Benefits of Public R&D in U.S. Agriculture: Spill-Ins, Extension, and Roads
AbstractThis paper uses panel data for the 1980-2004 period to estimate the contributions of public research to U.S. agricultural productivity growth. Local and social internal rates of return are estimated accounting for the effects of R&D spill-in, extension activities and road density. R&D spill-in proxies were constructed based on both geographic proximity and production profile to examine the sensitivity of the rates of return to these alternatives. We find that extension activities, road density, and R&D spill-ins, play an important role in enhancing the benefit of public R&D investments. We also find that the local internal rates of return, although high, have declined through time along with investments in extension, while the social rates have not. Yet, the social rates of return are not robust to the choice of spill-in proxy.
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Bibliographic InfoPaper provided by International Association of Agricultural Economists in its series 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil with number 126368.
Date of creation: 2012
Date of revision:
productivity; public R&D; R&D spill-ins; extension; road density; internal rate of return; cost function.; Agricultural and Food Policy; Productivity Analysis; Research and Development/Tech Change/Emerging Technologies; Q16; O3; O4;
Find related papers by JEL classification:
- Q16 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - R&D; Agricultural Technology; Biofuels; Agricultural Extension Services
- O3 - Economic Development, Technological Change, and Growth - - Technological Change; Research and Development; Intellectual Property Rights
- O4 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity
This paper has been announced in the following NEP Reports:
- NEP-AGR-2012-07-23 (Agricultural Economics)
- NEP-ALL-2012-07-23 (All new papers)
- NEP-EFF-2012-07-23 (Efficiency & Productivity)
- NEP-INO-2012-07-23 (Innovation)
- NEP-TRE-2012-07-23 (Transport Economics)
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