multifunctionality in agriculture, these services are not yet provided as a viable farm product. This paper explores how the educational externality could be internalized to establish a viable market for these services. We focused on educational dairy farms in Japan and used a questionnaire survey to quantitatively evaluate the attitudes of operators toward establishing viable services. First, a conceptual framework was presented to express operators’ orientation toward an economically viable service by incorporating a stepwise internalization process of positive externalities with the help of a social learning network. Then, empirically, statistical tests were conducted and factors that determined this orientation, a viable service determinant function, were explored by the ordered logit model. The result showed that, first, the higher the number of visitors to the farm, the more operators were oriented toward a viable service while no connection with ordinary dairy production was shown. Second, social learning was effective for initiating the internalization process. Third, marketing skills became more important for upgrading the internalization level. Consequently, it is important to create opportunities for those farmers who want to provide consumers with educational services to learn a new role for agriculture and to establish a new income source in a stepwise fashion.

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    Bibliographic Info

    Paper provided by European Association of Agricultural Economists in its series 131st Seminar, September 18-19, 2012, Prague, Czech Republic with number 135771.

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    Date of creation: 18 Sep 2012
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    Handle: RePEc:ags:eaa131:135771

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    Related research

    Keywords: educational tourism; educational function in agriculture; multifunctionality; rural tourism; farm diversification; product innovation; externality; Agribusiness; Agricultural and Food Policy;

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    1. Yamauchi, Futoshi, 2005. "Social learning, neighborhood effects, and investment in human capital: Evidence from Green-Revolution India," FCND discussion papers 190, International Food Policy Research Institute (IFPRI).
    2. Munshi, Kaivan, 2004. "Social learning in a heterogeneous population: technology diffusion in the Indian Green Revolution," Journal of Development Economics, Elsevier, vol. 73(1), pages 185-213, February.
    3. Sanjeev Goyal, 2007. "Introduction to Connections: An Introduction to the Economics of Networks
      [Connections: An Introduction to the Economics of Networks]
      ," Introductory Chapters, Princeton University Press.
    4. Timothy Conley & Udry Christopher, 2001. "Social Learning Through Networks: The Adoption of New Agricultural Technologies in Ghana," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 668-673.
    5. Anat Tchetchik & Aliza Fleischer & Israel Finkelshtain, 2008. "Differentiation and Synergies in Rural Tourism: Estimation and Simulation of the Israeli Market," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(2), pages 553-570.
    6. Isabel Vanslembrouck & Guido Huylenbroeck & J. Meensel, 2005. "Impact of Agriculture on Rural Tourism: A Hedonic Pricing Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 56(1), pages 17-30.
    7. Mark Rosenzweig & Andrew D. Foster, . "Learning by Doing and Learning from Others: Human Capital and Technical Change in Agriculture," Home Pages _068, University of Pennsylvania.
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