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A Structural Land-Use Analysis of Agricultural Adaptation to Climate Change: A Proactive Approach

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  • Jonathan Kaminski
  • Iddo Kan
  • Aliza Fleischer

Abstract

This article proposes a proactive approach for analyzing agricultural adaptation to climate change wherein agricultural production technologies are regarded as potential targets of research and development (R&D) efforts. We develop a structural land-use model wherein farmers maximize profit by allocating their land among crop-technology bundles. Proactive R&D directions are derived by identifying the technological attributes through which climate change reduces overall agricultural profitability, despite farmers reallocating their land into bundles. We find that in Israel, long-term losses stem from increases in crops' input requirements and changes in the inter- and intra-annual distribution of precipitations. Therefore, we identify these vulnerable points as the main potential targets of further R&D efforts. Copyright 2013, Oxford University Press.

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  • Jonathan Kaminski & Iddo Kan & Aliza Fleischer, 2013. "A Structural Land-Use Analysis of Agricultural Adaptation to Climate Change: A Proactive Approach," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 95(1), pages 70-93.
    • Handle: RePEc:oup:ajagec:v:95:y:2013:i:1:p:70-93
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    Cited by:

    1. Kimhi, A., 2018. "Integrated Micro-Macro Structural Econometric Framework for Assessing Climate-Change Impacts on Agricultural Production and Food Markets," 2018 Conference, July 28-August 2, 2018, Vancouver, British Columbia 276972, International Association of Agricultural Economists.
    2. Alain Carpentier & Elodie Letort, 2014. "Multicrop Production Models with Multinomial Logit Acreage Shares," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 59(4), pages 537-559, December.
    3. Eric Njuki & Boris E Bravo-Ureta & Víctor E Cabrera, 2020. "Climatic effects and total factor productivity: econometric evidence for Wisconsin dairy farms," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 47(3), pages 1276-1301.
    4. Femenia, Fabienne & Letort, Elodie, 2014. "Economic incentives to the adoption of low input cropping systems: the case of multi-resistant wheat cultivars in France," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182743, European Association of Agricultural Economists.
    5. McFadden, Jonathan R., 2015. "Essays on climate change adaptation and biotechnologies in U.S. agriculture," ISU General Staff Papers 201501010800005635, Iowa State University, Department of Economics.
    6. Kan, Iddo & Kimhi, Ayal & Kaminski, Jonathan, 2015. "Climate-Change Impacts on Agriculture and Food Markets: Combining a Micro-Level Structural Land-Use Model and a Market-Level Equilibrium Model," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205128, Agricultural and Applied Economics Association.
    7. Spolador, Humberto Francisco Silva & Smith, Rodney B.W., 2014. "The Effects of Climate Changes on Brazilian Agricultural Production – A Multisector Growth Model Analysis," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170294, Agricultural and Applied Economics Association.
    8. Ferreira, Marcelo D P & Feres, Jose, 2018. "The Role of Climate Risk on Land Allocation in Brazilian Amazon," 2018 Annual Meeting, August 5-7, Washington, D.C. 274436, Agricultural and Applied Economics Association.
    9. Kan, Iddo & Kimhi, Ayal & Kaminski, Jonathan, 2014. "The impact of climate change on agriculture and food prices: combining a micro land use model and a market equilibrium model," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 183024, European Association of Agricultural Economists.
    10. Czyżewski, Bazyli & Trojanek, Radosław, 2016. "Drivers of agricultural land prices in terms of different functions of rural areas in Poland," Problems of Agricultural Economics / Zagadnienia Ekonomiki Rolnej 249742, Institute of Agricultural and Food Economics - National Research Institute (IAFE-NRI).
    11. Njuki, Eric & Bravo-Ureta, Boris E., 2016. "Measuring agricultural water productivity using a partial factor productivity approach," 2016 Fifth International Conference, September 23-26, 2016, Addis Ababa, Ethiopia 246948, African Association of Agricultural Economists (AAAE).
    12. Féménia, Fabienne & Letort, Elodie, 2016. "How to achieve significant reduction in pesticide use? An empirical evaluation of the impacts of pesticide taxation associated to a change in cropping practice," Working Papers 233482, Institut National de la recherche Agronomique (INRA), Departement Sciences Sociales, Agriculture et Alimentation, Espace et Environnement (SAE2).
    13. McFadden, Jonathan & Miranowski, John, "undated". "Climate Change Impacts on the Intensive and Extensive Margins of US Agricultural Land," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170512, Agricultural and Applied Economics Association.
    14. Gaurav Arora & Hongli Feng & Christopher J. Anderson & David A. Hennessy, 2020. "Evidence of climate change impacts on crop comparative advantage and land use," Agricultural Economics, International Association of Agricultural Economists, vol. 51(2), pages 221-236, March.
    15. Israel Finkelshtain & Iddo Kan & Mickey Rapaport‐Rom, 2020. "Substitutability of Freshwater and Non‐Freshwater Sources in Irrigation: an Econometric Analysis," American Journal of Agricultural Economics, John Wiley & Sons, vol. 102(4), pages 1105-1134, August.
    16. Kan, Iddo & Reznik, Ami & Kimhi, Ayal & Kaminski, Jonathan, 2018. "The Impacts of Climate Change on Cropland Allocation, Crop Production, Output Prices and Social Welfare in Israel: A Structural Econometric Framework," Discussion Papers 290059, Hebrew University of Jerusalem, Department of Agricultural Economics and Management.
    17. Femenia, Fabienne & Letort, Elodie, 2016. "How to significantly reduce pesticide use: An empirical evaluation of the impacts of pesticide taxation associated with a change in cropping practice," Ecological Economics, Elsevier, vol. 125(C), pages 27-37.
    18. Cornelis Gardebroek & Jeffrey J. Reimer & Lieneke Baller, 2017. "The Impact of Biofuel Policies on Crop Acreages in Germany and France," Journal of Agricultural Economics, Wiley Blackwell, vol. 68(3), pages 839-860, September.
    19. Fogarasi, József & Kemény, Gábor & Molnár, András & Keményné Horváth, Zsuzsanna & Zubor-Nemes, Anna & Kiss, Andrea, 2016. "Modelling climate effects on Hungarian winter wheat and maize yields," Studies in Agricultural Economics, Research Institute for Agricultural Economics, vol. 118(2), pages 1-6, August.
    20. Kan, Iddo & Kimhi, Ayal & Kaminski, Jonathan, 2015. "Micro-Macro Impacts of Climate-Change on Agriculture and Food Markets," 2015 Conference, August 9-14, 2015, Milan, Italy 211828, International Association of Agricultural Economists.
    21. Czyżewski, Bazyli, 2016. "Political Rents of European Farmers in the Sustainable Development Paradigm. International, national and regional perspective," MPRA Paper 74253, University Library of Munich, Germany.

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