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Crop Substitution on UK Sugar Beet Farms and its Effects on the Environment: A Multi-Product Cost Function Approach

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  • Renwick, Alan W.
  • Revoredo-Giha, Cesar

Abstract

This paper analyzes the effect that the imminent reform of the EU sugar beet regime will have on United Kingdom (UK) sugar beet farms. Specifically, we estimate a multi-product cost function to analyze the effect the changes on the sugar beet price support and quota will have on the crop allocation of sugar beet farms and their aggregate use of inputs. Based on these estimates we discuss the implications that changes in the crop patterns may have on farm environmental variables such as soil loss and groundwater pollution.

Suggested Citation

  • Renwick, Alan W. & Revoredo-Giha, Cesar, 2005. "Crop Substitution on UK Sugar Beet Farms and its Effects on the Environment: A Multi-Product Cost Function Approach," 2005 Annual meeting, July 24-27, Providence, RI 19387, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea05:19387
    DOI: 10.22004/ag.econ.19387
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    1. Jay T. Akridge & Thomas W. Hertel, 1986. "Multiproduct Cost Relationships for Retail Fertilizer Plants," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 68(4), pages 928-938.
    2. Mundlak, Yair, 1978. "On the Pooling of Time Series and Cross Section Data," Econometrica, Econometric Society, vol. 46(1), pages 69-85, January.
    3. Antonio Alvarez & Carlos Arias, 2003. "Diseconomies of Size with Fixed Managerial Ability," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(1), pages 134-142.
    4. Caves, Douglas W & Christensen, Laurits R & Tretheway, Michael W, 1980. "Flexible Cost Functions for Multiproduct Firms," The Review of Economics and Statistics, MIT Press, vol. 62(3), pages 477-481, August.
    5. Hervé Guyomard & Xavier Delache & Xavier Irz & Louis‐Pascal Mane, 1996. "A Microeconometric Analysis Of Milk Quota Transfer: Application To French Producers," Journal of Agricultural Economics, Wiley Blackwell, vol. 47(1‐4), pages 206-223, January.
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    Cited by:

    1. Fogarasi, Jozsef, 2007. "Efficiency and total factor productivity in post-EU accession Hungarian sugar beet production," Studies in Agricultural Economics, Research Institute for Agricultural Economics, vol. 105, pages 1-13, January.
    2. Abdullah Al-Maruf & Sumyia Akter Mira & Tasnim Nazira Rida & Md Saifur Rahman & Pradip Kumar Sarker & J. Craig Jenkins, 2021. "Piloting a Weather-Index-Based Crop Insurance System in Bangladesh: Understanding the Challenges of Financial Instruments for Tackling Climate Risks," Sustainability, MDPI, vol. 13(15), pages 1-18, August.

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