Showing posts with label agricultural economics. Show all posts
Showing posts with label agricultural economics. Show all posts

Wednesday, September 30, 2020

RIDGE conference on nutrition assistance research October 14

The 2020 Tufts/UConn Research Innovation and Development Grants in Economics (RIDGE) Conference, held virtually on October 14, will feature new economic research aimed at enhancing food security and dietary quality for low-income Americans.

New and established investigators who were 2019 RIDGE grantees will present on topics ranging from evaluating the impact of nutrition-driven changes in school meals to influences of labor policy on SNAP to nutrition assistance participation amongst populations of interests, including college students and multigenerational households.

The conference is free but requires advanced registration.

RIDGE is a USDA-supported collaboration between the Rudd Center for Food Policy & Obesity at the University of Connecticut and my research team at the Tufts Friedman School of Nutrition Science and Policy. Completed studies from an earlier round of grants have addressed many important research questions in nutrition assistance research, including these:

Sunday, March 15, 2020

A consumer food data system for 2030 and beyond

Government policy influences all parts of the food marketing chain, including farms, food manufacturers, retailers, restaurants, and diverse nutrition assistance programs. At every stage, sound policy-making depends on high-quality data.

The National Academies Press this month published a new consensus report from the Center for National Statistics (CNSTAT), entitled A Consumer Food Data System for 2030 and Beyond, with recommendations to help guide the federal government in consumer food data collection and dissemination. The report panel was chaired by UC Davis professor Marianne Bitler (I was a panel member).

As the report summary explains, trade-offs are essential, because it is challenging for any consumer food data system (CFDS) to achieve all of the characteristics that we would wish:
  • Comprehensiveness. To monitor levels and trends in food behaviors and related outcomes, and to identify the effects of public programs and policies on those behaviors, a comprehensive data system requires a variety of sources spanning multiple topics.
  • Representativeness. Data on food behaviors and outcomes is most useful if it is representative of the U.S. population, both nationally and sub-nationally.
  • Timeliness. To have maximum program and policy impact, the system collects data at regular intervals, repeats over time at an appropriate frequency, and releases data without undue delay.
  • Openness. Because data programs are maintained with taxpayer funds, data should be accessible to the public and to the research community. Security and privacy concerns must be addressed before making de-identified data available.
  • Flexibility. A flexible data system recognizes that food and consumer data will be used for some research applications that were planned in advance, as well as for applications generated by a broad, entrepreneurial, and inventive community of research users studying unanticipated changes in policy, food retail markets, or consumer preferences.
  • Accuracy. Accurate measurement and reporting are the foundation of effective evidence-based policy making, so a desirable data system is one that seeks continuous quality improvement. Given increased reliance on data produced by state and local governments and commercial entities for purposes other than scientific study, continual assessment and improvement of the quality of these sources will be a central part of the CFDS.
  • Suitability for causal analysis. While some policy questions can be answered with descriptive information, others require cause-and-effect inference. With this in mind, data design efforts should include (i) the collection and sharing of policy variables for use in implementing quasi-experimental designs, (ii) the use of administrative data for potential program evaluations with random-assignment research designs, and (iii) the creation of longitudinal survey and administrative data (either repeated cross-sections or panel data) for use in statistical analyses that offer causal insight.
  • Fiscal responsibility. The CFDS should maximize the research value of federal dollars invested in the data system (including staff time) through its combined impact in descriptive information, monitoring functions, and estimation of causal effects.
Looming behind the report is the panel's awareness of the increasing difficulties of collecting traditional survey data, due to rising costs and greater difficulty maintaining a high response rate. The data systems of the future will combine survey data with administrative data and proprietary data (such as retailer scanner data) in new ways.

Saturday, March 10, 2018

U.S. Food Policy: An Introduction (Second Edition)

The book Food Policy in the United States: An Introduction, whose second edition has just been released in the Earthscan Food and Agriculture Series (Routledge), prepares readers to make their own distinctive contribution to a lively conversation about our food system.

There is no reason why food policy debate should continue to mirror the current dysfunctional state of our national political debate. We can do better.

The first in a series of related videos asks: Who should study U.S. food policy?


Routledge provides a free sample chapter on the author Q&A page.




Saturday, August 27, 2016

Berkeley "soda tax" reduced sugar-sweetened beverage consumption and increased water consumption

In the American Journal of Public Health this month, Jennifer Falbe and colleagues found that the penny-per-ounce Berkeley soda tax succeeded in reducing sugar-sweetened beverage (SSB) consumption.

The study asked respondents about soda intake, in Berkeley and in comparison cities of northern California (Oakland and San Francisco, which did not have a new tax), before and after the new Berkeley tax was implemented in March 2015. The findings were remarkable. SSB consumption fell 21% in Berkeley and rose 4% in the comparison cities during the same period.

The SSBs include caloric soda, of course, but also some kinds of other sweetened drinks. However, for various reasons (including sound nutrition reasons plus perhaps political reasons), the tax did not affect milk drinks or 100% fruit juice. Therefore, it is important to understand what other beverages people substituted for soda. The study does not answer all my questions on this point, but it did find that water consumption increased in Berkeley at the same time that SSB consumption fell. Water consumption increased 63% in Berkeley, significantly more than the increase in the comparison cities during the same period. This was reassuring.

A good way to standardize estimates of tax effects is to report an "elasticity" -- the percentage change in consumption for each 1% change in price. A typical elasticity estimate for soda is about -1.2, meaning that the price increase in Berkeley (about 8%) would have been expected to generate a consumption decline of about 10%. The authors took care to confirm that the estimated consumption decline of 21% was significantly different from zero, which is the standard statistical way of making sure the estimates were not a random statistical fluke, but they cannot really be sure the true impact is exactly 21% rather than 10%. They sensibly discussed the possibility that "early reaction to the tax ... could rebound and settle closer to a 10% reduction in consumption."

Even if the impact were a 10% reduction, this study has important public health implications, providing I think the strongest evidence so far that a tax would reduce SSB consumption.

I encourage my colleagues in agricultural and applied economics to read this study. There is a long tradition in my profession of doubting the potential impact of such taxes. In the Washington Post in 2015, Tamar Haspel quoted University of Minnesota applied economist Marc Bellemare saying the results at that time were "not robust." Haspel also quoted my Friedman School colleague and friend Sean Cash saying that product formulation, rather than taxes, are the way to go: "If we could achieve a 5 percent reduction by reformulation, that would swamp what we can achieve with consumer-level intervention.” The TuftsNOW site quoted Sean casting further doubt on taxes: "All studies suggest that for food in general, we’re not particularly responsive to price." Oklahoma State University economist Jayson Lusk, who also is president of the Agricultural and Applied Economics Association (AAEA), has blogged several times about soda taxes, agreeing with most of the Tamar Haspel column  in the Washington Post, and concluding stridently: "I'm sorry, but if my choice is between nothing and a policy that is paternalistic, regressive, will create economic distortions and deadweight loss, and is unlikely to have any significant effects on public health, I choose nothing" (emphasis added).

In the Salt this week, NPR reporter Dan Charles quotes Berkeley researcher Kristine Madsen on whether the new estimates of SSB reduction are large enough to matter for public health. "Madsen says a 20 percent reduction in consumption of sugar-sweetened beverages would be enough to reduce rates of obesity and Type 2 diabetes in years to come. 'This would have a huge public health impact if it were sustained,' she says." I think most experts in public health nutrition would agree with Madsen's assessment.

This week, Jayson's blog post on the Berkeley study raises some measurement issues, but recognizes that these issues are unlikely to overturn the main result. He writes, "All that said, I'm more than willing to accept the finding that the Berkeley city soda tax caused soda consumption to fall. The much more difficult question is: are Berkeley residents better off?" This is a question that surely will be discussed heavily in the next couple years as more municipalities experiment with such policies.

Friday, April 29, 2016

Jayson Lusk's new book: Unnaturally Delicious


Noted agricultural economist Jayson Lusk's new book is Unnaturally Delicious (St. Martin's Press, 2016), a love letter to food and agricultural technology.

I can see the potential appeal of the object of Lusk's praise in his many examples of new technologies that help solve serious food system dilemmas -- for example, faster microbial detection to allow food manufacturers to respond to hazards, electronic sensors for precise crop nitrogen requirements to allow farmers to avoid over-application of fertilizer, and so forth.

In other cases, it feels like Lusk is singing the beauty of an airbrushed model on a magazine cover, when a more natural look would have sufficed. I do not see the point of personalized food from a 3-D printer ("the new killer app"), robots that can cook Mexican food (so we might not "even need a home kitchen in the future"), or meat grown directly from stem cells for boutique novelties ("If stem cells from cows can grow a hamburger, why not take stem cells from a rhino and create rhinoburger? Or mix a few stem cells from a giraffe or rabbit to create a truly unique delicacy?"). What appeal can the multi-colored confection on the book's cover possibly have, in a world that actually contains sweet natural pink grapefruit?

Much more than his previous book, Food Police, Lusk's new book pays attention to important environmental concerns. Still, in every case, the costs of environmental problems are portrayed as fully internalized. Sure, Lusk says, waste from manufacturing plants could be a problem in principle, but he gives us an image of 19th century processed meat baron Gustavus Swift inspecting the drainage pipe from his factory to prevent byproducts from pouring into the river, highly motivated to protect the value of any bits of economically valuable fat that might thereby be wasted. Sure, Lusk says, there is in principle the environmental problem of hypoxic zones in the Gulf of Mexico, "and some experts believe that agricultural runoff is largely to blame," but farmers are highly motivated to prevent over-application of fertilizer because of the internalized cost.

This gives us a fantasy world in which new technology spares us from the need for regulation or any type of shared response to environmental problems. As I read, I wondered if it would be too unkind to say that Lusk treats new technology and environmental sustainability as equivalent by definition. But, in the last words of Chapter 8, Lusk spared me the dilemma, by making the book's thesis explicit: "As I see it, sustainability and using agricultural technology are one and the same."

I love agricultural technology, and often argue that productivity gains and increased efficiency are not some capitalist scam, but are profoundly environmental virtues. But I would never say that sustainability and agricultural technology are one and the same. For my profession, food and agricultural economics, it is better to jointly address the environmental good and bad from new technology, and to jointly consider (a) market economics, (b) other new technologies, and (c) public policy as the remedies for environmental challenges.


Tuesday, October 20, 2015

Angus Deaton wins the Nobel in economics

Angus Deaton earlier this month won the Nobel Prize in Economics (or, more formally, the Sveriges Riksbank Prize in Economic Sciences in Memory of Alfred Nobel).

In the entire field, Deaton is one of the top three or four economists I admire most and read most closely.

It has been fun to watch the news reports struggle to pin down exactly what Deaton's topic area is. He has made major contributions to the theory and methodology of analyzing consumer demand, development economics, analysis of government policies, the analysis of decision making under risk and uncertainty, and survey measurement.

Many years ago, I faced a similar struggle in reviewing Deaton's book The Analysis of Household Surveys: A Microeconometric Approach to Development Policy for the American Journal of Agricultural Economics. I felt Deaton had made the book more difficult to read by using real-world examples rather than simplified hypothetical examples. It would have been easier on student readers if he had cleaned up the extraneous details. Yet, the real-world experience is ultimately more rewarding and deserving of study. Here is the first paragraph of that review.
Like a safari, this text is a rugged tour through a broad swath of author Angus Deaton’s intellectual countryside. It succeeds admirably as a teaching tool about contemporary research methods using household surveys. Moreover, the author has a distinctive vision of economically sound and fundamentally empirical research, yoked to the service of important policy questions. The entire book will interest agricultural economists with a focus on developing countries, but many topics will interest any economist who studies household surveys. The book is sometimes eccentrically organized, prone to digression on any topic in applied economics, and— by the author’s own admission—it is incomplete as a manual on the analysis of household surveys. It relies on detailed real-world examples, which require lengthy explanations that might initially seem unrelated to the author’s main points. However, while more artificial examples might have helped some of this book’s teaching purposes, they would have done a disservice to its implicit vision of honest empirical research. I would rather encounter this material on Deaton’s safari than at the zoo, where the ride is smoother and the animals are easier to see, but where the habitat is make-believe.

Thursday, April 23, 2015

Making a living as a farmer?

In a commentary titled, "A Farmer's Double Life," in the new edition of Tufts Nutrition, my Friedman School colleagues Jennifer Hashley and Samuel Anderson reflect on whether it is right or wrong that most small farmers also rely on off-farm income.

They discuss the experience of farmers they met through the New Entry Sustainable Farming Project at Tufts:
While they’d love to scale up to be full-time farmers someday, they know that it will take years to reach that point. In the meantime, they need to keep an off-farm job in order to maintain a livelihood, like the two New Entry graduates who farm their leased land but also work 30 or more hours a week as certified nursing assistants. Many may not have full-time farming income as a goal in the first place, instead seeking to farm parttime for supplementary income and to contribute to their local food system. Perhaps the American small-scale farmer is most often a part-time farmer—but is that necessarily a problem?
The commentary reminded me of a tweet this week, torn between desire to encourage young people in farming and concern about the dubious income prospects.
As always, it's useful to bring some real numbers into the discussion. It is widely recognized that national average farm income statistics can be misinterpreted, because they intermingle such diverse farms of all sizes. Fortunately, USDA provides a helpful typology.
  • Residence farms: Farms with less than $350,000 in gross cash farm income and where the principal operator is either retired or has a primary occupation other than farming.  
  • Intermediate farms: Farms with less than $350,000 in gross cash farm income and a principal operator whose primary occupation is farming.
  • Commercial farms: Farms with $350,000 or more gross cash farm income and nonfamily farms. 
In my rough summary of the USDA data using this typology: (a) "residence farmers" get by with non-farm income, (b) "intermediate farms" with annual farm revenue less than $350k have it most rough, and (c) "commercial farms" with annual farm revenue greater than $350k do well with farm income.


Somewhat in the spirit of Hashley and Anderson's commentary, I find this income table realistic rather than highly distressing. Many small farmers may find they need off-farm income to get by. If you want to go into farming full-time -- whether organic, conventional, or something in between -- it is good to contemplate your capacity for reaching close to the commercial scale in the third column.

Monday, December 08, 2014

Two books on agricultural policy controversies

In my in-box are two new books on agricultural policy controversies, both written by agricultural economists. Both books seek, with partial but not complete success, to move beyond a certain fear of criticism, openly engaging readers who may have diverse public interest concerns and motivations.

First is Depolarizing Food and Agriculture: An Economic Approach (Routledge/Earthscan, 2014), by Andrew Barkley and Paul W. Barkley. I offered a comment for the back cover:
When criticized on environmental or nutritional grounds, U.S. farm groups sometimes are tempted to adopt a thickly-armored defensive posture. In this daring book, respected agricultural economists Andrew Barkley and Paul Barkley offer a persuasive alternative. Echoing Schmpeter's vision of creative destruction (naturally), but also drawing on John Stuart Mill and Nelson Mandela (more surprisingly), the authors argue for an open and understanding approach to contemporary food and agriculture controversies, eventually offering hope -- as the title indicates -- for depolarizing food and agriculture.


Second is Agricultural & Food Controversies, part of the "What Everyone Needs to Know" series from Oxford University Press (2014), by F. Bailey Norwood, Pascal A. Oltenacu, Michelle S. Calvo-Lorenzo, and Sarah Lancaster. In a Huffington Post review, Jayson Lusk -- who was author of a more strident 2013 book called the Food Police -- notes the value of the new book's respectful discussion:
Rather than striking a defensive or muckraking tone, as so often is the case in this genre of writing, Norwood and colleagues embrace the controversies, interpreting them as a sign of a healthy democracy struggling to deal with pressing challenges. They reveal what the best science has to say on topics ranging from food pesticides and GMOs to the carbon footprint of beef production and the well-being of farm animals. They weigh in on synthetic fertilizers, local foods, and farm policy. Theirs is a respectful discussion of the positions taken up by different advocacy groups, but there is no hesitation in drawing conclusions where logic and science warrant.

Tuesday, November 18, 2014

U.S. food supply inconsistent with dietary guidance

The U.S. food supply is far out of balance with dietary recommendations. A new study in the Journal of the Academy of Nutrition and Dietetics quantifies the gaps. In brief, the U.S. food supply was quite unhealthy already by the 1970s and has not improved noticeably since then.

The authors -- Paige Miller, Jill Reedy, Sharon Kirkpatrick, and Susan Krebs-Smith -- use a measure more commonly applied to individual survey data, called the Healthy Eating Index. Getting this measure to fit national food supply data from USDA requires a bit of shoe-horning, but nonetheless the results are persuasive about the basic picture. As the video below illustrates, for example, Americans have for decades had all the protein we could possibly need, but the food supply for vegetables falls much short of recommendations.

The video -- from the National Collaborative on Childhood Obesity Research (NCCOR) -- generally thinks of the food supply as "upstream" and food consumers as "downstream." A possible implication is that policies should alter the food supply so that downstream consumers could eat more healthfully. It should be noted that people in the food business, and perhaps most agricultural economists too, give greater weight to consumer preferences for unhealthy food as a key driver of the gap the study describes. Economists may suggest that the food supply would provide plenty of healthy food if that's what consumers actually would buy.

Still, nutrition scientists and agricultural economists have in recent years been doing better than ever at listening to each other's perspectives on these big questions. For example, in an accompanying article, which calls on dietitians to get involved in designing federal policies such as the Farm Bill, Claire Zizza reviews agricultural economics perspectives as well as public health perspectives on how such policies should be evaluated. It all makes a lively conversation.

 

Friday, October 10, 2014

Web search interest in "food policy" and "agricultural economics"

Circa 2005, U.S. web search interest in the terms "food policy" and "agricultural economics" was about equal. Nowadays, web search interest in "food policy" is much higher. There may be lessons in this for U.S. agricultural and applied economists.

Monday, August 25, 2014

Textbook on Economics of Agricultural Development

Many important debates in U.S. Food Policy turn on competing views about the global food prospect, especially the food situation in developing countries. For those who want to study this topic seriously, Routledge has just published the new third edition of the comprehensive textbook, The Economics of Agricultural Development: World Food Systems and Resource Use, by George W. Norton, Jeffrey Alwang, and my Friedman School colleague William A. Masters. From the link:
Our third edition is out in August 2014, and the Japanese edition appeared in January 2013. Click here to read a review of the first edition (in ERAE), find it at your local bookstore or any online bookseller, request a review copy from Routledge, or visit our instructors’ website for lecture slides, extra photos and example quizzes.

Monday, August 11, 2014

Summarizing the Agricultural Act of 2014

Choices Magazine -- the outreach magazine of the Agricultural and Applied Economics Association (AAEA) -- this spring and early summer published a special series summarizing the Agricultural Act of 2014 (also known as the Farm Bill).

Jody Campiche organized the series and presented the theme overview:
After more than three years of debate on the next farm bill, the Agricultural Act of 2014 was signed into law on February 7, 2014. Overall, total spending under the new bill will be reduced by $23 billion as compared to the baseline over the next 10 years. The Agricultural Act of 2014 reforms the dairy program, includes major changes to commodity programs, adds new supplemental crop insurance programs, consolidates conservation programs, expands programs for specialty crops, reauthorizes important livestock disaster assistance programs, and reduces spending under the Supplemental Nutrition Assistance Program (SNAP). However, despite large cuts in total program spending, the Act continues to provide important programs to ensure a safe and adequate food supply and to protect our natural resources. The articles in this theme discuss new or revised provisions relating to commodities, crop insurance, dairy, conservation, nutrition, and specialty crops as included in the Agricultural Act of 2014.
The series includes articles on commodity payments, conservation programs, dairy programs, crop insurance, specialty crops, and my contribution on nutrition assistance programs.

AAEA recognizes Food Policy in the United States

In its 2014 awards program, the Agricultural and Applied Economics Association (AAEA) has given honorable mention to my book, Food Policy in the United States, in the category "Quality of Communication."

As publisher of the American Journal of Agricultural Economics and other top-ranked periodicals, AAEA is the leading scholarly and professional association in U.S. agricultural and applied economics. Though my book is highly multi-disciplinary -- designed to engage non-traditional audiences interested in food policy debates -- AAEA's recognition shows that the book also meets the exacting standards of the mainstream of my home profession.

My department chair, Will Masters, wrote the nomination letter to AAEA:
Prof. Wilde’s book distills the instructional content of his 13-week graduate course on U.S. Food Policy into a very readable 200 pages, enlivened with anecdotes from 10 years of experience blogging on the topic at http://usfoodpolicy.blogspot.com. The quality of writing is extraordinary, making economic insights accessible by clear use of plain language, amply illustrated with well-designed charts and tables, plus sidebars with more academic material to add depth without interfering with the story line. The book is particularly innovative in its scope, spanning agricultural production and international trade, food manufacturing, grocery stores and restaurants, food safety and labeling, advertising and health claims, and nutrition assistance programs....
In summary, Prof. Parke Wilde’s Food Policy in the United States offers a big step forward in fulfillment of the AAEA’s vision and mission. This book exemplifies the highest standard of scientific communication needed by our profession, first to help students in classrooms all across the country, and then to help graduates improve food and agricultural policy in Washington and elsewhere.
I hope the AAEA's honorable mention encourages faculty to consider using this book for courses that address -- in a lively but rigorous way -- the immense student interest in food movements and food policy. Faculty members who are considering adoption may acquire a copy from the publisher.

Friday, May 23, 2014

Superfood fads for global farmers

In a Marketplace report last night, Dan Bobkoff describes the excitement of new crops for global farmers without overstating the power of any single new crop to transform the world. To communicate this balance of opportunity and realism, Bobkoff chatted with my fellow Tufts economist Will Masters.
Masters is chairman of the Food and Nutrition Policy Department in the Friedman School of Nutrition at Tufts. He says more often than not, so-called miracle crops like moringa or breadfruit are distractions. "Why [is] it that it didn't get identified as a huge success previously?"

In other words, it's not like farmers haven't tried many of these crops before. Farmers experiment. They'll plant something new, and see how it does. And, over the years, many of these so-called superfoods failed for the most mundane of reasons. They take too long to grow, require too much labor or are prone to pests. It's not as easy to spread breadfruit as wheat.

"That search across all the available biodiversity has been going on for thousands of years," Masters said, "and it's led to a system that has found a half dozen or dozen major species that feed the world. And that's because those major species have some pretty amazing characteristics."

Thursday, March 20, 2014

Economists and the restaurant industry offer input on the minimum wage debate

With support from the Obama administration, Congress is contemplating an increase in the minimum wage, in small annual steps to $10.10 per hour by 2016. After that, the minimum wage would rise automatically with inflation.

A group of several hundred economists signed a letter of support sponsored by the Economic Policy Institute. The letter said the proposal would help 17 million workers directly, and perhaps another 11 million workers by boosting wage expectations at the low end of the labor market. The letter said the weight of recent research shows "that increases in the minimum wage have had little or no negative effect on the employment of minimum-wage workers, even during times of weakness in the labor market."

A competing group of several hundred economists signed a letter of opposition. The letter says the consequence of the minimum wage proposal is "that business owners saddled with a higher cost of labor will need to cut costs, or pass the increase to their consumers in order to make ends meet. Many of the businesses that pay their workers minimum wage operate on extremely tight profit margins, with any increase in the cost of labor threatening this delicate balance."

In my own profession, several leading agricultural and applied economists signed each letter.

The New York Times this week pointed out that the letter of opposition was not really written by Vernon Smith, the lead signatory, who is a Nobel-winning economist. The letter was circulated by a firm hired by the National Restaurant Association (NRA), which has much to lose from the new minimum wage proposal. Smith is quoted saying he hadn't known who originated the statement, but he didn't mind that it turned out to be the restaurant industry, because the content of the letter is what mattered.

I asked a couple of my favorite agricultural and applied economists who had signed each letter if they wanted to respond to the controversy. One who signed the letter of support just confirmed that he supported the proposed minimum wage increase, but preferred not to say more.

Dan Sumner, a leading food policy thinker and economist at UC Davis, who signed the letter of opposition, gave this response. I had asked him if he felt "ill-used" by the restaurant industry. His email tackles the concern that the NRA support was non-transparent, discusses anti-poverty policies he judges superior to the minimum wage, and casts the minimum wage unfavorably in the context of other governmental efforts to set prices.
Parke:

I just assumed the min wage letter was developed and circulated by an interest group. Interest groups are the ones with enough interest to organize such an effort.

But, like Lucas and Smith, the proposition and argument itself is what matters to me. I have no connection with fast food places.

I put the minimum wage in the category with farm subsidies as a silly policy ill-targeted and worse than worthless for three reasons.

a. It uses policy resources, effort and attention, that would be better spent doing effective things to help the poor, such as earned income credits or targeted education programs or quality day-care or ...

b. It sends the signal that government price fixing is good policy more broadly. I know from my own specialty that government-set prices are generally bad policy. Thinking we can fix labor market problems or ill-trained workers or any other problem by having members of Congress set some favored price based on what their favorite lobby says it should be just encourages shoddy thinking.

(You will recall that is my problem with the press and the Congress continuing to act as though food stamps had anything to do with food. The reason I like the SNAP program is that is is unrelated to nutrition and the nanny notion that the feds should tell people how to spend their money, even charity.)

c. Minimum wage is so ill targeted as a poverty program and really does make it harder for some poor gal with very little to offer to get that first job. If I have to pay $10 anyway I can turn her away and hire only her sharper cousin, who already had a leg up.

Anyway, that's my off the cuff thinking.

By the way, the interest groups I have least time for are the ideological lobby groups and NGOs that seem to be very loose with the facts and analysis. These range from Heritage to HSUS to the Union of Concerned Scientists. My sense is these folks are just as likely to have an underlying bias to everything they do, and they pretend they act in the "public interest" relative to firms and groups of firms who have clear financial motivations.

Dan

Thursday, February 27, 2014

USDA estimates that 31% of the food supply is lost and uneaten

A new report from USDA's Economic Research Service finds:
In the United States, 31 percent—or 133 billion pounds—of the 430 billion pounds of the available food supply at the retail and consumer levels in 2010 went uneaten. The estimated value of this food loss was $161.6 billion using retail prices. For the first time, ERS estimated the calories associated with food loss: 141 trillion in 2010, or 1,249 calories per capita per day.

Tuesday, February 04, 2014

How grains and oilseeds flow through the U.S. food economy

The U.S. Bureau of Economic Analysis (BEA) recently (in December 2013) announced the once-every-five-years release of benchmark national input-output accounts, showing how resources flow from one industry to the next in the U.S. economy.

For people interested in the economics of the food system, some graduate students and colleagues and I last year developed a tool in Tufts' Visual Understanding Environment (VUE) for interactively illustrating such input-output flows. A working paper (#44) describes the tool. A previous blog post shows an example. The visualization tag at this blog collects other posts about interesting food policy data illustrations.

In this video, I use the new BEA benchmark input-output data to describe how grain and oilseeds flow through the food economy. Before making the video, I rounded the numbers to the nearest billion dollars and deleted some negligible small resource flows, so serious students of these data will want to refer to the original files from BEA. Because the numbers likely will be illegible in the video player embedded in the blog post, I've included a link to the original video, which you can download and play with higher resolution on your computer's own video program (such as Windows Media Player or the Mac equivalent).

Tuesday, January 07, 2014

Food policy advocates and "personal responsibility"

In an interview with Jayson Lusk, author of the Food Police, the Casual Kitchen blog today asks: 'Why is it that many food policy advocates strongly dislike the phrase "personal responsibility"?'

Jayson's answer, expressing a balanced sense of personal responsibility combined with awareness of environmental influences, is fine.  It is worth adding that many food policy advocates talk about "personal responsibility" all the time.  Just do a search for "Michelle Obama" and "personal responsibility."  You will find the topic thoroughly covered by the Cato Institute (an institution rarely accused of being part of the "Food Police"!).  You will find a lively discussion of how much the Obamas emphasize "personal responsibility" in tough non-pandering commencement speeches.  The Obamas' views, with a mix of personal responsibility and public purpose, sound a lot like Jayson's.

The Casual Kitchen, and Jayson too, can win arguments any time they like against the almost satirically narrow-minded caricature of the "Food Police" that they have set up.  But, perhaps it will become boring after a time to knock down row upon row of carnival dolls sitting on a shelf.  If so, they will want to engage in greater detail the issues that Michelle Obama raises in her speeches for the "Let's Move" campaign.  Here is a good speech to begin with.

Thursday, September 12, 2013

Thinking like an economist ... about grocery stores

In a recent blog post, my Friedman School colleague Will Masters considers the differences in the economic incentives that manufacturers, restaurants, and supermarkets face when it comes to selling healthier food:
Today’s New York Times has a terrific news story about this frontier of research by their reporter Michael Moss. Moss just released a lively new book about how food manufacturers raise the levels of salt, sugar, fat and other ingredients in processed foods far beyond what you’d add in your own kitchen, while research at Tufts and elsewhere has shown similar problems in restaurant food. In contrast, grocery stores sell a lot of fruits, vegetables and other relatively healthy stuff, generally around the perimeter of the store. So, in the choice between processed foods, restaurant foods, and plain old groceries, what determines how consumers’ spend their hard-earned money?
Part of the answer is advertising.  I imagine other key factors are consumer tastes, demand for convenience, prices, and overall health orientation. The comments to Will's post are interesting.

Will, incidentally, this year won the prestigious Bruce Gardner Memorial Prize for Applied Policy Analysis from the Agricultural and Applied Economics Association (AAEA).

Friday, July 12, 2013

An introduction to Food Policy in the United States

A second excerpt from the first chapter of Food Policy in the United States: An Introduction (Routledge/Earthscan), which was published in April.
This book offers an introduction to food policy in the United States. Food policy encompasses laws, regulations, decisions and actions by governments and other institutions that influence food production, distribution and consumption. While food policy is defined broadly, a food program is a more specific institution that provides or distributes food.

Food policy is intertwined with many of the fundamental economic and social decisions of the day. Will traditional farming in the United States disappear as an economically viable way of life? Can U.S. agriculture contribute to nourishing a growing world population without destroying the environment? What labor rights do farm workers have? Does globalization help or harm U.S. farmers and food consumers?  How can the safety of food be protected without imposing unnecessarily burdensome rules and regulations? What can be done about the epidemic of obesity and chronic disease? How can school lunches be improved? Why do some families go hungry in such a rich country?

U.S. food policy is an important topic for readers in the United States and also in other countries. The United States is the world’s largest exporter for some crops and a leading importer for others. The U.S. government position carries considerable weight in multinational policy decisions about globalization and international trade. Consumers around the world aspire to emulate some aspects of U.S. consumer culture, even as doubts arise about the nutritional merit and environmental sustainability of U.S. food consumption patterns. Some environmental constraints on U.S. agricultural production are local, but others are global. In these respects, the implications of U.S. food policy extend beyond national borders.

This book focuses on national-level food policy in the United States, but there are similarities with policy-making at other levels of government and in other institutions. Federalism refers to the division of authority between the national government and state and local governments. Policy innovations may be first attempted at the state and local level and later adopted at the federal level.

U.S. food policy is absorbing in part because it is dysfunctional. Just as other areas of politics in the United States suffer from partisanship and deep regional and cultural divisions, food policy can become mired down in bitter struggles across stagnant political lines in the sand. On topics ranging from genetically modified organisms (GMOs) to advertising that targets children, it can seem as if no policy actors have either changed their mind or persuaded an opponent in the past generation.

Faced with such challenges, it may be worthwhile to climb down from the ramparts and devote some time to reflection and study. To some extent, this book is a descendant of hefty agricultural policy textbooks such as traditionally were used in departments of agricultural economics in U.S. land-grant universities, but there are important differences. This book tackles both normative questions (about how decisions should be made) and positive questions (about how decisions actually are made) in U.S. food policy. Throughout the book, real-world policy struggles provide the contemporary hook to motivate the reader’s attention to the more specialized details of economic principles, policy analysis, institutional structures and data sources. The study of these more academic topics may pay off even for readers whose primary interest is the policy arena. The hope for this book is that these principles and data sources hold some promise for knocking loose the logjam in policy-making.