Public, Private and Nonprofit Regulation for Environmental Quality

This paper studies the welfare implications of different institutions certifying environmental quality supplied by a monopoly. The monopolist can voluntarily certify the quality of the product through an eco-label provided either by an NGO or a for-profit private certifier (PC). The NGO and the PC may use advertisement to promote the label. We compare the NGO and PC regimes with the regime where the regulator imposes a minimum quality standard. The presence of a private certifier in the market decreases the scope for public intervention. The availability of green advertisement reinforces the above result.     

Efficient Contract Design for Agri-Environment Policy

This paper evaluates alternative designs for contracts between a regulator and an agricultural producer to increase the supply of environmental public goods. Contract design, based on the principal-agent model, takes into account an asymmetry of information between the regulator and producer whereby the regulator is unable to observe precisely the producer's compliance costs. An example is included of contracts designed for nitrate abatement.     

How does a local initiative contribute to social inclusion and promote sustainable food practices? Focus on the example of social cooking workshops

Initiatives from food system players closer to citizens are currently valorized to promote sustainability. Based on TCR and on the practice theories, this research aims at studying the impacts of a local initiative on two aspects: social inclusion and sustainable food practices. To do so, we chose the example of cooking classes for people in social instability. Cooking classes may contribute to fight against social exclusion through two factors: first the group dynamic and then the value‐creation for participants. Besides, cooking classes may drive towards sustainable food practices on the basis of advice about new skills. Cooking classes in three different social service structures were observed: a Social Centre; a social service structure hosting young people suffering from homophobia; and, a hosting centre for people with disabilities. To complete these observations, semi‐directive one‐hour interviews were conducted with three participants from the different groups. This information was analyzed with thematic analysis and practice theories tools. Results show that the main factor of social inclusion is the value‐creation, with two factors contributing to people's self‐esteem: (re)teach them how to cook; and offer them the opportunity to cook and eat good food. The cooking classes are efficient to promote sustainable food practices, promoting at the same time the interest in shared‐eating, shared‐cooking, and new skills. Nevertheless, it is not enough for the people to adopt new practices because of material and logistical barriers. As such, our findings are important for policy makers tasked with promoting sustainable consumption and social insertion within vulnerable population.     

Duration Analysis of Technological Adoption in Ethiopian Agriculture

Duration analysis has been used to examine the impact of time‐varying and time‐invariant variables on the speed of adoption of fertiliser and herbicide by smallholder farmers in East and West Shewa in the central highlands of Ethiopia in the 25 years preceding 1996. The estimated models suggest that economic incentives were the most important determinants of the time farmers waited before adopting new technologies; traction power in the form of oxen and infrastructural factors (in particular proximity to markets) also appear to have been important influences, but less so than prices. Other agricultural inputs (area of farmland, labour, credit), extension services and farmers' personal characteristics (education, gender, age) appear to have had little, if any, effect on adoption behaviour. There is also evidence that the speed of adoption of herbicide, on both tef and wheat, was slower than that of fertiliser.     

Broad‐based Agricultural Development versus Food Self‐sufficiency: A General Equilibrium Analysis in India

Intersectoral linkages are analysed using a CGE model based on a SAM constructed from Indian national accounts data for 1988–89. The model includes the rural non‐farm sector, public sector production and aspects of public policy. Evidence supports the arguments of Chakravarty (1987) and Ahluwalia (1986) regarding the importance of broad‐based agricultural development as opposed to increased production in the food sector alone aimed at achieving food self‐sufficiency.     

Trust orientations in the organic food distribution channels: A comparative study of the Canadian and French markets

The objectives of this research are to (i) identify supply side factors that determine trust/mistrust in OF products, and (ii) determine the distribution channel strategies to increase trust in OF products. A total of 80 individual in-depth interviews were conducted in Canada and France with managers from superstores, specialty stores, farmers, markets, producers and certification bodies. Results show a clear distinction between the Canadian and French OF distribution structures in terms of trust. Consequently, distributors have to adapt their strategies and tools in order to enhance trust in OF, in their distribution channel and in the overall food supply chain.     

Organic food consumers' trade‐offs between local or imported,conventional or organic products: a qualitative study in Shanghai

This paper presents a qualitative study of the trade‐offs made by organic food product consumers in the Chinese Metropolis of Shanghai. More precisely, this article deals with trade‐offs that consumers make between three types of products: (1) locally produced organic food products, (2) products that are locally and conventionally produced and (3) imported organic food products. We used a qualitative methodology using open questions and projective techniques and based on 23 individual interviews. Local organic products are the products best perceived by the Chinese interviewees, who think that organic food is beneficial to health and makes agriculture more environmentally friendly. The fact that food is produced locally is another positive argument for many interviewees who do not perceive any important differences between local and imported, more expensive, organic food products. Local and conventionally produced food products give rise to worries related to health and consumers buy them only because they are much cheaper than organic products. The reasons for choosing organic products are mostly related to health issues. Altruistic motives such as environmental concerns, food miles concerns or support for small producers are only emerging. This study mostly highlighted consumers' trade‐offs between different individual benefits, mainly health vs. economic benefits. However, some trade‐offs between altruistic (environmental concerns) and individual (economic) benefits are apparent, confirming emerging altruistic motives behind organic food consumption.     

Equity Valuation Employing the Ideal versus Ad Hoc Terminal Value Expressions*

Recently, Penman and Sougiannis (1998) and Francis, Olsson, and Oswald (2000) compared the bias and accuracy of the discounted cash flow model (DCF) and Edwards‐Bell‐Ohlson residual income model (RIM) in explaining the relation between value estimates and observed stock prices. Both studies report that, with non‐price‐based terminal values, RIM outperforms DCF. Our first research objective is to explore the question whether, over a five‐year valuation horizon, DCF and RIM are empirically equivalent when Penman's (1997) theoretically “ideal” terminal value expressions are employed in each model. Using Value Line terminal stock price forecasts at the horizon to proxy for such values, we find empirical support for the prediction of equivalence between these valuation models. Thus, the apparent superiority of RIM does not hold in a level playing field comparison. Our second research objective is to demonstrate that, within each class of the DCF and RIM valuation models, the model that employs Value Line forecasted price in the terminal value expression generates the lowest prediction errors, compared with models that employ non‐price‐based terminal values under arbitrary growth assumptions. The results indicate that, for both DCF and RIM, price‐based valuation models outperform the corresponding non‐price‐based models by a wide margin. These results imply that researchers should exercise care in interpreting findings from models using ad hoc terminal value expressions.     

Do consumers care about food miles? An empirical analysis in France

We conducted two qualitative surveys to identify whether food miles, defined as the distance that foodstuff travels between the production location and the consumption marketplace, matter for French consumers. First, two focus groups with ‘conventional’ consumers show that distance is a multidimensional concept, both positively and negatively perceived, and that most consumers are not concerned by food miles and their subsequent environmental impact. Second, 10 face‐to‐face interviews with consumers of locally grown organic food demonstrate that these consumers purchase local food for other reasons than reducing ‘food miles’ and buy imported organic food in spite of increased food miles. We shed light on this situation using theoretical concepts from economics and psychology. Some implications for policymakers and marketers are stressed.