Applied Economic Perspectives and Policy

Dollar Store Expansion and Independent Grocery Retailer Contraction

Retrieved on:

Wednesday, October 11, 2023

Interview, University, Economic Research Service, North Dakota State University, Applied Economic Perspectives and Policy, Employment, Anxiety, USDA, Research, Grocery store

MILWAUKEE, Oct. 11, 2023 /PRNewswire-PRWeb/ -- Across the U.S., there is anxiety among communities and advocates as the rapid spread of dollar stores leads to the closure of local businesses and brings with them unhealthy food choices, a particular problem in low-income areas with little or no alternative food outlets. New research finds that they expedite the closure of independent grocery stores, reducing their sales and employment, but much more so in rural America. Although a significant volume of criticism of dollar stores has been generated in urban and suburban communities, the results do not suggest significant entry impacts in urban census tracts. The research suggests that a more complex explanation, including anxiety over the rapid structural transformation of the grocery retail landscape as well as ideological and political factors, be developed to better inform policymakers and advocates.

Key Points:

New research finds that they expedite the closure of independent grocery stores, reducing their sales and employment, but much more so in rural America.
In the new article " Dollar Store Expansion and Independent Grocery Retailer Contraction ," released in the Applied Economic Perspectives & Policy, Rigoberto Lopez from the University of Connecticut, Keenan Marchesi from the USDA, Economic Research Service, and Sandro Steinbach from North Dakota State University look into the rapid expansion of dollar stores and its impact on independent grocery stores.
First, we found that the entry of dollar stores significantly and negatively impacts sales and employment of independent grocery stores and significantly increases the likelihood that these stores go out of business.
Still, these effects differ greatly across the U.S. Second, we found that the impact of dollar stores on independent grocery stores is about three times greater in rural areas than in urban areas.

Racial Disparities in Farm Loan Application Processing: Are Black Farmers Disadvantaged?

Retrieved on:

Thursday, September 28, 2023

Farmer, FSA, Friction, Interview, OLS, Racial disparities in the COVID-19 pandemic in the United States, USDA, Applied Economic Perspectives and Policy, Arizona State University, Food industry, Insurance, Black

MILWAUKEE, Sept. 28, 2023 /PRNewswire-PRWeb/ -- New research finds that FSA direct loans for Black farmers took about 2 days longer on average than loans for all other farmers to be completed and processed. However, the effect was almost entirely concentrated among operating loans (OLs). But why?

Key Points:

MILWAUKEE, Sept. 28, 2023 /PRNewswire-PRWeb/ -- New research finds that FSA direct loans for Black farmers took about 2 days longer on average than loans for all other farmers to be completed and processed.
In the new article " Racial Disparities in Farm Loan Application Processing: Are Black Farmers Disadvantaged? "
The long history of discrimination in rural Black communities may have increased friction between the respective communities.
As such Black borrowers might be hesitant to rely on the USDA and FSA staff might exhibit an excess of caution in processing Black applications."

Representative vs Convenience Research Survey Results and Samples

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Monday, June 5, 2023

Knowledge, Interview, Water quality, Whitehead, Applied Economic Perspectives and Policy, Goodrich, Amazon Mechanical Turk, USPS, Bots, Google Knowledge Graph, Social media, Online shopping, Deepwater Horizon, Policy

MILWAUKEE, June 5, 2023 /PRNewswire-PRWeb/ -- Survey results are only as good as the sample from which responses were taken. In a new set of papers featured in the Applied Economic Perspectives and Policy, researchers explore the differences between various survey samples and how these differences manifest themselves in valuation surveys. The Whitehead et al. paper compares a probability-based internet sample (Knowledge Panel) to an opt-in internet sample for a contingent-valuation survey on passive-use losses in Florida stemming from the Deepwater Horizon oil spill. The Penn, Petrolia, and Fannin paper compares a probability-based internet sample (Knowledge Panel) to a "snowball" convenience sample generated using word of mouth and social media for a contingent-valuation survey of willingness to pay for an app that provides information on Gulf Coast beach conditions. The Sandstrom-Mistry et al. paper compares a probability-based sample (based on USPS mailing addresses) to two opt-in samples (MTurk and Qualtrics) for a contingent-valuation survey on improved water quality among Michigan residents. The Goodrich et al. paper documents recent survey efforts that were inundated with "bots" and offers guidance for mitigating such fraudulent responses. "Bots" are automated responses stemming from computer software that seeks out and completes online surveys offering participant incentives, thereby generating income or other benefits for the programmer, but providing meaningless responses to the survey.

Key Points:

MILWAUKEE, June 5, 2023 /PRNewswire-PRWeb/ -- Survey results are only as good as the sample from which responses were taken.
In a new set of papers featured in the Applied Economic Perspectives and Policy, researchers explore the differences between various survey samples and how these differences manifest themselves in valuation surveys.
paper compares a probability-based sample (based on USPS mailing addresses) to two opt-in samples (MTurk and Qualtrics) for a contingent-valuation survey on improved water quality among Michigan residents.
paper documents recent survey efforts that were inundated with "bots" and offers guidance for mitigating such fraudulent responses.

Monetary policy and housing investment in the euro area and the United States

Retrieved on:

Thursday, May 18, 2023

Key Points:

Why Don't Low Income Households Purchase Fruits and Vegetables?

Retrieved on:

Monday, May 1, 2023

American Community Survey, Applied Economic Perspectives and Policy, Interview, Vegetable, Education, Fruit, Child, Tennessee State University, Grocery store

MILWAUKEE, May 1, 2023 /PRNewswire-PRWeb/ -- The positive effect of income and education on fruits and vegetables (F&V) purchase decisions suggests that educating families regarding the health benefits of fruits and vegetables and uplifting low-income communities through income-generating programs could contribute to higher fruit and vegetable purchases. Families may not be buying enough produce from the received food support or assistance. Policies aiming to enhance produce consumption and nutritional security of these households perhaps need to specify some remarkable percentage of the support mandating to fruit and vegetable purchases or incentive or reward point system redeemable for fruits and vegetables.

Key Points:

In the new article " Why Don't Low Income Households Purchase Fruits and Vegetables?
Findings from African American Communities in Nashville Metro Areas of Tennessee " released in the Applied Economic Perspectives & Policy, Aditya Khanal and Sudip Adhikari from Tennessee State University dig a bit deeper into the purchasing choices of low income households.
The canned type is the main form of F&V purchased by the majority of underserved low-income households.
"Low-income households of underserved communities' lack of regular F&V consumption can be broadly considered due to price reasons, access & availability reasons, and preference reasons.

Do Large Farms Make Better Choices? Evidence from dairy margin coverage program participation patterns

Retrieved on:

Thursday, March 30, 2023

Policy, DMC, Interview, Applied Economic Perspectives and Policy, Research, Kansas State University, Farm

MILWAUKEE, March 30, 2023 /PRNewswire-PRWeb/ -- New research published in the Applied Economic Perspectives and Policy investigates a linkage between farm size and Dairy Margin Coverage (DMC) program choices and finds that larger operations are more likely to participate in DMC and make margin coverage choices that maximize the net returns. This finding implies that the larger operations are more likely to fully capture the benefit from the program.

Key Points:

MILWAUKEE, March 30, 2023 /PRNewswire-PRWeb/ -- New research published in the Applied Economic Perspectives and Policy investigates a linkage between farm size and Dairy Margin Coverage (DMC) program choices and finds that larger operations are more likely to participate in DMC and make margin coverage choices that maximize the net returns.
This finding implies that the larger operations are more likely to fully capture the benefit from the program.
In the new article, " Do Large Farms Make Better Choices: Evidence from Dairy Margin Coverage Program Participation Patterns ," Jisang Yu from Kansas State University and Georgi Gabrielyan from the USDA-FPAC, investigate if larger farms are more likely to participate in the Dairy Margin Coverage Program and whether their program choices lead to greater returns from the program.
The authors say, "Our findings provide useful insights on the future budgetary implication of the program, particularly in the context of the ongoing consolidation of the dairy industry.

A Closer Look at the Relationship between Concentration, Prices, and Market Power in Food Retail

Retrieved on:

Tuesday, March 21, 2023

Zeballos, Book, Applied Economic Perspectives and Policy, Interview, Purdue University, USDA, Economic Research Service, News, Marketing

MILWAUKEE, March 21, 2023 /PRNewswire-PRWeb/ -- Recent news sources, books, and academic studies have documented the recent rise in concentration across many industries. A recent USDA-ERS report shows food retail market concentration has risen in the past 30 years (Zeballos, Dong, and Islamaj 2023). A new article takes a closer and more comprehensive look to see if rising food retail market concentration signals increasing lack of competition and higher food retail prices. Market concentration is just one measure that needs to be evaluated in the context of other information and economic theory to fully assess the competitiveness of the market and implications for market power and food retail prices.

Key Points:

A recent USDA-ERS report shows food retail market concentration has risen in the past 30 years (Zeballos, Dong, and Islamaj 2023).
A new article takes a closer and more comprehensive look to see if rising food retail market concentration signals increasing lack of competition and higher food retail prices.
Market concentration is just one measure that needs to be evaluated in the context of other information and economic theory to fully assess the competitiveness of the market and implications for market power and food retail prices.
While we do not rule out potential positive relationships between market concentration, market power, and prices in food retail, we caution against solely relying on rising market concentration alone to infer that market power and prices have risen in food retail or that competition has diminished."

How Agricultural Economics has Contributed Over Time to the Emerging Field of Behavioral Economics

Retrieved on:

Thursday, February 2, 2023

Cornell University, Farmer, Humboldt University of Berlin, Berkeley, Hebrew University of Jerusalem, Economics, Applied Economic Perspectives and Policy, Thumb, University, Research, Culture, Risk, Interview, Policy, Personality, Management

MILWAUKEE, Feb. 2, 2023 /PRNewswire-PRWeb/ -- Agricultural economics has often been ahead of the curve and quite early identified interesting behavioral patterns that contributed to improving theory and policies. Being in the field gave agricultural economists an edge, and essential behavioral discoveries in agricultural economics affected the economic literature. Agricultural economists identified that farmers frequently rely on rules of thumb a long time ago and discovered time-inconsistent and non-standard risk preferences early on. Recent research emphasizes the importance of soft skills, personality, and culture.

Key Points:

MILWAUKEE, Feb. 2, 2023 /PRNewswire-PRWeb/ -- Agricultural economics has often been ahead of the curve and quite early identified interesting behavioral patterns that contributed to improving theory and policies.
Being in the field gave agricultural economists an edge, and essential behavioral discoveries in agricultural economics affected the economic literature.
Agricultural economists identified that farmers frequently rely on rules of thumb a long time ago and discovered time-inconsistent and non-standard risk preferences early on.
In the new article " Behavioral Agricultural Economics " released in the Applied Economic Perspectives & Policy, David Quepper from the Humboldt University Berlin, David just from Cornell University, Shira Bukchin-Peles from Hebrew University, and David Zilberman from the University of California, Berkeley, examine how agricultural economics has contributed over time to the emerging field of behavioral economics and how it continues to expand the frontier of the field.

Limits to Capital: Assessing the Role of Race on the Paycheck Protection Program for African American Farmers in America

Retrieved on:

Thursday, January 26, 2023

Applied Economic Perspectives and Policy, University, Interview, Virginia University, West Virginia University, PPP, Farmer, American Farmer, Mississippi State University, Paycheck Protection Program, Role, Farm, Policy

MILWAUKEE, Jan. 26, 2023 /PRNewswire-PRWeb/ -- Disparities in PPP loans were identified within African American farmers due to their income levels and location (rural compared to urban). Sheding light on the greater challenges faced by African American farms in rural areas in contrast to those in urban areas. Major differences in PPP loan amounts awarded to African American farmers versus white farmers were also identified depending on the lender used. n African American farmers who applied for PPP through farm credit associations received on average $5,000 less than the white farmer. This result is due to the lesser number of African American farmers applying for PPP through farm credit associations. Capital limitations may have imposed restrictions on the lender African American farmers could use when applying to the PPP. Forty-four percent of African American farms applied for a PPP loan through a Non-Traditional Lender versus 2% of white farmers.

Key Points:

Major differences in PPP loan amounts awarded to African American farmers versus white farmers were also identified depending on the lender used.
n African American farmers who applied for PPP through farm credit associations received on average $5,000 less than the white farmer.
This result is due to the lesser number of African American farmers applying for PPP through farm credit associations.
Capital limitations may have imposed restrictions on the lender African American farmers could use when applying to the PPP.

Bellemare, Fuglie, Irwin, Pannell, Thilmany, and Wang Named Class of 2023 AAEA Fellows

Retrieved on:

Tuesday, January 3, 2023

MILWAUKEE, Jan. 3, 2023 /PRNewswire-PRWeb/ -- Recognition as an AAEA Fellow is AAEA's most prestigious honor. The main consideration for selecting Fellows is continuous contribution to the advancement of agricultural or applied economics as defined by the Vision Statement. Achievements may be in research, teaching, extension, administration, and/or other contributions to public or private sector decision-making.

Key Points:

The main consideration for selecting Fellows is continuous contribution to the advancement of agricultural or applied economics as defined by the Vision Statement.
The 2023 AAEA Fellows Class will receive their award at the 2023 AAEA Annual Meeting in Washington, DC.
In alphabetical order the class is as follows:
The AAEA Business Office would like to be the first to formally congratulate our upcoming Fellows.
ABOUT AAEA: Established in 1910, the Agricultural & Applied Economics Association (AAEA) is the leading professional association for agricultural and applied economists, with 2,500 members in more than 60 countries.