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U.S. Market Potential For Dried Distillers Grain With Solubles

  • Roman Keeney

    ()

  • Thomas W. Hertel

    ()

    (Department of Agricultural Economics, College of Agriculture, Purdue University)

We examine the determinants of own-price output supply response in policy models, focusing primarily on the OECD-PEM equilibrium displacement model. Reviewing expert assessments and econometric literature estimates we find that there is evidence to both support and challenge the relatively high supply response of a model like the OECD-PEM. We also consider possible avenues of reconciliation between evidence that supports and challenges the assumed supply response in the OECD-PEM model. Our analysis of supply response in the OECD-PEM case and from reviewing literature leads us to recommend that future econometric investigation be focused on the role of farm household owned resource mobility as it contributes to agricultural supply response.

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File URL: http://ageconsearch.umn.edu/bitstream/45969/2/08-13.pdf
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Paper provided by Purdue University, College of Agriculture, Department of Agricultural Economics in its series Working Papers with number 08-13.

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Length: 37 pages
Date of creation: 2008
Date of revision:
Handle: RePEc:pae:wpaper:08-13
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Web page: http://www.agecon.purdue.edu/
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  1. Fraser, Rob W., 1998. "Seasonal variability and a farmer's supply response to protein premiums and discounts," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 42(1), March.
  2. Bullock, David S. & Lowenberg-DeBoer, Jess & Swinton, Scott M., 2002. "Adding value to spatially managed inputs by understanding site-specific yield response," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 27(3), November.
  3. Guyomard & Baudry & Carpentier, 1996. "Estimating crop supply response in the presence of farm programmes : application to the CAP," Working Papers 153134, Institut National de la Recherche Agronomique, France.
  4. Binswanger, Hans & Yang, Maw-Cheng & Bowers, Alan & Mundlak, Yair, 1987. "On the determinants of cross-country aggregate agricultural supply," Journal of Econometrics, Elsevier, vol. 36(1-2), pages 111-131.
  5. Schiff, Maurice & Montenegro, Claudio E, 1997. "Aggregate Agricultural Supply Response in Developing Countries: A Survey of Selected Issues," Economic Development and Cultural Change, University of Chicago Press, vol. 45(2), pages 393-410, January.
  6. Konstantinos Giannakas & Richard Schoney & Vangelis Tzouvelekas, 1999. "Technical Efficiency, Technological Change and Output Growth of Wheat Farms in Saskatchewan," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 47(4), pages 468-469, December.
  7. Foster, William E. & Babcock, Bruce A., 1993. "Commodity Policy, Price Incentives, And The Growth In Per-Acre Yields," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 25(01), July.
  8. Robert K. Kaufmann & Seth E. Snell, 1997. "A Biophysical Model of Corn Yield: Integrating Climatic and Social Determinants," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(1), pages 178-190.
  9. Love, H. Alan & Foster, William E., 1990. "Commodity Program Slippage Rates For Corn And Wheat," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 15(02), December.
  10. Foster, Kenneth A. & Mwanaumo, Anthony, 1995. "Estimation of dynamic maize supply response in Zambia," Agricultural Economics, Blackwell, vol. 12(1), pages 99-107, April.
  11. Rao, J. Mohan, 1989. "Agricultural Supply Response: A Survey," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 3(1), March.
  12. Daberkow, Stan G. & McBride, William D., 2004. "Corn Producers´ Response To The 2001 Nitrogen Fertilizer Price Increase," 2004 Annual meeting, August 1-4, Denver, CO 20271, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  13. Peterson, Willis L., 1991. "Relation Between Crop Yields And Estimated Returns To Scale And Returns To Research," Staff Papers 13430, University of Minnesota, Department of Applied Economics.
  14. Rao, J. Mohan, 1989. "Agricultural supply response: A survey," Agricultural Economics, Blackwell, vol. 3(1), pages 1-22, March.
  15. Askari, Hossein & Cummings, John Thomas, 1977. "Estimating Agricultural Supply Response with the Nerlove Model: A Survey," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 18(2), pages 257-92, June.
  16. Andrew P. Barkley & Lori L. Porter, 1996. "The Determinants of Wheat Variety Selection in Kansas, 1974 to 1993," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 202-211.
  17. Thomas W. Hertel & Kyle Stiegert & Harry Vroomen, 1996. "Nitrogen-Land Substitution in Corn Production: A Reconciliation of Aggregate and Firm-Level Evidence," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 30-40.
  18. Goodwin, Barry K. & Mishra, Ashok K., 2002. "An Empirical Evaluation Of Yield Performance And Cross-Crop Yield Correlation," 2002 Annual Meeting, July 28-31, 2002, Long Beach, California 36550, Western Agricultural Economics Association.
  19. Hansen, Lars Gårn, 2004. "Nitrogen Fertilizer Demand from Danish Crop Farms - Regulatory Implications of Farm Heterogeneity," MPRA Paper 48366, University Library of Munich, Germany.
  20. Arnade, Carlos Anthony & Kelch, David R. & Leetmaa, Susan E., 2002. "Supply Response In France, Germany, And The Uk: Technology And Price," 2002 Annual meeting, July 28-31, Long Beach, CA 19702, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  21. Lopez, Ramon E., 1984. "Estimating labor supply and production decisions of self-employed farm producers," European Economic Review, Elsevier, vol. 24(1), pages 61-82.
  22. Mushtaq, Khalid & Dawson, P.J., 2003. "Yield Response In Pakistan Agriculture: A Cointegration Approach," 2003 Annual Meeting, August 16-22, 2003, Durban, South Africa 25931, International Association of Agricultural Economists.
  23. Griffiths, William E. & Thomson, Graeme & Coelli, Tim J., 1999. "Predicting Output From Seemingly Unrelated Area And Yield Equations," Working Papers 12945, University of New England, School of Economics.
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