We formulate and estimate a farm level simulation model of agricultural crop production, and apply it to a scenario with increasing yield variability. The objective function is of the mean-variance utility type with a positive mathematical programming (PMP) cost function, and it is estimated...

In this paper we develop a new methodological proposal to incorporate risk into a farm level Positive Mathematical Programming (PMP) model. Our model presents some innovations with respect to the previous literature and estimates simultaneously the resource shadow prices, the farm non-linear...

Price risk in a mathematical programming framework has been confined for a long time to a constant risk aversion specification originally introduced by Freund in 1956. This paper extends the treatment of risk in a mathematical programming framework along the lines suggested by Meyer (1987) who...

The use of prior information on supply elasticities to calibrate programming models of agricultural supply has been advocated repeatedly in the recent literature (Heckelei and Britz 2005). Yet, Mérel and Bucaram (2009) have shown that the dual goal of calibrating such models to a reference...

The objective of this paper is to present a Generalised Positive Mathematical Programming model suitable for the estimation of variable cost of production associated with different farm activities. This work present, discuss and demonstrates that the Generalised PMP model is a useful theoretical...

This paper presents an integrated model for the economic and environmental assessment of the use of natural resources when new activities (i.e. biomass crops for energy production) are introduced into the farm production plan. The methodology is based on the integration of positive mathematical...

In this study, economic implications of allocating surface water with the existing policy (seniority rule) and three other alternative (People First, proportional reduction, and trading) policies are investigated to address potential water scarcities in the Bow River Sub Basin (BRSB) of Southern...

ACRE is an Agro-eConomic model for agricultural pRoduction on rEgional level. Based on an extension of Positive Mathematical Programming (PMP) this model was developed as a decision tool for politics with respect to questions of global change- and political scenarios. Currently, ACRE is applied...

The Common Agricultural Policy (CAP) is a major driver of the environmental and social sustainability of the agriculture in the European Union (EU). Under the 2003 CAP reform, most direct payments to agricultural producers were decoupled from production. This work assesses the possible impact of...

The Tobacco CMO (Common Market Organization) is involved in a intense debate between the European tobacco industry and those who are against to a crop whose transformed product is dangerous to the health. European institutions have shown a strong interest in this complex issue introducing two...