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Agent Heterogeneity in Adoption of Anaerobic Digestion Technology: Integrating Economic, Diffusion, and Behavioral Innovation Theories

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  • Clark P. Bishop
  • C. Richard Shumway
  • Philip R. Wandschneider

Abstract

Anaerobic digestion technology addresses environmental issues of waste disposal and greenhouse gas emission reduction. This paper examines attitudes toward adoption of this conservation technology on dairy farms. To specify an appropriate dependent variable without a large number of adopters, an ordered probit model is constructed. The empirical analysis uses data from a 2006 survey of Pacific Northwest dairy farms. Aggregate variables are constructed based on behavioral economics and conservation adoption literature. Variables include private and social costs, social motives, capacity, innovation receptivity, and opportunity costs, most of which are found to be highly related to the decision to seriously consider adoption.

Suggested Citation

  • Clark P. Bishop & C. Richard Shumway & Philip R. Wandschneider, 2010. "Agent Heterogeneity in Adoption of Anaerobic Digestion Technology: Integrating Economic, Diffusion, and Behavioral Innovation Theories," Land Economics, University of Wisconsin Press, vol. 86(3).
  • Handle: RePEc:uwp:landec:v:86:y:2010:iii:1:p585-608
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    References listed on IDEAS

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    1. Christine A. Ervin & David E. Ervin, 1982. "Factors Affecting the Use of Soil Conservation Practices: Hypotheses, Evidence, and Policy Implications," Land Economics, University of Wisconsin Press, vol. 58(3), pages 277-292.
    2. Levine, Daniel S., 2006. "Neural modeling of the dual motive theory of economics," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 35(4), pages 613-625, August.
    3. Upadhyay, Bharat Mani & Young, Douglas L. & Wang, H. Holly & Wandschneider, Philip R., 2002. "How Do Farmers Who Adopt Multiple Conservation Practices Differ From Their Neighbors?," 2002 Annual Meeting, July 28-31, 2002, Long Beach, California 36658, Western Agricultural Economics Association.
    4. Meredith J. Soule & Abebayehu Tegene & Keith D. Wiebe, 2000. "Land Tenure and the Adoption of Conservation Practices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(4), pages 993-1005.
    5. Schmid, A. Allan & Robison, Lindon J., 1995. "Applications Of Social Capital Theory," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 27(01), July.
    6. Lynne, Gary D., 1995. "Modifying The Neo-Classical Approach To Technology Adoption With Behavioral Science Models," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 27(01), July.
    7. Daniel Bromley, 2004. "Reconsidering Environmental Policy: Prescriptive Consequentialism and Volitional Pragmatism," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, pages 73-99.
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    Citations

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    Cited by:

    1. Walters, Cory G. & Shumway, C. Richard & Chouinard, Hayley H. & Wandschneider, Philip R., 2012. "Crop Insurance, Land Allocation, and the Environment," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 37(2), August.
    2. Ribaudo, Marc & Delgado, Jorge & Hansen, LeRoy T. & Livingston, Michael J. & Mosheim, Roberto & Williamson, James M., 2011. "Nitrogen in Agricultural Systems: Implications for Conservation Policy," Economic Research Report 118022, United States Department of Agriculture, Economic Research Service.
    3. Czap, Natalia V. & Czap, Hans J. & Khachaturyan, Marianna & Lynne, Gary D. & Burbach, Mark, 2012. "Walking in the shoes of others: Experimental testing of dual-interest and empathy in environmental choice," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 41(5), pages 642-653.
    4. Chouinard, Hayley H. & Wandschneider, Philip R. & Paterson, Tobias, 2016. "Inferences from sparse data: An integrated, meta-utility approach to conservation research," Ecological Economics, Elsevier, vol. 122(C), pages 71-78.
    5. Czap, Natalia V. & Czap, Hans J. & Lynne, Gary D. & Burbach, Mark E., 2015. "Walk in my shoes: Nudging for empathy conservation," Ecological Economics, Elsevier, vol. 118(C), pages 147-158.
    6. Jean McGuire & Lois Morton & Alicia Cast, 2013. "Reconstructing the good farmer identity: shifts in farmer identities and farm management practices to improve water quality," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 30(1), pages 57-69, March.
    7. Sulemana, Iddisah & James, Harvey S., 2014. "Farmer identity, ethical attitudes and environmental practices," Ecological Economics, Elsevier, vol. 98(C), pages 49-61.
    8. Du, Xiaodong & Carriquiry, Miguel A., 2013. "Spatiotemporal analysis of ethanol market penetration," Energy Economics, Elsevier, vol. 38(C), pages 128-135.
    9. Tubetov, Dulat & Musshoff, Oliver & Kellner, Ulla, 0. "Investments in Kazakhstani Dairy Farming: A Comparison of Classical Investment Theory and the Real Options Approach," Quarterly Journal of International Agriculture, Humboldt-Universität zu Berlin, vol. 51.
    10. Strazzera, Elisabetta & Statzu, Vania, 2016. "A Choice Experiment Study on the Farmers’ Attitudes toward Biogas and Waste Reuse in a Nitrates Vulnerable Zone," 2016 Fifth AIEAA Congress, June 16-17, 2016, Bologna, Italy 242329, Italian Association of Agricultural and Applied Economics (AIEAA).
    11. Robert J. Sheeder & Gary D. Lynne, 2011. "Empathy-Conditioned Conservation: “Walking in the Shoes of Others” as a Conservation Farmer," Land Economics, University of Wisconsin Press, vol. 87(3), pages 433-452.

    More about this item

    JEL classification:

    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling
    • Q55 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Technological Innovation

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