Journal of Agricultural and Resource Economics
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We evaluate Coloradans’ preferences for policies decreasing the need for agricultural water transfers using two choice experiments with different frames—one highlighting policy choices and one emphasizing ex post impacts on prices, urban landscaping, and base charges. We find that a majority of users state a willingness to face private costs to reduce agricultural water transfers. Latent-class analysis is used to describe heterogeneity in opinion groups, showing that a minority of urban, lower-income participants would prefer to fallow agricultural land than to pay for alternative policies. This opinion group increases in size in the impact-framed survey.
We conduct a meta-analysis of studies estimating price premiums for agricultural products differentiated by Geographical Indication (GI). Models accounting for differences across product characteristics (food categories) and institutions (PDO, PGI, trademarks) explain a large portion of the variance in estimated premiums. Specifically, GIs capture the highest percentage premium in markets for products with short supply chains and relatively low added value (e.g., agricultural commodities). The premium is lower for wine and olive oil, where alternative means of product differentiation (e.g., branding) exist. Controlling for product characteristics, GIs adopting stricter regulations (PDO) yield larger premiums than less regulated ones (PGI).
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