ECONOMIC DEVELOPMENT, ENTREPRENEURSHIP BEHAVIOR AND DEMAND FOR NATURAL RESOURCES

• Sponsoring Institution: National Institute of Food and Agriculture
• Project Status: TERMINATED
• Funding Source: HATCH
• Reporting Frequency: Annual
• Accession No.: 0221455
• Project No.: FLA-FRE-004994
• Project Start Date: Jan 10, 2010
• Project End Date: Jan 10, 2015

Project Director
Useche, M.

Recipient Organization
UNIVERSITY OF FLORIDA
G022 MCCARTY HALL
GAINESVILLE,FL 32611

Performing Department
Food and Resource Economics

Non Technical Summary
The first generation of economists studying development used Harrod-Domar ideas of development, which were originally formulated for conditions of full growth in an industrial economy, and applied them to estimate capital requirements in less developed countries. This framework was not suited to study the issues of imperfect information, high uncertainty, low computational ability, and physical and social externalities, which are pervasive in developing areas. Partially because of wider data availability, subsequent generations of development economists have been able to move from highly aggregative models to disaggregated micro-studies. This has allowed for recognition of the heterogeneity of developing areas and helped to place more attention on the particular features of underdevelopment, rather than on the grand ideas about the process of development. The need to understand the norms of behavior and institutions that mediate policy impact is widely recognized and consensus has been built around the need of using experimental methodologies to test old assumptions such as behavioral rationality in e.g. entrepreneurship behavior. This type of research is paramount to inform future economic development knowledge (Cardenas and Carpenter 2005; Duflo 2004), including the different rationales underlying the demand for natural resources. Past approaches in development have been criticized, as well, for the neglect of the analysis of investment, knowledge, innovation, and externalities as major determinants of development. These critiques have given rise to induced innovation models (Ruttan 2002; Hayami and Ruttan 1984), learning by doing and learning by watching (Jovanovic and Nyarko 1996; Foster and Rosenzweig 1995; Udry and Conley 2004,)). Market failures and lack of technology diffusion in developing areas have been revisited and understood as being not only the result of poor economic incentives, but largely the result of imperfect and costly information, incomplete markets, transaction costs and social values and norms of behavior (Mullainathan 2004; Meier 2001; North 1990). Risk, uncertainty and information imperfections in the economy are increasingly recognized as key factors to be addressed in order to enable economic development (Meier 2001). This project will use behavioral approaches and experimental methodologies, among others, to understand how entrepreneurial behavior evolves and the tradeoffs between economic development and conservation of natural resources. Components of this project will study risk, uncertainty and information and their impact on entrepreneurial behavior, such as the adoption of genetically modified crops. Finally, economic and rural development have to have a sustainable character. These processes tend to increase the demand for natural resources such as water, land, etc. Additionally, the adoption of different technologies may have different types of environmental and social externalities (e.g. learning,conflict generation). It is then, paramount, to consider such externalities as one examines development and innovation.

Animal Health Component

(N/A)

Research Effort Categories

Basic

(N/A)

Applied

(N/A)

Developmental

(N/A)

Classification

Knowledge Area (KA)	Subject of Investigation (SOI)	Field of Science (FOS)	Percent
601	6199	3010	30%
605	6199	3010	20%
609	6199	3010	25%
611	6199	3010	25%

Knowledge Area
609 - Economic Theory and Methods; 611 - Foreign Policy and Programs; 605 - Natural Resource and Environmental Economics; 601 - Economics of Agricultural Production and Farm Management;

Subject Of Investigation
6199 - Economy, general/other;

Field Of Science
3010 - Economics;

Keywords

innovation

entrepreneurship behavior economic development

demand for natural resources

Goals / Objectives
Objectives: The overall objective of this project is to analyze major determinants and impacts of economic development, including a close examination of how entrepreneurial behavior evolves and how the demand for natural resources changes along the process. The specific objectives of this project are to: (1) Develop new methods for the analysis of economic issues in developing areas, which will incorporate aspects such as: imperfect information, high uncertainty faced by individuals, low computational ability, physical and social externalities. (2) To apply recent theoretical developments in economic theory, especially institutional and behavioral frameworks, for the analysis of preferences and decision making in poor economies, and of how the resulting knowledge can be used to explain behavior and to identify welfare-improving interventions. (3) To apply recently developed empirical methods (new econometric methods, design economic experiments) in order to identify the different causes of underdevelopment, lack of adoption of technologies and/or lack of entrepreneurship and innovative behavior. (4) To analyze the role of the agricultural sector and its technological innovation (including environmentally friendly technologies) on the process of economic development, and how these processes interact with the demand for natural resources, such as land, water and agricultural crops.

Project Methods
The procedures to be employed consist on both the development of theoretical frameworks for analysis of behavior in less advantaged areas, and on the application of empirical strategies for the estimation of development and innovation impacts and determinants. 1. The first and second objectives are about the theoretical contribution of the project. The procedure to be employed consists of the integration of three distinctive lines of recent innovative conceptual work: the study of choice under bounded-rationality (Rubinstein 1998), the study of behavior and formation of expectations (Manski 2004a; Tversky and Kahneman 1973) and the study of uncertainty as ambiguity (See for example Gilboa and Schmeidler 1989; Schmeidler 1989 and Epstein and Schneider 2003; 2006). This will be the first time that such lines of work are explicitly linked, and then (in the following objectives) pushed back to the level of statistical analysis with appropriately designed empirical models. 2. The theoretical developments introduced in objectives (1) and (2) will be applied in (3) and (4), through the use of data collected in less advantaged and agricultural areas of different countries. These data will be collected through traditional survey methodologies complemented by economic experiments. Recent empirical methods, such as characteristics-based econometric models, matching procedures, multiple imputation, and simulation methods, will be used for statistical analysis. The latter will allow me to introduce dynamic components to the analysis and will be favorable when the data is poor.

Progress 01/10/10 to 01/10/15

Outputs
Target Audience: This research has targeted a number of diverse audiences, including the academic community and some of the most disadvantaged groups in the world in economic and social terms. The latter have often benefited from my research, as I go back to present the results to organizations and groups I have work with and link this to potential solutions. Farmers in Northern Ecuador have become aware of the economic and environmental advantages of using nitrogen-fertilizer more efficiently. Farmers in central regions of Ecuador have become more aware of benefits of conserving local crop varieties and biodiversity. My research projects have also provided material for formal classroom instruction in the graduate classes I teach. Changes/Problems: Nothing Reported What opportunities for training and professional development has the project provided? 4 Graduate students were involved in the project, learning about international field work, data collection, data analysis, communication with stakeholders, grant applications. How have the results been disseminated to communities of interest? We have gone back to communities and given presentations about our project results. What do you plan to do during the next reporting period to accomplish the goals? Keep publishing, working with students, presenting at academic conferences and delivering results to other stakeholders.

Impacts
What was accomplished under these goals? (1) a-.Methods were developed to analyze farmers' production choices, when the benefits of their alternative choices include non-market benefits and are not easily measurable (See Useche and Blare 2013). b-.Methods for the analysis of technological adoption were further developed, in particular, to analyze how the traits of technologies influence farmers' adoption of these technologies (Useche, Barham and Foltz 2013; Foltz, Useche and Barham 2013). (2) Innovative conceptual frameworks were used to analyze latin american migration, collective action problems in natural resource management, kidnapping negotiations in Latin America. (3) Innovative empirical methods were applied in the analysis of water use behavior (Borisova and Useche 2013; Borisova, Useche etal. 2013), cacao production in Ecuador (Blare and Useche 2013), bundling of technology and insurance in US corn varieties (Foltz, Useche, Barham 2013).

Publications

• Type: Journal Articles Status: Published Year Published: 2013 Citation: Borisova T. and P. Useche. 2013. Exploring the effects of extension workshops on household water-use behavior. HortTechnology 23:668-676.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Borisova, T., P. Useche, M.D. Smolen, D.E. Boellstorff, N.W. Sochacka, J. Calabria, D.C. Adams, R.L. Mahler, and J. M. Evans. 2013. Differences in Opinions about Surface Water Quality Issues in the Southern United States: Implications for Watershed Planning Process. Natural Sciences Education 42:104-113.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Useche, P. and T. Blare*. 2013. Traditional vs. Modern Production Systems: Nonmarket and Price Considerations of Cacao Producers in Northern Ecuador. Ecological Economics 93: 1-10.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Blare, T*. and P. Useche. 2013. Competing Objectives of Smallholder Producers in Developing Countries: Examining Cacao Production in Northern Ecuador. Environmental Economics 4(1):72-80.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Useche, P. 2013. The Value of a Human Being: A Strategic Analysis of Kidnapping Negotiations with Guerrilla Groups in Colombia, International Journal of Research in Social Sciences 3(4):301-317.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Useche, P. 2013. Collective Action in Common Pool Resource Management: Including Heterogeneity of Opportunities and Exit Options. Natural Resources 4(8): 475-482.
• Type: Other Status: Published Year Published: 2013 Citation: Useche, P. 2013. Latin America, Agriculture and Migration," in I. Ness and P. Bellwood (eds.), Encyclopedia of Global Human Migration, Wiley-Blackwell, NY, DOI: 10.1002/9781444351071.wbeghm338. February.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Useche, P., B. L. Barham, and J.Foltz. 2013. Trait-Based Adoption Models Using Ex-Ante and Ex-Post Approaches. American Journal of Agricultural Economics, 95(2): 332-338. Published Online May 2012.
• Type: Journal Articles Status: Under Review Year Published: 2013 Citation: Useche, P. Who Contributes to the Provision of Public Goods at the Community Level? The Case of Potable Water in Ghana, submitted to Development Policy Review in May 2012.
• Type: Journal Articles Status: Published Year Published: 2013 Citation: Foltz, J., P. Useche and B. L. Barham. 2013.  Bundling Technology and Insurance: Joint Packages versus Technology Traits. American Journal of Agricultural Economics, 95(2):346-352. Published Online April 2012.
• Type: Journal Articles Status: Under Review Year Published: 2014 Citation: Twyman, J. g , Deere, C.D. and P. Useche. Gendered Perceptions of Land Ownership and Agricultural Decision-Making in Ecuador: Who is the Farm Manager? Revise and resubmit to Land Economics.

Progress 10/01/12 to 09/30/13

Outputs
OUTPUTS: Surveys: survey information collected in: a) Southern Ecuador (400 farmers interviewed in the context of their adoption of new fertilization technologies), b) Cotacahi Ecuador (700 farmers interviewed in the context of evaluating the impact of their participation in a sustainable development project), c) Qualitative interviews in Brazil (in the context of the valuation by farmers of different characteristics of traditional versus modern seed varieties). Students mentored by me were involved in the collection of the data. In the case of Ecuador, the project included demonstration sites, field days, symposia, workshops, and trainings. In all cases databases have been created and are being analyzed. New economic models for the study of the adoption of agricultural technologies have been developed: the uncertainty associated with the adoption of new genetically modified traits, the valuation by farmers of different traits of technologies, the impact on biodiversity of different technological choices (hybrid versus traditional cacao seeds). I presently collaborate with researchers at and have built institutional links with the International Center for Tropical Agriculture (CIAT- CGIAR) and ICESI University in Cali, Colombia, the University of Los Andes, in Bogota, the National Institute of Agricultural Technology in Quito, Ecuador, the Escuela Politecnica del Litoral in Guayaquil, Ecuador, the Union of Peasant and Indigenous Organizations in Cotacachi, Ecuador, the University of Salta in Argentina, and the International Potato Center in Peru. PARTICIPANTS: I presently collaborate with researchers at and have built institutional links with the International Center for Tropical Agriculture (CIAT- CGIAR) and ICESI University in Cali, Colombia, the University of Los Andes, in Bogota, the National Institute of Agricultural Technology in Quito, Ecuador, the Escuela Politecnica del Litoral in Guayaquil, Ecuador, the Union of Peasant and Indigenous Organizations in Cotacachi, Ecuador, the University of Salta in Argentina, and the International Potato Center in Peru. TARGET AUDIENCES: Effort: formal classroom instruction (3 classes); development of curriculum or innovative teaching methodologies (2 new class syllaby); workshops (2 presentations); experiential learning opportunities (engaged students in grant writing activity and field research); extension and outreach. PROJECT MODIFICATIONS: Not relevant to this project.

Impacts
New ways of analyzing the adoption of agricultural technologies, improved understanding of the heterogeneity of farmers' preferences for different technological attributes, of the uncertainty associated with the adoption of new genetically modified traits, of the valuation by farmers of different technologies, and of the impact on biodiversity of different technological choices (hybrid versus traditional cacao seeds). New ways of understanding the productivity of an agricultural system, which include the non-market benefits of the system as well as the impact that these benefits have on producers' decisions. Enhancing the understanding of vulnerability to natural disasters in small island states. Providing evaluations of the effect of environmental workshops on individuals resource consumption behavior (e.g. water). Improving gender equity in developing countries by making this aspect an integral part of my research in economic development and technological adoption.

Publications

• Aldana, U., Barham, B., Foltz, J. and P. Useche (2012) "Early adoption, experience, and farm performance of GM corn seeds," Agricultural Economics, 43: 11-18.
• Useche, P., B.Barham, and J.Foltz (2013), "Trait-based Adoption Models Using Ex-Ante and Ex-Post Approaches," American Journal of Agricultural Economics, doi:10.1093/ajae/aas044v2-aas044.
• Foltz, J., P.Useche, and B.Barham (2013),"Bundling Technology and Insurance: Packages Versus Technology Traits," American Journal of Agricultural Economics, doi:10.1093/ajae/aas046.
• Silbert*, Megan E., and P. Useche. (2012). "Repeated Natural Disasters and Poverty in Island Nations: A Decade of Evidence from Indonesia" University of Florida, Department of Economics, PURC Working Paper.

Progress 01/01/11 to 01/01/12

Outputs
OUTPUTS: Surveys: survey information collected in: a) Southern Ecuador (400 farmers interviewed in the context of their adoption of new fertilization technologies), b) Cotacahi Ecuador (700 farmers interviewed in the context of evaluating the impact of their participation in a sustainable development project), c) Qualitative interviews in Brazil (in the context of the valuation by farmers of different characteristics of traditional versus modern seed varieties). Students mentored by me were involved in the collection of the data. In the case of Ecuador, the project included demonstration sites, field days, symposia, workshops, and trainings. In all cases databases have been created and are being analyzed. New economic models for the study of the adoption of agricultural technologies have been developed: the uncertainty associated with the adoption of new genetically modified traits, the valuation by farmers of different traits of technologies, the impact on biodiversity of different technological choices (hybrid versus traditional cacao seeds). Collaborations are being fostered with: Insitituto Nacional Autonomo de Investigaciones Agropecuarias del Ecuador (INIAP, National Autonomous Agricultural Research Institute of Ecuador), Union de Campesinos e Indigenas de Cotacachi, Ecuador (UNORCAC- Union of Peasant and Indigenous Organizations of Cotacachi). National Ministry of Agriculture in Ecuador (under the Minister Ramon Espinel). Escuela Politecnica del Litoral (ESPOL) The Federacao de Orgaos para Assistencia Social e Educacional, Brazil (FASE, Federation of Organizations for Social and Educational Assistance), The Grupo de Intercambio em Agricultura Sustentavel, Brazil (GIAS, Group of Exchange in Sustainable Agriculture). Dissemination: "Trait-Based Adoption Models Using Ex-Ante and Ex-Post Approaches," Annual Meeting of the Allied Social Sciences Association and /AAEA, Chicago, January 2012. "Bundling Technology and Insurance: Joint Packages versus Technology Traits," Annual Meeting of the Allied Social Sciences Association and /AAEA, Chicago, January 2012. "A State Contingent Approach to Farmer Valuation and Adoption of Biotech Crops," Annual Meeting of the SCC-76 "Economics and Management of Risk in Agriculture and Natural Resources" group, Atlanta, GA, March, 2011. "Specialty Markets and Biodiversity Effects on Small Producer Decisions: the Case of Cacao in Ecuador," Development Economics Workshop, Agricultural and Applied Economics Department, University of Wisconsin-Madison, WI, April 21, 2011. PARTICIPANTS: Individuals participating: James Sterns (PI) Graduate students who obtained stipends through the project: Jorge Avila(FRE MS), Samuel Mora (FRE MS), Olga S (Soil Sciences). Partner organizations in Ecuador: Fundacion Accion Social Caritas (FASCA) in Santo Domingo, Fundacion de Ecodesarrollo Integral (FUDI - Eco-development Foundation) in Santo Domingo, Farmer's association in Quininde, the Union de Organizaciones Campesinas del Canton Quininde (UOCAQ- Union of Peasant Organizations of Quininde) USDA PL-480 Office in Ecuador (USDA), Insitituto Nacional Autonomo de Investigaciones Agropecuarias del Ecuador (INIAP, National Autonomous Agricultural Research Institute of Ecuador)Contact: Cesar Tapia. Union de Campesinos e Indigenas de Cotacachi, Ecuador (UNORCAC- Union of Peasant and Indigenous Organizations of Cotacachi). Contact: Hugo Carrera. National Ministry of Agriculture in Ecuador (Contact: former Minister Ramon Espinel). Escuela Politecnica del Litoral (ESPOL). Contacts: Maria Jose Castillo, Paul Herrera. Brazil: The Federacao de Orgaos para Assistencia Social e Educacional (FASE, Federation of Organizations for Social and Educational Assistance), The Grupo de Intercambio em Agricultura Sustentavel (GIAS, Group of Exchange in Sustainable Agriculture). TARGET AUDIENCES: This research has targeted a number of diverse audiences, including the academic community and some of the most disadvantaged groups in the world in economic and social terms. The latter have often benefited from my research, as I go back to present the results to organizations and groups I have work with and link this to potential solutions. Farmers in Northern Ecuador have become aware of the economic and environmental advantages of using nitrogen-fertilizer more efficiently. Farmers in central regions of Ecuador have become more aware of benefits of conserving local crop varieties and biodiversity. My research projects have also provided material for formal classroom instruction in the graduate classes I teach. PROJECT MODIFICATIONS: Not relevant to this project.

Impacts
New ways of analyzing the adoption of agricultural technologies, improved understanding of the heterogeneity of farmers' preferences for different technological attributes, of the uncertainty associated with the adoption of new genetically modified traits, of the valuation by farmers of different technologies, and of the impact on biodiversity of different technological choices (hybrid versus traditional cacao seeds).

Publications

• Useche,P., B. L. Barham, and J.Foltz. Trait-Based Adoption Models Using Ex-Ante and Ex-Post Approaches. American Journal of Agricultural Economics, Papers and Proceedings 2013 (Accepted).
• Foltz, J., P. Useche and B. L. Barham. Bundling Technology and Insurance: Joint Packages versus Technology Traits. American Journal of Agricultural Economics, Papers and Proceedings 2013 (Accepted).
• Aldana, U., Barham, B., Folz, J. and P. Useche. Sequential Adoption of Package Technologies: The Dynamics of Stacked Trait Corn Adoption. American Journal of Agricultural Economics, Vol. 93:130-143, January 2011.
• Useche, P."Latin America, Agriculture and Migration," in I. Ness and P. Bellwood (eds.), Encyclopedia of Global Human Migration, Wiley-Blackwell, NY, forthcoming 2012.

Progress 10/01/09 to 09/30/10

Outputs
OUTPUTS: The overall objective of this project is to analyze major determinants and impacts of economic development and technological innovation (including pecuniary and non-pecuniary impacts). An implicit goal is to develop and use state-of-the-art methodologies for the rigorous and accurate analysis of economic development and to be able to account for dynamic and not-easy-to measure-factors, such as uncertainty and externalities. These objectives are achieved through the study of the adoption of agricultural technologies, such as new varieties of corn and cacao, and the evaluation of the impact of development projects. In particular 1) Examining the role of experience and other farmer characteristics in shaping adoption of new corn seeds and their yield and profit performance (US Corn Belt). 2) Looking at implications of the dynamic nature of technological adoption; how uncertainty with package technologies can lead to a sequential adoption pattern in which farmers adopt single components first.3) Examining all uncertainty surrounding seed trait adoption. Emphasizing the role of timing and information in farmers' adoption decisions, we distinguish between supplementing and stabilizing traits. Distinct trait types shape management strategies and farmers' willingness to pay for seed traits 4) Developing shadow wage and shadow income estimations to explain how ecological factors impact the technological decisions of smallholder farms. This methodology is used to account for the impact of specialty markets on the welfare of Ecuadorian households producing cacao . 5) Evaluating economic and environmental impacts of information/education of rural agents about environmental benefits and training on environmental businesses. 6) Analyzing the adoption process of an environmentally friendly fertilization method. Methodologies developed in 2 and 3 include a semi-parametric panel data model of adoption dynamics and a state contingent model of adoption and WTP, implemented through double bounded contingent valuation approach. In 5, state of the art counterfactual methods are used. For all project components, surveys have been implemented and 5 graduate students have been involved. The first three components involve collaboration with colleagues at UW-Madison. The work has been disseminated through presentations in academic settings (1-4) and through outreach efforts (5-6). Selected presentations include: Analysis of Willingness-to-Pay for Traits of GM Corn, Applied Economics, UW - Madison, Nov 2009. Early Adoption and Yield Impacts of GM Corn Seeds in Minnesota and Wisconsin, Applied Economics, UW-Madison. Mar, 2010. Sequential Adoption of Package Technologies The Dynamics of Stacked Trait Corn Adoption,8th Conference on Industrial Organization and Food Processing Industry, Toulouse, France. June 2010. A StateContingent Approach to Farmer Valuation & Adoption of Biotech Crops, Applied Econ, UW-Madison, Dec 2010. Sequential Adoption of Package Technologies: Dynamics of Stacked Trait Corn Adoption, AAEA 2010. A State Contingent Approach to Farmers' Valuation and Adoption of New Biotech Crops: Nitrogen-fertilizer Saving and Drought Tolerance Traits, AAEA 2010. PARTICIPANTS: Gradute students who worked in the project (Food & Resource Econ-UF): Paul E. Jaramillo, Trent Blare, Mayra Rivas, Jorge Avila, Samuel Mora, (AgEcon-UW):Ursula Aldana Partner Organizations: In Ecuador: Escuela Politecnica del Litoral-Ecuador (ESPOL), Insitituto Nacional Autonomo de Investigaciones (INIAP), Union of Peasant and Indigenous Organizations of Cotacachi (UNORCAC). In USA: University of Wisconsin (UW) Collaborators: Paul Herrera (ESPOL), Ramon Espinel (Minister of Agriculture-Ecuador), James Sterns (UF), Walter Bowen (UF), Bradford Barham (UW), Jeremy Foltz(UW) Graduate Students' Training Funded: Jorge Avila (FRE-MS), Samuel Mora (FRE-MS), Paul Jaramillo (last years PhD-FRE), Ursula Aldana (One year, Phd-UW-AgEcon) TARGET AUDIENCES: Components 1-3 of the project targeted farmers, industry-, government- and academic researchers in the US. Component 4 targeted researchers and also served the most disadvantaged communities in rural Santo Domingo-Ecuador (Afro-ecuadorians, Indigenous-Tsachila and low-wealth mestizos). Component 5 targeted researchers in US and Ecuador, and also served small scale farmers in Ecuador rural regions (Daule, Guayas, Rios). This component provided experiential learning opportunities for farmers who experimented with a new fertilization technology, as well as extension and outreach. Component 6 targeted academic researchers as well as low-income farmers and indigenous community of Cotacachi-Ecuador. The project has also provided material for formal classroom instruction in the classes of Economic Development for PhD-FRE (AEB 6645) and Latin American Economic Development (AEB 4933). Experiential learning has benefitted students who have done field work in international settings and implemented and analyzed surveys at both international and national levels (Trent Blare, Survey in Santo Domingo-Ecuador, Mayra Rivas, Survey in Cotacachi-Ecuador, Paul Jaramillo and Ursula ALdana- Minnesota and Wisconsin -US, Jorge Avila and Samuel Mora-Agricultural experiments and extension in Daule-Ecuador). For some of the students working in Ecuador, their experiences have involved interactoins with indigenous communities and ethnic minorities as well as poorest segments of the population in the country. PROJECT MODIFICATIONS: Not relevant to this project.

Impacts
New methods and conceptual frameworks for the study of the adoption of agricultural technologies. Introduction and dissemination of Urea Deep Placement (UDP) technique in Ecuador, estimation of WTP for new seed traits in US and contribution of different types of uncertainty to the WTP, estimation of the degree of substitutability between fertilizer-saving traits and fertilizer input, as well as between drought-tolerant seed-trait and insurance. New methods developed are being taught at Universities (See syllabus Agricultural Production Economics (AEC 855), Fall 2010, Instructors: Scott Swinton and Roy Black; Production Economics (AGEC 534), SPRING 2010, Instructor: Dr. Levan Elbakidze ) and used by other researchers in their research (Alban etal. (forthcoming in Ecological Economics) "The Impact of Economic Attributes and Farmer Attitudes on the Adoption of Agro-ecological Innovations: A Contingent Valuation Experiment in the French West Indies") The dissertation of a graduate student involved has received the Best PhD Dissertation award of the Food and Resource Economics Department, 2009 and a Honorable Mention for Best Dissertation Award at Southern Agricultural Economics Association Meetings. Farmers in Ecuador have become aware of the economic and environmental advantages of using Nitrogen-fertilizer more efficiently. Farmers in Ecuador have become more aware of benefits of conserving local biodiversity. Articles resulting from this project,submitted and forthcoming in peer reviewed outlets are: Aldana, U., Barham, B., Folz, J. and P. Useche (forthcoming). Sequential Adoption of Package Technologies: The Dynamics of Stacked Trait Corn Adoption, American Journal of Agricultural Economics// Aldana, U., J. Foltz, B. Barham, and P. Useche. Early Adoption, Experience, and Farm Performance of GM Corn Seeds(submitted to Applied Economics Perspectives and Policy). //Useche, P., Jaramillo, P., Barham, B. and, J. Foltz. A State Contingent Approach to Farmer Valuation and Adoption of New Crop Traits(submitted to AJAE).

Publications

• Aldana, U., B. Barham, J. Foltz, and P. Useche. 2010. Sequential Adoption of Package Technologies The Dynamics of Stacked Trait Corn Adoption. UWMadison Staff Paper 556(2010), p. 1-47.