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Effects of Energy Cost Increases and Regional Allocation Policies on Agricultural Production

Author

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  • Richard M. Adams
  • Gordon A. King
  • Warren E. Johnston

Abstract

Some of the impacts of energy cost increases and reduced supplies on the product mix of annual field crops and vegetables in California are analyzed. A quadratic programming model including risk is used to evaluate the effects of increased energy costs and reductions in fertilizer and in fuel supplies. The model includes a demand matrix of some nine field crops and twenty-eight seasonal vegetables. The study also considers the relative impact of energy changes on producer and consumer welfare. Results suggest continued viability of vegetable production but differential consumer and producer impacts associated with energy changes.

Suggested Citation

  • Richard M. Adams & Gordon A. King & Warren E. Johnston, 1977. "Effects of Energy Cost Increases and Regional Allocation Policies on Agricultural Production," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(3), pages 444-455.
  • Handle: RePEc:oup:ajagec:v:59:y:1977:i:3:p:444-455.
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    File URL: http://hdl.handle.net/10.2307/1239646
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    Citations

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    Cited by:

    1. Kliebenstein, James B. & Farthing, Douglas C., 1979. "Impacts of Fuel Pricing and Non-Price Allocation Scenarios On High and Low Risk Crop Producers," 1979 Annual Meeting, July 29-August 1, Pullman, Washington 278181, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Lei, L. F. & Epperson, J. E., 1987. "A Regional Analysis Of Vegetable Versus Row Crop Production Using Quadratic Progr.Amming," 1987 Annual Meeting, August 2-5, East Lansing, Michigan 269944, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Pagoulatos, Angelos & Debertin, David L. & Pagoulatos, Emilio, 1978. "Government Price Policies And The Availability Of Crude Oil," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 3(1), pages 1-16, July.
    4. Kliebenstein, James B. & Farthing, Douglas C., 1979. "Impacts of Fuel Pricing and Non-Price Allocation Scenarios On High and Low Risk Crop Producers," 1979 Annual Meeting, July 29-August 1, Pullman, Washington 277840, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Epperson, J.E. & Lei, L.F., 1989. "A Regional Analysis of Vegetable Production with Changing Demand for Row Crops Using Quadratic Programming," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 21(1), pages 87-96, July.
    6. Sureshwaran, Suresh & Thompson, C. Stassen & Henry, Mark S. & Loyd, M.I., 1990. "Economic Surplus And The Distributional Consequences Of Deregulating Tobacco Production," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 22(2), pages 1-11, December.
    7. M.N. Christensen & G.W. Harrison & L.J. Kimbell, 1982. "Competition for California's Water: The role of energy," Economics Discussion / Working Papers 82-21, The University of Western Australia, Department of Economics.
    8. Musser, Wesley N. & Lambert, Dayton M. & Daberkow, Stan G., 2006. "Factors Affecting Direct and Indirect Energy Use in U.S. Corn Production," 2006 Annual meeting, July 23-26, Long Beach, CA 21063, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    9. Epperson, J. E. & Tyan, H. L. & Carley, D. H., 1982. "Effects of Removal of the Peanut Program on Georgia Production and Distribution of Selected Fresh Produce," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 14(1), pages 153-159, July.
    10. Gowdy, John M. & Miller, Jack L. & Kherbachi, Hamid, 1987. "Energy Use in U.S. Agriculture: Early Adjustment to the 1973-74 Price Shock," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 19(2), pages 33-42, December.
    11. Musser, Wesley N. & Stamoulis, Kostas G., 1980. "Risk Transfer And Commodity Programs," Risk Analysis in Agriculture: Research and Educational Developments, January 16-18, 1980, Tucson, Arizona 271565, Regional Research Projects > W-149: An Economic Evaluation of Managing Market Risks in Agriculture.

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