Jack Peerlings

Farm choice between agri-environmental contracts in the European Union

The purpose of this paper is to analyse land allocation between competing agri-environmental contracts, taking into account institutional issues, the characteristics of the farm and farm household. Three types of agri-environmental contract are considered: a Biodiversity Protection Contract, a Landscape Management Contract and a Restriction on Intensive Practices Contract. The paper demonstrates that it is important to study the choices made between the different agri-environmental contracts. The reasons for this are that a unit of land can only be allocated to one contract (although the farm itself can choose to hold more than one contract) and the perceived relative marginal cost of a contract can change if the institutional setting, the farm household or the farm characteristics alter. The model uses a two-stage method. As a first stage, the probability of contract choice is determined. In the second stage these probabilities are linked to costs and the optimal contract choice is determined.

Ethnic Ties in Trade Relationships and the Impact on Economic Performance: The Case of Small-Scale Producers in the Handloom Sector in Ethiopia

Abstract This article analyses the importance of ethnic ties in trade relationships of small-scale producers in the handloom sector in Ethiopia using both a non-parametric and a parametric statistical method. It is shown how various socio-economic characteristics of producers lead to ethnic ties with traders. It is also shown that ethnic ties affect the performance of producers negatively. Apparently the positive effect of ethnic ties, through the reduction of transaction costs arising from market imperfections, does not outweigh the negative effects of closed social networks.

Energy Taxes in the Netherlands: What are the Dividends?

In this paper the environmental and economic effects of the introduction of a unilateral energy tax in the Netherlands are analysed using an applied general equilibrium (AGE) model. The effects of a small user energy tax and a general energy tax are compared, while taking into account different tax recycling mechanisms. The model contains a great level of detail with respect to emissions and environmental indicators (greenhouse effect, acidification, eutrophication and waste), which is helpful for assessing environmental quality. The results show that the introduction of a small environmental tax reform not only improves the environment but also raises non-environmental welfare, which is due to an improvement of the efficiency of the tax structure.

Complex dynamics in the uptake of new farming practices: a case study for organic waste application

Adverse environmental effects of intensive agriculture, together with scarcity in phosphates and water, urge farmers to find more sustainable practices. An example of such a sustainable practice is on-farm processing of organic waste. This paper explores three mechanisms that can lead to a widespread uptake of this technique: (1) economies of scale, (2) information sharing, and (3) adjustment of social norms. Although each of these mechanisms has been studied before, this paper provides new insights by considering the interactions that might exist between the different mechanisms when they are applied to real-life situations. Based on a pilot study, we developed a multi-criteria mathematical programming model at individual farm level. We used this model to simulate the uptake of on-farm processing of organic waste, as a result of the three mechanisms and their interactions. Our results show that each mechanism results in an increased uptake, but is not likely to cause a widespread uptake. Interaction between the mechanisms, will lead to a much higher uptake. This result suggests that simultaneous consideration of multiple mechanisms is essential to understand the behaviour of social–ecological systems.