Estimation of Spillover Effects from Large Scale Adoption of Transgenic (Bt) Corn in the Philippines

Zachary Brown (), Lawson Connor, Roderick Rejesus and Yorobe Jose

No 239267, 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts from Agricultural and Applied Economics Association

Abstract: This paper proposes the application of an econometric methodology developed in the environmental and urban economics literatures for studying spatial congestion and agglomeration to the context of agricultural pest control and technology adoption. The methodology allows the identification of spillover effects, either from bioeconomic feedbacks or social interactions, in discrete choice econometric models. We apply this framework to study area-level adoption and potential feedbacks from individuals’ decisions to adopt pesticidal transgenic corn, using a panel dataset from the Philippines. In a conceptual model, we show that a bioeconomic feedback through pest suppression will manifest as congestion effect. Identification in the econometric model is achieved by combining fixed effect conditional logit estimation with instrumental variable (IV) methods. Applying this econometric approach, we find evidence for a congestion spillover associated with the adoption of transgenic corn in the Philippines.

Keywords: Crop Production/Industries; Environmental Economics and Policy; Industrial Organization; Risk and Uncertainty (search for similar items in EconPapers)
Date: 2016
New Economics Papers: this item is included in nep-dcm, nep-env, nep-sea and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://ageconsearch.umn.edu/record/239267/files/A ... _Bt%20Spillovers.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:ags:aaea16:239267

DOI: 10.22004/ag.econ.239267

Access Statistics for this paper

More papers in 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts from Agricultural and Applied Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().