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Begin New Search Publishing Institution Global Development and Environment Institute at Tufts University Publication Year within 25 Years

41. Living High on the Hog: Factory Farms, Federal Policy, and the Structural Transformation of Swine Production

Author:
Elanor Starmer and Timothy A. Wise
Publication Date:
12-2007
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
U.S. farm policy reforms in 1996 produced significant overproduction of supported crops, with prices falling to levels that were often below average farm production costs. Among the beneficiaries of the policy shift were the largest corporate purchasers of supported crops, as they saw a steady supply of low-priced inputs. Industrial livestock firms were among the most significant buyers of U.S. corn and soybeans, the main components of livestock feed. Filling an important gap in the literature, this paper estimates the savings to industrial hog operations between 1997 and 2005 from feed components priced at levels below their production costs. The savings are found to be significant. We also find that industrial hog companies benefited from weak federal regulation of environmental pollution from livestock operations. We estimate the costs to industrial hog firms of compliance with new environmental regulations regarding mitigation of surface-water contamination from excess manure concentrations. This cost is also found to be significant. We assess the implications of these findings for the continued consolidation and industrialization of the industry. We find that mid-sized diversified farms that grow their own feed may well be able to compete on cost with large-scale industrial operations if the latter pay full cost for their feed and have to pay for just one part of their externalized pollution costs.
Topic:
Agriculture, Environment, and Industrial Policy
Political Geography:
United States

42. Economists, Value Judgments, and Climate Change: A View From Feminist Economics

Author:
Julie A. Nelson
Publication Date:
12-2007
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
A number of recent discussions about ethical issues in climate change, as engaged in by economists, have focused on the value of the parameter representing the rate of time preference within models of optimal growth. This essay examines many economists' antipathy to serious discussion of ethical matters, and suggests that the avoidance of questions of intergenerational equity is related to another set of value judgments concerning the quality and objectivity of economic practice. Using insights from feminist philosophy of science and research on high reliability organizations, this essay argues that a more ethically transparent, real-world-oriented, and flexible economic practice would lead to more strongly objective, reliable, and useful knowledge.
Topic:
International Relations, Climate Change, Economics, and Environment

43. Declining Poverty in Latin America? A Critical Analysis of New Estimates by International Institutions

Author:
Ann Helwege and Melissa B.L. Birch
Publication Date:
09-2007
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Indicators of progress in overcoming poverty in Latin America have been heralded recently by international institutions. Yet a closer look at data from the World Bank and the United Nations reveals contradictions that are not easily resolved by reference to the underlying methodologies. This paper provides an introduction to how poverty is measured, what the data indicate about trends in poverty, and reasons to tread cautiously in interpreting it as evidence of progress or stagnation. While significant progress has been achieved in a few large countries, the poorest countries are still very poor, and some countries have even seen increases in their poverty rates despite economic growth.
Topic:
International Political Economy, Poverty, and United Nations
Political Geography:
Latin America

44. Policy Space for Mexican Maize: Protecting Agro-biodiversity by Promoting Rural Livelihoods

Author:
Timothy A. Wise
Publication Date:
03-2007
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Since the introduction of the North American Free Trade Agreement (NAFTA) in 1994, traditional maize farmers in Mexico have faced difficult economic conditions. In barely more than a decade, as many as one million farmers may have abandoned their land under economic pressure from rising imports, low prices for maize and other traditional crops, weak local and regional demand, and large reductions in public sector support for agriculture. The losses are environmental as well as economic. With the loss of traditional maize, there has been a documented loss of the agricultural biodiversity of which these farmers and their ancestors have been stewards for centuries. With maize trade scheduled to be fully liberalized under NAFTA in 2008, many farm groups are calling for a renegotiation of the treaty's agricultural provisions to prevent further damage. This policy analysis examines the room for alternative policies in Mexico under existing economic and environmental agreements, including NAFTA. It concludes that the Mexican government retains access to many useful policy instruments that could promote rural livelihoods while arresting the losses of important maize diversity. What is lacking is the political will to make use of them.
Topic:
Agriculture, Development, Economics, and Treaties and Agreements
Political Geography:
North America and Mexico

45. The Politics of Patents and Drugs in Brazil and Mexico: The Industrial Bases of Health Activism

Author:
Ken Shadlen
Publication Date:
12-2007
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
This paper analyzes the politics of intellectual property (IP) and public health in Brazil and Mexico. Both countries introduced pharmaceutical patents in the 1990s, to comply with their international obligations. Indeed, both countries' IP systems were markedly similar in being favorable to the interests of the transnational, innovation-based pharmaceutical sector. Yet since the late 1990s the two countries have diverged in dramatic fashion. In Brazil the response to the high price of drugs and societal demands to reform the IP system has been to make obtaining private ownership over knowledge more difficult and to increase the rights of third parties to access and use knowledge. In Mexico, the response to similar demands has been to raise impediments to third parties' rights of access and use and effectively extend the periods of protection granted to patent-owners.
Topic:
Government, Health, and Science and Technology
Political Geography:
Brazil and Mexico

46. The Economics of Inaction on Climate Change: A Sensitivity Analysis

Author:
Frank Ackerman and Ian J. Finlayson
Publication Date:
10-2006
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Economic models of climate change often take the problem seriously, but paradoxically conclude that the optimal policy is to do almost nothing about it. We explore this paradox as seen in the widely used DICE model. Three aspects of that model, involving the discount rate, the assumed benefits of moderate warming, and the treatment of the latest climate science, are sufficient to explain the timidity of the model's optimal policy recommendation. With modifications to those three points, DICE shows that the optimal policy is a much higher and rapidly rising marginal carbon price; that higher carbon price has a greater effect on physical measures of climate impacts. Our modifications exhibit nonlinear interactions; at least at low discount rates, there is synergy between individual changes to the model. At low discount rates, the inherent uncertainty about future damages looms larger in the analysis, rendering long-run economic modeling less useful.
Topic:
Climate Change, Economics, and Environment

47. European Chemical Policy and the United States: The Impacts of REACH

Author:
Rachel Massey, Frank Ackerman, and Liz Stanton
Publication Date:
09-2006
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
The European Union is moving toward adoption of its new Registration, Evaluation and Authorization of Chemicals (REACH) policy, an innovative system of chemicals regulation that will provide crucial information on the safety profile of chemicals used in industry. Chemicals produced elsewhere, such as in the United States, and exported to Europe will have to meet the same standards as chemicals produced within the European Union. What is at stake for the U.S. is substantial: we estimate that chemical exports to Europe that are subject to REACH amount to about $14 billion per year, and are directly and indirectly responsible for 54,000 jobs. Revenues and employment of this magnitude dwarf the costs of compliance with REACH, which will amount to no more than $14 million per year. Even if, as the U.S. chemicals industry has argued, REACH is a needless mistake, it will be far more profitable to pay the modest compliance costs than to lose access to the enormous European market.
Topic:
Government, Industrial Policy, and International Trade and Finance
Political Geography:
United States and Europe

48. Can Climate Change Save Lives? A comment on "Economy-wide estimates of the implications of climate change: Human health"

Author:
Frank Ackerman and Elizabeth Stanton
Publication Date:
09-2006
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
In a recent article in this journal, Francesco Bosello, Roberto Roson, and Richard Tol make the surprising prediction that the first stages of global warming will, on balance, save a large number of lives. Bosello et al. fail to substantiate this remarkable estimate, and they make multiple mistaken or misleading assumptions. They rely on research that identifies a simple empirical relationship between temperature and mortality, but ignores the countervailing effect of human adaptation to gradual changes in average temperature. While focusing on small changes in average temperatures, they ignore the important health impacts of extreme weather events such as heat waves, droughts, floods, and hurricanes. They extrapolate this pattern far beyond the level that is apparently supported by their principal sources, and introduce an arbitrary assumption that may bias the result toward finding benefits from warming.
Topic:
Climate Change, Economics, and Environment
Political Geography:
San Francisco

49. Ethics and International Debt: A View from Feminist Economics

Author:
Julie A. Nelson
Publication Date:
08-2006
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Feminist scholars examine not only the gendered impacts of development programs whose design has been influenced by disciplines such as economics, but also the gendered biases that permeate the models and methods of the disciplines themselves. This essay draws on aspects of feminist critiques of economics, philosophy, psychology, law, and finance to analyze the way in which international debt is discussed. Feminist critiques raise serious questions about the rational choice framework that often undergirds scholarly discussions of “agents,” “contract,” “ethics,” and “capital and debt.”
Topic:
Economics, Gender Issues, and International Trade and Finance

50. Feeding the Factory Farm: Implicit Subsidies to the Broiler Chicken Industry

Author:
Elanor Starmer, Timothy A. Wise, and Aimee Witteman
Publication Date:
06-2006
Content Type:
Working Paper
Institution:
Global Development and Environment Institute at Tufts University
Abstract:
Since the passage of the 1996 Farm Bill, the U.S. market prices of soybeans and corn have dropped 21% and 32%, respectively. These commodities are sold on the market at a price below what they cost to produce. If U.S. agricultural policies contribute to this trend, then they do so to the benefit of commodity purchasers, particularly the industrial operations that use the commodities as raw material inputs. Corporate-owned livestock operations are a case in point. This paper focuses on the broiler chicken industry, which, in the United States, is fully industrialized and vertically integrated. We compare the average costs of production for broiler feed components—corn and soybean meal—with market prices, and then use these cost-price margins to estimate the amount broiler companies save by being able to purchase feed at a price below production costs. We find that the broiler industry gained monetary benefits averaging $1.25 billion per year between 1997 and 2005 when, following the passage of the 1996 Farm Bill, market prices dropped far below production costs. In contrast, broiler industry gains from low market prices averaged a much smaller $377 million per year between 1986 and 1996. We conclude that the corporate broiler industry is a major winner from changes to U.S. agriculture policy that have allowed feed prices to fall. This finding is not significantly altered when we adjust our calculations to account for the overvaluation of agricultural land, nor does it appear to reverse under future cost/price scenarios. As policymakers turn their attention to the 2007 Farm Bill, they would do well to examine the ways in which agribusiness firms in general, and industrial livestock operations in particular, benefit from policies ostensibly designed to support family farmers. Current U.S. farm policies may be driving industrialization in the livestock production system if they give factory operations the appearance of being more cost efficient than diversified, independent operations that grow their own feed.
Topic:
Agriculture, Government, and Industrial Policy
Political Geography:
United States