Park, Timothy A.

By: Park, Timothy A.
This paper examines the impact of participation in direct marketing on the entire distribution of farm sales using the unconditional quantile regression (UQR) estimator. Our analysis yields unbiased estimates of the unconditional impact of direct marketing on farm sales and reveals the heterogeneous effects that occur across the distribution of farm sales. The impacts of direct marketing efforts are uniformly negative across the UQR results, but declines in sales tend to grow smaller as sales increase. Producers planning to sell more in local outlets should expect sales to decline. Marketing experts and extension professionals can use this information to guide farmers who are considering initiating or expanding direct marketing activities.
By: Park, Timothy A.
Organic farmers face heightened pressure in developing a portfolio of different marketing channels and in bargaining competitively with increasingly sophisticated marketing participants in the supply chain for organic products. This research assists producers by identifying specific farm and demographic factors that enhance earnings given the choice of marketing outlet. The two significant selectivity coefficients confirm that organic earnings when marketing through a single outlet are biased upward since farmers who are better suited to market through multiple outlets have already moved away from this marketing strategy. An accurate evaluation of the projected earnings from any marketing strategy must account for selectivity effects.
By: Lohr, Luanne; Park, Timothy A.
Although organic farm activities seem to demand year-round employees, seasonal workers dominate the organic labor market. We use the elasticity of complementarity to assess input substitutability and predict adjustments. Farm size and farm workers are complementary inputs. Incentives that encourage farmers to expand employment of year-round and seasonal workers raise the marginal product and rates of return to organic acreage in relative wage payments. A commitment to local sales reduces organic farm incomes. A shift to local sales leads to decreased use of seasonal workers but at higher wages, with smaller adjustments in the wages of year-round workers.
By: Lohr, Luanne; Park, Timothy A.
Responses from a national survey of U.S. organic farmers indicated dissatisfaction with the extension service. An ordered probit model was used to identify the factors influencing effectiveness ratings of extension advisors by farmers. Study findings show that part-time, higher income organic farmers who used a variety of highly rated private-sector information sources rated extension providers as more effective. Farmers in the Northeast and West regions rated extension usefulness more highly than in other regions. Not accounting for these demographic components in effectiveness ratings may result in under- or overestimation of results of organic-targeted extension programs. Extension agents can improve their usefulness to organic farmers by complementing educational and technical services offered by the private sector, and by facilitating farmer information exchanges as well as presenting relevant research findings as they have traditionally done.
By: Park, Timothy A.; Florkowski, Wojciech J.
Timely adoption of new varieties is critical to profitable peach production, and peach quality is a primary factor driving adoption. An adoption model for peach varieties is estimated, incorporating grower evaluations of peach quality. The model identifies the impact of farm characteristics such as the farmer's quality preferences, on-farm agronomic and orchard conditions, as well as geographic effects in Georgia peach-growing regions. The relative impact of the key external and internal peach quality attributes on adoption is assessed. Decisions on new varieties are influenced by the age distribution of the orchard, information which can be used in targeting new varieties to growers.
By: Lohr, Luanne; Park, Timothy A.
The impact of supply relationships and certification programs on the organic lettuce market is examined using an integrated partial adjustment and asymmetric supply response model. Costs associated with organic certification, production, and marketing have not restricted producers' abilities to respond to price signals. Organic growers allocate output between certified and noncertified markets in response to changing price premiums. Estimates of short-run supply elasticities indicate that organic lettuce growers are more responsive to price changes than producers of nonorganic lettuce. Long-run elasticity has increased since 1988, a change that coincides with the market entry of larger producers.