Archive for Food Systems, Nutrition Security, and Agriculture

Small and Minority Farmers’ Knowledge and Resource Sharing Networks, and Farm Sales: Findings from Communities in Tennessee, Maryland, and Delaware

A network analysis can quantify the depth and breadth of a farmer’s relationships with other local farmers, buyers and sellers, or other groups and organizations. Such an analysis can potentially also reveal farmers’ incentives, situations, and behaviors, and it may explain their economic success more generally. This study examines small and minority farmers’ networks using a primary survey in three farming communities. We emphasize networks related to production, marketing, and resource-sharing activities of 127 farmers (nodes) in Tennessee, 46 in Maryland, and 23 in Delaware, and compute three different measures of network importance or “centrality” for each farmer. We then use generalized least squares analysis relating farmer’s age, gender, race, educational attainment, labor use on the farm, and farm location to the farmer’s centrality position or importance in the network, defined by number and strength of links or connections. In additional regression analyses, we find significantly positive effects of the centrality position on farm sales of specialty crops: our model predicts that a farmer who adds one additional link or connection can expect a 19% to 25% increase in sales, all else equal. Our results can potentially be used not only to disseminate information more efficiently, but also to identify farm­ers who would benefit the most from more targeted extension services.

Authors: Aditya R. Khanal, Fisseha Tegegne, Stephan J. Goetz, Lan Li, Yicheol Han, Stephan Tubene, Andy Wetherill

Publication: Journal of Agriculture, Food Systems, and Community Development   Date Published: April 17, 2020

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Farms with Direct to Consumer Sales in the Northeast Region and COVID-19: Some Early Challenges and Responses

NERCRD COVID-19 Issues Brief No. 2020-1. Agricultural producers who sell directly to consumers faced a particular conundrum during the height of the COVID-19 pandemic, in that they both tend to be located close to population centers and it is in these densely populated areas where COVID-19 cases were most common. Here we document this issue and discuss resulting challenges for farmers, and their adaptation strategies to date.

Authors: Claudia Schmidt, Zheng Tian, Stephan Goetz, Benjamin Bartley, Brian Moyer, and Sarah Rocker

Publication: NERCRD COVID-19 Issues Brief Series   Date Published: April 1, 2020

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The Role of Craft Breweries in Expanding (Local) Hop Production

Hop production has expanded dramatically in recent years along with the number of local craft breweries, but to date the relationship between these two phenomena has not been explored systematically. Using a state-level pooled count data model with observations from 2007, 2012, and 2017, we examine the independent lagged effects of breweries on the number of hop farms and acres grown, holding constant fixed effects and key economic and geographic factors. Our results confirm that the number of breweries is associated with more hop production (farms and acres) five years later, while warmer temperatures and higher land prices discourage it. (JEL Classifications: L66, Q11, R30)

Authors: Elizabeth A Dobis, Neil Reid, Claudia Schmidt, Stephan J Goetz

Publication: Journal of Wine Economics   Date Published: October 22, 2019

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Financial Impact of Penn State Extension’s Know Your Numbers Dairy Program

Dairy-related Extension programming is important in many states, but the economic impact of such programming has received little attention. We examined the impact of Know Your Numbers, an educational program offered by the Penn State Extension Dairy Team. Using follow-up evaluation data and the economic impact tool IMPLAN, we estimated that the program had a total financial impact of $9.5 million and an employment impact of 69 jobs in 2014. The overall financial impacts of the Dairy Team, given its abundance of other programming, likely are significantly higher. Our approach for estimating the economic impact of an Extension program can be used by others to understand and demonstrate the value of their work.

Authors: Aaron Berger, Timothy W. Kelsey, Stephan J. Goetz, Robert C. Goodling Jr., Virginia A. Ishler

Publication: Journal of Extension   Date Published: February 1, 2019

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Excess Competition among Food Hubs

Food hubs offer a novel solution to connect small and mid-sized local farms, which individually
lack the scale to profitably market their products. Because many food hubs rely on grants and
philanthropy to provide services and are not necessarily profit-driven, markets may unintentionally
oversaturate due to overinvestment. We use a firm-entry model to estimate the average U.S. county
population necessary for one, two, and three food hubs to break even. Our findings suggest
that policy makers and philanthropists need to consider the carrying capacity of the local food
environment and population prior to supporting additional food hubs.

Authors: Rebecca Cleary, Stephan J. Goetz, Dawn Thilmany McFadden, Houtian Ge

Publication: Journal of Agricultural and Resource Economics   Date Published: January 1, 2019

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Network Analysis of Farmer Groups: A Training Manual for Extension Educators

This document presents the content of a curriculum prepared for extension educators and
others who are interested in conducting a network analysis of farmer groups. While the
emphasis here is on minority farmer groups, the principles discussed are universal. After
outlining how to conduct a network analysis and describing basic network concepts we use
primary data collected by the authors under a three-state Capacity Building Grant
led by Tennessee State University to illustrate how this type of analysis can be used
in a real-world setting. Learn how Delaware State University’s Andy Wetherill used the manual to support the formation of the First State African American Farmers Association.

Authors: Stephan J. Goetz, Yicheol Han, Erica Hildabridle, Lan Li, Fisseha Tegegne, Stephan Tubene, Andy Wetherill

Publication: NERCRD Rural Development Paper, No. 57   Date Published: April 3, 2017

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State-Level Cooperative Extension Spending and Farmer Exits

Abstract: Numerous studies have evaluated the impact of Extension on farm productivity and related outcomes. Here we use annual data from 1983 to 2010 covering the 50 U.S. states to examine the impact of Extension on net changes in the number of farmers. The historical transition of farmers out of U.S. agriculture raises the question of whether Cooperative Extension and underlying Hatch-funded research spending keeps farmers in agriculture or accelerates their exit. On balance, nearly 500,000 more farmers left than entered agriculture over the period studied. We estimate that without Extension, as many as 137,700 (or 28%) additional farmers would have disappeared on net. Overall, Extension programs are a remarkably cost effective way of keeping farmers in agriculture. Alternatively, shifting just 1.5% of federal farm program payments to Extension would have reduced net exits over this period by an estimated 11%, or 55,000 farmers.

A related infographic (below) was developed to help share the findings of this research.

Authors: Stephan J. Goetz and Meri Davlasheridze

Publication: Applied Economic Perspectives and Policy   Date Published: April 19, 2016

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Land Link Programs in the Northeast U.S.

Test Excerpt: RDP53—This publication series includes two documents, including a program assessment and a list of Land Link programs in the U.S., as of February 2014. Written by Leslie Pillen.

Authors: Leslie Pillen and Clare Hinrichs, Penn State

Publication: Rural Development Paper No. 53   Date Published: February 1, 2014

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