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Farmers' Subjective Valuation of Subsistence Crops: The Case of Traditional Maize in Mexico

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Listed author(s):
  • Arslan, Aslihan
  • Taylor, J. Edward

Abstract

Shadow prices guide farmers' resource allocations, but for subsistence farmers growing traditional crops, shadow prices may bear little relationship with market prices. We econometrically estimate shadow prices of maize using data from a nationally representative survey of rural households in Mexico. Shadow prices are significantly higher than the market price for traditional but not improved maize varieties. They are particularly high in the indigenous areas of southern and southeastern Mexico, indicating large de facto incentives to maintain traditional maize there.

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File URL: http://purl.umn.edu/44488
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Paper provided by University of California, Davis, Department of Agricultural and Resource Economics in its series Working Papers with number 44488.

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Date of creation: Oct 2008
Handle: RePEc:ags:ucdavw:44488
Contact details of provider: Phone: 530-752-1517
Fax: 530-752-5614
Web page: http://www.agecon.ucdavis.edu/

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Keywords: Shadow prices; non-market values; supply response; traditional crops; onfarm conservation; Mexico; Agricultural and Food Policy; Community/Rural/Urban Development; International Development; O12; O13; Q12; Q39;

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Find related papers by JEL classification:
  • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development
  • O13 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
  • Q12 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Micro Analysis of Farm Firms, Farm Households, and Farm Input Markets
  • Q39 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation - - - Other

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  1. Wendy Dobson & Gary Clyde Hufbauer & Hyun Koo Cho, 2001. "World Capital Markets: Challenge to the G-10," Peterson Institute Press: All Books, Peterson Institute for International Economics, number 328, November.
  2. Rolf J. Langhammer, 2004. "Halving Poverty by Doubling Aid: Is There Reason for Optimism?," The World Economy, Wiley Blackwell, vol. 27(1), pages 81-98, 01.
  3. Peter H. Lindert & Jeffrey G. Williamson, 2003. "Does Globalization Make the World More Unequal?," NBER Chapters,in: Globalization in Historical Perspective, pages 227-276 National Bureau of Economic Research, Inc.
  4. Dani Rodrik, 2007. "Introductiion to One Economics, Many Recipes: Globalization, Institutions, and Economic Growth," Introductory Chapters,in: One Economics, Many Recipes: Globalization, Institutions, and Economic Growth Princeton University Press.
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Cited by:

  1. Hoffmann, Vivian & Gatobu, Ken Mwithirwa, 2014. "Growing their own: Unobservable quality and the value of self-provisioning," Journal of Development Economics, Elsevier, vol. 106(C), pages 168-178.
  2. Kirsten Appendini & Ma. Guadalupe Quijada, 2016. "Consumption strategies in Mexican rural households: pursuing food security with quality," Agriculture and Human Values, Springer;The Agriculture, Food, & Human Values Society (AFHVS), vol. 33(2), pages 439-454, June.
  3. Dyer, George A. & Taylor, J. Edward, 2011. "The Corn Price Surge: Impacts on Rural Mexico," World Development, Elsevier, vol. 39(10), pages 1878-1887.
  4. repec:spr:agrhuv:v:34:y:2017:i:2:d:10.1007_s10460-016-9720-5 is not listed on IDEAS
  5. Manning, Dale T. & Taylor, J. Edward, 2015. "Agricultural Efficiency and Labor Supply to Common Property Resource Collection: Lessons from Rural Mexico," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 40(3), August.
  6. Bellon, Mauricio R. & Hellin, Jon, 2011. "Planting Hybrids, Keeping Landraces: Agricultural Modernization and Tradition Among Small-Scale Maize Farmers in Chiapas, Mexico," World Development, Elsevier, vol. 39(8), pages 1434-1443, August.
  7. Bellon, Mauricio R. & Gotor, Elisabetta & Caracciolo, Francesco, 2015. "Assessing the Effectiveness of Projects Supporting On-Farm Conservation of Native Crops: Evidence From the High Andes of South America," World Development, Elsevier, vol. 70(C), pages 162-176.
  8. Parisa Aghajanzadeh-Darzi & Pierre-Alain Jayet & Athanasios Petsakos, 2017. "Improvement of a Bio-Economic Mathematical Programming Model in the Case of On-Farm Source Inputs and Outputs," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 15(3), pages 489-508, September.
  9. Useche, Pilar & Blare, Trent, 2012. "Seeds of Gold: How Environmental Considerations Influence Cacao Production Decisions for Small Landholder Households in Northwestern Ecuador," 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington 124738, Agricultural and Applied Economics Association.
  10. Arslan, Aslihan & McCarthy, Nancy & Lipper, Leslie & Asfaw, Solomon & Cattaneo, Andrea, 2013. "Adoption and Intensity of Adoption of Conservation Farming Practices in Zambia," Food Security Collaborative Working Papers 147461, Michigan State University, Department of Agricultural, Food, and Resource Economics.
  11. Useche, Pilar & Blare, Trent, 2013. "Traditional vs. modern production systems: Price and nonmarket considerations of cacao producers in Northern Ecuador," Ecological Economics, Elsevier, vol. 93(C), pages 1-10.
  12. Krishna, Vijesh V. & Drucker, Adam G. & Pascual, Unai & Raghu, Prabhakaran T. & King, E.D. Israel Oliver, 2013. "Estimating compensation payments for on-farm conservation of agricultural biodiversity in developing countries," Ecological Economics, Elsevier, vol. 87(C), pages 110-123.
  13. Isakson, S. Ryan, 2011. "Market Provisioning and the Conservation of Crop Biodiversity: An Analysis of Peasant Livelihoods and Maize Diversity in the Guatemalan Highlands," World Development, Elsevier, vol. 39(8), pages 1444-1459, August.

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