Global Warming and German Agriculture Impact Estimations Using a Restricted Profit Function
This study uses the concept of shadow prices formeasuring the impacts of climate change. By estimatinga restricted profit function rather than a cost or aproduction function the explanatory power of the modelis increased because of an endogenous outputstructure. Using low aggregated panel data on WesternGerman farmers, the results imply that the agricultural production process is significantly influenced by climate conditions. Simulation results using a 2 ×CO 2 climate scenario show positive impactsfor all regions in Germany. Interestingly, the spatialdistribution of the gains is indicating no advantagefor those regions, which currently suffer frominsufficient temperature. Finally, the importance ofan endogenous output structure is confirmed by thefinding that the desired product mix will drasticallychange. Copyright Kluwer Academic Publishers 2001
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Volume (Year): 19 (2001)
Issue (Month): 2 (June)
Pages: 97-112
| Handle: | RePEc:kap:enreec:v:19:y:2001:i:2:p:97-112 |
| DOI: | 10.1023/A:1011178931639 |
| Contact details of provider: | Web page: http://www.springer.com Postal: c/o EAERE Secretariat - Fondazione Eni Enrico Mattei - Isola di San Giorgio Maggiore 8, I-30124 Venice, ItalyPhone: +39.041.2700438 Fax: +39.041.2700412 Web page: http://www.eaere.org/ Email: More information through EDIRC
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| Order Information: | Web: http://www.springer.com/economics/environmental/journal/10640/PS2 |
References listed on IDEAS
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- Livernois, John R & Ryan, David L, 1989. "Testing for Non-jointness in Oil and Gas Exploration: A Variable Profit Function Approach," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 30(2), pages 479-504, May.
- Diewert, Walter E & Wales, Terence J, 1987.
"Flexible Functional Forms and Global Curvature Conditions,"
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Econometric Society, vol. 55(1), pages 43-68, January.
- W. Erwin Diewert & T.J. Wales, 1989. "Flexible Functional Forms and Global Curvature Conditions," NBER Technical Working Papers 0040, National Bureau of Economic Research, Inc.
- William R. Cline, 1992. "Economics of Global Warming, The," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 39, November.
- Kolstad, Charles D. & Kelly, David L. & Mitchell, Glenn, 1999. "Adjustment Costs from Environmental Change Induced by Incomplete Information and Learning," University of California at Santa Barbara, Economics Working Paper Series qt9mx119gc, Department of Economics, UC Santa Barbara.
- Mendelsohn, Robert & Nordhaus, William D & Shaw, Daigee, 1994. "The Impact of Global Warming on Agriculture: A Ricardian Analysis," American Economic Review, American Economic Association, vol. 84(4), pages 753-771, September.
- Reilly, John & Hohmann, Neil, 1993. "Climate Change and Agriculture: The Role of International Trade," American Economic Review, American Economic Association, vol. 83(2), pages 306-312, May.
- Beach, Robert H. & Thomson, Allison M. & McCarl, Bruce A., 2010. "Climate Change Impacts On Us Agriculture," Proceedings Issues, 2010: Climate Change in World Agriculture: Mitigation, Adaptation, Trade and Food Security, June 2010, Stuttgart- Hohenheim, Germany 91393, International Agricultural Trade Research Consortium.
- Kelly, David L. & Kolstad, Charles D. & Mitchell, Glenn T., 2005. "Adjustment costs from environmental change," Journal of Environmental Economics and Management, Elsevier, vol. 50(3), pages 468-495, November.
- repec:cdl:ucsbec:10-99 is not listed on IDEAS
- Dixon, Bruce L. & Hollinger, Steven E. & Garcia, Philip & Tirupattur, Viswanath, 1994. "Estimating Corn Yield Response Models To Predict Impacts Of Climate Change," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 19(01), July. Full references (including those not matched with items on IDEAS)
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