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Robinson, S., van Meijl, H., Willenbockel, D., Valin, H., Fujimori, S., Masui, T., et al. (2014). Comparing supply-side specifications in models of global agriculture and the food system. Agric. Econ., 45(1), 21–35.
Abstract: This article compares the theoretical and functional specification of production in partial equilibrium (PE) and computable general equilibrium (CGE) models of the global agricultural and food system included in the AgMIP model comparison study. The two model families differ in their scopepartial versus economy-wideand in how they represent technology and the behavior of supply and demand in markets. The CGE models are deep structural models in that they explicitly solve the maximization problem of consumers and producers, assuming utility maximization and profit maximization with production/cost functions that include all factor inputs. The PE models divide into two groups on the supply side: (1) shallow structural models, which essentially specify area/yield supply functions with no explicit maximization behavior, and (2) deep structural models that provide a detailed activity-analysis specification of technology and explicit optimizing behavior by producers. While the models vary in their specifications of technology, both within and between the PE and CGE families, we consider two stylized theoretical models to compare the behavior of crop yields and supply functions in CGE models with their behavior in shallow structural PE models. We find that the theoretical responsiveness of supply to changes in prices can be similar, depending on parameter choices that define the behavior of implicit supply functions over the domain of applicability defined by the common scenarios used in the AgMIP comparisons. In practice, however, the applied models are more complex and differ in their empirical sensitivity to variations in specificationcomparability of results given parameter choices is an empirical question. To illustrate the issues, sensitivity analysis is done with one global CGE model, MAGNET, to indicate how the results vary with different specification of technical change, and how they compare with the results from PE models.
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Fan, F., Henriksen, C. B., & Porter, J. (2018). Long-term effects of conversion to organic farming on ecosystem services – a model simulation case study and on-farm case study in Denmark. Agroecology and Sustainable Food Systems, 42(5), 504–529.
Abstract: Organic agriculture aims to produce food while establishing an ecological balance to augment ecosystem services (ES) and has been rapidly expanding in the world since the 1980s. Recently, however, in several European countries, including Denmark, organic farmers have converted back to conventional farming. Hence, understanding how agricultural ES are affected by the number of years since conversion to organic farming is imperative for policy makers to guide future agricultural policy. In order to investigate the long-term effects of conversion to organic farming on ES we performed i) a model simulation case study by applying the Daisy model to simulate 14 different conversion scenarios for a Danish farm during a 65 year period with increasing number of years under organic farming, and ii) an on-farm case study in Denmark with one conventional farm, one organic farm under conversion, and three organic farms converted 10, 15 and 58 years ago, respectively. Both the model simulation case study and the on-farm case study showed that non-marketable ES values increased with increasing number of years under organic farming. Trade-offs between marketable and non-marketable ES were not evident, since also marketable ES values generally showed an increasing trend, except when the price difference between organic and conventional products in the model simulation study was the smallest, and when an alfalfa pre-crop in the on-farm case study resulted in a significantly higher level of plant available nitrogen, which boosted the yield and the associated marketable ES of the subsequent winter rye crop. These results indicate a possible benefit of preserving long-term organic farms and could be used to argue for agricultural policy interventions to offset further reduction in the number of organic farms or the land area under organic farming.
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Schmitz, C., Kreidenweis, U., Lotze-Campen, H., Popp, A., Krause, M., Dietrich, J. P., et al. (2014). Agricultural trade and tropical deforestation: interactions and related policy options. Reg Environ Change, 15(8), 1757–1772.
Abstract: The extensive clearing of tropical forests throughout past decades has been partly assigned to increased trade in agricultural goods. Since further trade liberalisation can be expected, remaining rainforests are likely to face additional threats with negative implications for climate mitigation and the local environment. We apply a spatially explicit economic land-use model coupled to a biophysical vegetation model to examine linkages and associated policies between trade and tropical deforestation in the future. Results indicate that further trade liberalisation leads to an expansion of deforestation in Amazonia due to comparative advantages of agriculture in South America. Globally, between 30 and 60 million ha (5-10 %) of tropical rainforests would be cleared additionally, leading to 20-40 Gt additional emissions by 2050. By applying different forest protection policies, those values could be reduced substantially. Most effective would be the inclusion of avoided deforestation into a global emissions trading scheme. Carbon prices corresponding to the concentration target of 550 ppm would prevent deforestation after 2020. Investing in agricultural productivity reduces pressure on tropical forests without the necessity of direct protection. In general, additional trade-induced demand from developed and emerging countries should be compensated by international efforts to protect natural resources in tropical regions.
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Reidsma, P., Bakker, M. M., Kanellopoulos, A., Alam, S. J., Paas, W., Kros, J., et al. (2015). Sustainable agricultural development in a rural area in the Netherlands? Assessing impacts of climate and socio-economic change at farm and landscape level. Agricultural Systems, 141, 160–173.
Abstract: Changes in climate, technology, policy and prices affect agricultural and rural development. To evaluate whether this development is sustainable, impacts of these multiple drivers need to be assessed for multiple indicators. In a case study area in the Netherlands, a bio-economic farm model, an agent-based land-use change model, and a regional emission model have been used to simulate rural development under two plausible global change scenarios at both farm and landscape level. Results show that in this area, climate change will have mainly negative economic impacts (dairy gross margin, arable gross margin, economic efficiency, milk production) in the warmer and drier W+ scenario, while impacts are slightly positive in the G scenario with moderate climate change. Dairy farmers are worse off than arable farmers in both scenarios. Conversely, when the W+ scenario is embedded in the socio-economic Global Economy (GE) scenario, changes in technology, prices, and policy are projected to have a positive economic impact, more than offsetting the negative climate impacts. Important is, however, that environmental impacts (global warming, terrestrial and aquatic eutrophication) are largely negative and social impacts (farm size, number of farms, nature area, odour) are mixed. In the G scenario combined with the socio-economic Regional Communities (RC) scenario the average dairy gross margin in particular is negatively affected. Social impacts are similarly mixed as in the GE scenario, while environmental impacts are less severe. Our results suggest that integrated assessments at farm and landscape level can be used to guide decision-makers in spatial planning policies and climate change adaptation. As there will always be trade-offs between economic, social, and environmental impacts stakeholders need to interact and decide upon most important directions for policies. This implies a choice between production and income on the one hand and social and environmental services on the other hand
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Zimmermann, A. (2015). Yield trends and variability in the EU.. Reading (United Kingdom).
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