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Economic effects of sustainable agri-food production in Taiwan

Does spatial agglomeration make a difference

Bibliographic Data

ID21295997
AuthorsYun-Cih Chang (0000-0002-3056-5884, National Taiwan University), Yir-Hueih Luh (0000-0003-1765-6156, National Taiwan University), Ming-Feng Hsieh (0000-0002-0457-0559, Tunghai University)
Year2023
Volume125
Issue12
Pages4249-4267
Publication date2023-11-14
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueBritish Food Journal (JOURNAL)
Journal identifiersISSN: 0007-070X • E-ISSN: 1758-4108
PublisherEmerald (PUBLISHER)
DOI10.1108/bfj-10-2022-0879
OpenAlexW4378893152
LanguageEN
Citations received1
References cited29

Purpose This study investigates the economic outcomes of organic farming controlling for the four major aspects of a cropping system, including climate, genotypes, management and soil. Considering possible variations in treatment responses, this study also presents empirical evidence of heterogeneous treatment effects associated with spatial agglomeration or farm covariates. Design/methodology/approach Rice farm households data taken from the 2015 Agriculture Census is merged with township-level seasonal weather data, crop suitability index and average income per capita in Taiwan. To address the selection bias problem, the authors apply the Probit-2SLS instrumental variable (IV) method in the binary treatment model under homogeneous and heterogeneous assumptions. Findings It is found that organic farming leads to a significantly positive effect on rice farms' economic performances in terms of cost reduction and profit growth. This positive treatment effect is more sizable with spatial agglomeration. Furthermore, the treatment effect of organic farming is found to vary with the farm characteristics such as farmland area and the number of hired workers. Practical implications Two important implications for the promotion of sustainable agri-food production are inferred: (1) establishing organic agriculture specialized zones may benefit rural development; (2) providing economic incentives to small farms to expand their scale may be a more effective policy means to promote sustainable agri-food production. Originality/value The findings in this study complement the body of knowledge by drawing insights from the agriculture census data and providing profound evidence of the heterogeneous outcomes of organic farming due to spatial clustering and farm covariates

Agricultural economics · Agriculture · Business · Economics · Geography · Organic farming · Agricultural Innovations and Practices · Economic and Environmental Valuation · Land Use and Ecosystem Services

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    Open Access•Cristina Pérez-Sánchez, Ana Beatriz Pierri-Daunt et al.•Land Use Policy•2024

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Unique citing works1
Citations per year0,5
Citation span2024 - 2024 (1)
Citation velocityrecent
Highly citedNo
Citation typesNeutral: 1

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