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Modelling the Spatial Structure of Pig Production in Denmark

Author

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  • Larue, Solene
  • Abildtrup, Jens
  • Schmitt, Bertrand

Abstract

In Denmark, the concentration of pig production is highest in the western part of the country. However, there may be even larger local differences in the number of pigs produced. In this study we analyze the determinants of the location of pig production in Denmark with particular focus on spatial externalities and the interaction between the location of pig production and upstream sector and slaughterhouses. It is the assumption that the location of slaughterhouses is influenced by the location of the primary producers, implying that this variable is endogenous, whereas the location of primary producers is independent of the location of slaughterhouses. This is due to the fact that transportation costs of pigs are paid by the cooperatives owning the slaughterhouses. This assumption is tested applying a spatial econometric model. The model is estimated for 1999 and 2004. Furthermore, the impact of negative environmental externalities of pig production on location is analyzed. The results show that spatial externalities have a positive effect on the location of pig production whereas environmental regulation has a negative effect on location.

Suggested Citation

  • Larue, Solene & Abildtrup, Jens & Schmitt, Bertrand, 2008. "Modelling the Spatial Structure of Pig Production in Denmark," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44281, European Association of Agricultural Economists.
  • Handle: RePEc:ags:eaae08:44281
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    File URL: http://purl.umn.edu/44281
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    3. Murat Isik, 2004. "Environmental Regulation and the Spatial Structure of the U.S. Dairy Sector," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(4), pages 949-962.
    4. Rick Welsh & Bryan Hubbell & Chantal Line Carpentier, 2003. "Agro-food system restructuring and the geographic concentration of US swine production," Environment and Planning A, Pion Ltd, London, vol. 35(2), pages 215-229, February.
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    8. Brian Roe & Elena G. Irwin & Jeff S. Sharp, 2002. "Pigs in Space: Modeling the Spatial Structure of Hog Production in Traditional and Nontraditional Production Regions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(2), pages 259-278.
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    Cited by:

    1. Larue, Solene & Latruffe, Laure, 2008. "Agglomeration Externalities and Technical Efficiency in Pig Production," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 44272, European Association of Agricultural Economists.
    2. Csonka, Arnold & Fertő, Imre, 2016. "Crisis and Agglomeration in the Hungarian Hog Sector," 149th Seminar, October 27-28, 2016, Rennes, France 244787, European Association of Agricultural Economists.
    3. Mosnier, Claire & Wieck, Christine, 2010. "Determinants of spatial dynamics of dairy production: a review," Discussion Papers 162896, University of Bonn, Institute for Food and Resource Economics.
    4. Fertő, Imre & Csonka, Arnold, 2017. "Válság- és agglomerációs hatások a magyarországi sertéstartásban
      [Crisis and agglomeration in Hungary s pig production]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(2), pages 105-122.
    5. Cheng, Mei-luan & Gomez, Miguel I. & Bills, Nelson L., 2011. "Urban Agglomeration Economies in the U.S. Greenhouse and Nursery Production," Working Papers 126611, Cornell University, Department of Applied Economics and Management.
    6. Latruffe, Laure & Desjeux, Yann & Fogarasi, Jozsef & Bakucs, Lajos Zoltan & Ferto, Imre, 2010. "Technical efficiency and environmental pressures of pig farms in Hungary," 120th Seminar, September 2-4, 2010, Chania, Crete 109385, European Association of Agricultural Economists.
    7. repec:wsi:wepxxx:v:03:y:2017:i:02:n:s2382624x16500338 is not listed on IDEAS

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    Keywords

    Agglomeration; Externalities; Spatial Econometrics; Polluted Production; Livestock Production/Industries;

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