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Economic analysis of the environmental sustainability of agriculture: recent studies using quasi-experimental methods

Economic analysis of the environmental sustainability of agriculture: recent studies using... The purpose of this review article is to demonstrate how the quasi-experimental approach has been used to study environmental and natural resource issues related to agricultural production.Design/methodology/approachThis review article first provides a short introduction to the quasi-experimental approach using the potential outcomes framework and then uses studies on the environmental sustainability of agricultural production to illustrate how quasi-experimental methods have been applied. Papers reviewed consist of studies that estimate the environmental externalities from agricultural production, evaluate agri-environmental and other related policies and programs, and demonstrate issues related to on-farm resource use and climate adaptation.FindingsDifference-in-differences (DID) and two-way fixed effects methods that utilize the spatial and temporal variation in panel data are widely used to estimate the causal impact of changes in agricultural production and policy on the environment. Utilizing the discontinuities and limits created by agricultural policies and regulations, local treatment effects on land and other input use are estimated using regression discontinuity (RD) or instrumental variable (IV) methods with cross-sectional data.Originality/valueChallenges faced by the food systems have made agricultural sustainability more critical than ever. Over the past three decades, the quasi-experimental approach has become the powerhouse of applied economic research. This review article focuses on quasi-experimental studies on the environmental sustainability of agriculture to provide methodological insights and to highlight gaps in the economics literature of agricultural sustainability. http://www.deepdyve.com/assets/images/DeepDyve-Logo-lg.png China Agricultural Economic Review Emerald Publishing

Economic analysis of the environmental sustainability of agriculture: recent studies using quasi-experimental methods

Zhang, Wei
China Agricultural Economic Review , Volume 14 (2): 15 – Mar 22, 2022
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References (42)

Publisher
Emerald Publishing
Copyright
© Emerald Publishing Limited
ISSN
1756-137X
DOI
10.1108/caer-08-2021-0164
Publisher site
See Article on Publisher Site

Abstract

The purpose of this review article is to demonstrate how the quasi-experimental approach has been used to study environmental and natural resource issues related to agricultural production.Design/methodology/approachThis review article first provides a short introduction to the quasi-experimental approach using the potential outcomes framework and then uses studies on the environmental sustainability of agricultural production to illustrate how quasi-experimental methods have been applied. Papers reviewed consist of studies that estimate the environmental externalities from agricultural production, evaluate agri-environmental and other related policies and programs, and demonstrate issues related to on-farm resource use and climate adaptation.FindingsDifference-in-differences (DID) and two-way fixed effects methods that utilize the spatial and temporal variation in panel data are widely used to estimate the causal impact of changes in agricultural production and policy on the environment. Utilizing the discontinuities and limits created by agricultural policies and regulations, local treatment effects on land and other input use are estimated using regression discontinuity (RD) or instrumental variable (IV) methods with cross-sectional data.Originality/valueChallenges faced by the food systems have made agricultural sustainability more critical than ever. Over the past three decades, the quasi-experimental approach has become the powerhouse of applied economic research. This review article focuses on quasi-experimental studies on the environmental sustainability of agriculture to provide methodological insights and to highlight gaps in the economics literature of agricultural sustainability.

Journal

China Agricultural Economic Review – Emerald Publishing

Published: Mar 22, 2022

Keywords: Agricultural sustainability; Quasi-experimental methods; Externalities; Agri-environmental policy; C21; H23; Q15; Q53; Q56

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