Agricultural Policy Reform and Off‐farm Labour Decisions

Off‐farm labour decisions of a sample of Kansas farmers are evaluated. The central question of our analysis pertains to whether 1996 US farm policy reforms may have altered the decisions to work off the farm. The effects of policy decoupling on off‐farm labour are complex: different aspects of policy changes can have opposing effects on off‐farm work decisions. Essentially, this makes this issue an empirical question. Results show that the introduction of fixed, decoupled payments in 1996 might have reduced the likelihood of off‐farm labour participation. However, the new policy environment may have increased farm households’ revealed aversion to risk, motivating a higher participation in non‐farm labour markets. The effects of 1996 policy reforms on farm income variability could have been attenuated by changes in US crop insurance programmes and by an increase in emergency assistance payments towards the end of the 1990s. The reduction in price supports may have increased the motivation for working off the farm. The net effect of the overall reforms on off‐farm work participation is not likely to have been large.     

Spatiotemporal Modeling of Asian Citrus Canker Risks: Implications for Insurance and Indemnification Fund Models

Asiatic citrus canker is a disease that poses a significant hazard to commercial citrus production. This article examines spatiotemporal models of the risks of citrus canker transmission. Models evaluate risks and are used to price annual contracts, which would pay producers a prespecified indemnity in the event that their grove is found to be infected with canker. Implications for risk management policy are discussed.     

Payment Limitations and Acreage Decisions under Risk Aversion: A Simulation Approach

Payment limits have played an important role in U.S. farm policy deliberations for the last thirty years. Current limits are largely nonbinding. Proposals to strengthen and enforce limits are currently in discussion. We evaluate the likely effects of such proposals on acreage for corn, soybeans, wheat, cotton, and rice in several important producing states. Our results generally indicate that payment limits are unlikely to significantly affect acreage in most cases; exceptions occur for cotton and rice, where the probability that limits would be binding is much greater and thus more likely to affect production.     

Economic analysis of the impact of adopting herd health control programs on smallholder dairy farms in Central Thailand

The economic impact of adopting herd health programs for mastitis and reproduction by small-scale dairy producers of Central Thailand was assessed using a policy analysis matrix (PAM). Following a reduction in the incidence of bovine disease on adopter farms, an increase in private net profits is observed. More importantly the social costs of supporting dairy farmers is reduced; the PAM effective protection coefficient was reduced by 35% for mastitis program adopters and by 44% for reproductive program adopters, indicating improved social efficiency of dairy policy. Other indicators of efficiency and policy implications are discussed.     

Design — the starting point for CIM

The author reviews the spectrum of computer-integrated manufacturing (CIM) aids now available to speed up the development, manufacture and marketing of new products. To help firms to decide which aid is best suited to their needs the author presents a 2-by-2 typology of business environments, the dimensions being uncertainty and complexity. For each cell he derives a factor critical to achievement of competitive advantage, to which is matched a suitable form of CIM.
The paper includes a survey of the characteristics and limitations of commercially available hardware and associated software, advice on the administration of the systems and the storage of information generated. The author concludes by defining the key to the successful use of CIM as ensuring its conscious integration into the business, which means having a clear understanding of what is involved in design and development, management awareness of and commitment to the potential usefulness of CIM, defining clear responsibilities for creating and owning data and planned introduction of a design and engineering information system.     

The paradox of strategic controls

This paper reviews the literature on strategic controls. It summarizes the main theoretical arguments that have been put forward for establishing strategic control systems, and contrasts these arguments with evidence that suggests that few companies in fact have a strategic control system in place. The paper then identifies some of the difficulties that may be associated with establishing a strategic control system, points up issues that require further empirical research, and suggests a framework for exploring a contingency theory concerning the sorts of businesses in which strategic control systems would be most and least valuable.     

Usefulness of the newly revised composite index of leading indicators as a quantitative predictor

This paper compares the performance of the current and earlier versions of the Commerce Department's Composite Index of Leading Indicators as predictors of quantitative (percentage) changes in real GNP. Almon-type distributed lag functions are estimated over a sample period covering the years 1948–1970. Tests of predictive accuracy focus on the post-sample period 1971–1975. The results, in terms of three commonly accepted measures of forecast accuracy (root mean square error, mean absolute error and Theil's U), indicate that the new index performs marginally better than the best of the older versions.