Brief Summary of Minutes of Annual Meeting

Accomplishments NC-1014 has had four objectives for the last five years: 1. Determine the effects of changes in international competitive balance and federal and state policies affecting agriculture on the financial and economic performance of farms, agribusinesses and rural financial markets; 2. Determine the effects of market, policy, and structural change in the agricultural and financial market sectors on the financial soundness, safety, and management of financial institutions that supply capital to agriculture; 3. Evaluate the management strategies, capital needs, and financial performance required for the long-term sustainability of firms in the food and agribusiness sector; 4. Social Capital and Rural Entrepreneurship. The project produced a great deal of knowledge regarding the various objectives related to financing agriculture and rural America. Project members addressed the objectives through a variety of collaborations. Much of the research addressed individual objectives. Collectively the group has generated more than 100 peer-reviewed publications during the five years of the NC-1014 project. It has also sought and secured additional funding of research. Objective 1 With regard to the first objective, the members of NC-1014 have completed analysis related to several national and international policies that impact world agricultural competitiveness. Domestic issues included market structure, patents in agribusiness, and crop and revenue insurance programs among others. International issues included the performance of food and agriculture markets abroad as well as the impact of domestic agricultural subsidies on trade negotiations. With regard to agribusiness competitiveness, market structure was evaluated for several subsectors of the food and agriculture industries. For example researchers found evidence that the behavior of potato-processing firms is much closer to price taking than to collusion. The researchers also noted that price distortions due to oligopsony in the purchase of potatoes are smaller than oligopoly price distortions in either the potato chips or the frozen French fries sectors. Another important investigation of market structure was with regard to the segmentation of corn based on the need for non-genetically-modified grains to meet European demand. The discovery of StarLink corn in U.S. food products caused considerable disruption in corn markets in 2000 and 2001. Segregation costs were incurred by the U.S. grain-handling system in order to ensure that domestic and export sales of food corn and export sales of non-food corn to Japan meet stringent tolerance levels. These costs reduced the revenue that U.S. corn producers would have received in the absence of StarLink. Researchers estimated that revenue loss at between $26 and $288 million. Researchers also found evidence that optimal intellectual property protection is greater than intellectual property protection in the U.S. seed corn market, but lower than the intellectual property protection that could be attained with genetic use restriction technologies. Optimal intellectual property protection is much higher than intellectual property protection achieved under open-pollinated crops or where legal intellectual property protection is limited. Given that the federal government has shown interest in encouraging participation in crop insurance, many members have evaluated these programs. One project found that simpler internal business structures and more dominant farmertenant leasing position can increase the probability of submitting a prevented planting claim. Another project found evidence that, depending on farmer risk aversion, federal risk management programs can either decrease optimal fertilizer application rates. Another study considered holistic health insurance as an alternative. The results indicated that farmers prefer higher levels of coverage and are price sensitive. A sample of farmers did not prefer the subsidy switch. However, the subsidy switch is preferred by older farmers, those with higher health care spending, and farmers who have experienced major health problems. Several important issues regarding international competitiveness were considered. Evaluation of some international agricultural market structures was undertaken. Researchers used data from case studies, interviews, and surveys are used to explore the emergence, growth, and likely consequences of new agricultural operators (NAOs) in Russia. The case studies suggested that entry motives and patterns vary widely, but most NAOs are responding to real profit opportunities. Another case study of Telesignos, a fruit producer and exporter in Guayaquil, Ecuador considered the vertical integration opportunities with an American firm to deliver fresh cut pineapple. In addition, because of the sensitive nature of agriculture subsidies in trade discussions, the decoupling of production decisions from subsidies was considered. Members have found additional evidence that any effects of direct payments on acreage are likely to be modest. Furthermore, there is evidence that farmers who previously were unable to adjust production due to credit constraints are able to move to more optimal means of production after receiving the payments. Several other projects considered specific agriculture programs. Members found that the governments allocation of country-guarantees is risk-inefficient, and make recommendations for allocations based on the size of the program. Members also found that the peanut quota in the 2002 Farm Act had small impacts on inefficiency likely because of limitations in the transferability of the quota to more productive areas. Objective 2 The financial strength and performance of agricultural lenders is important in ensuring a healthy rural credit market. The efficient performance of commercial banks, the associations of the farm credit system, and federal government loan programs has always been of interest to the NC-1014 membership. In the recent years researchers have evaluated the implementation of the New Basel Accord in agriculture, the profitability of lending relationships, the default probability of agricultural borrowers, and the performance of international lending institutions. The results show that the necessary capital for agricultural lenders under the New Basel Accord varies substantially depending on the riskiness of the portfolio, which is not surprising. Grouping borrowers together based on their riskiness, however, can improve the lenders understanding of how much capital is necessary. Such successful practices typically permeate a financial system with modifications to fit institutional size and resource base. Vendors offering fee-based capital services, further consolidations among financial institutions, data sharing arrangements, and experience gained by the industry and its regulators will hasten the permeation process and enable community banksas well as the internationally active onesto utilize internal ratings-based approaches and economic capital concepts in their risk management. In order to improve the ability of agricultural lenders to implement many of the New Basel Accord guidelines, a better understanding of the agricultural lending relationships is needed. In particular lenders need greater detail on the default risk of borrowers, loss when default occurs, and in general the profitability of agricultural lending relationships. Many lenders have defaults infrequently, making the assignment of default probabilities and incidences difficult. Greater access to computing technology has helped to overcome this hurdle, but has not eliminated it. Researchers have identified several datasets that can help in aggregating the default occurrences among many borrowers. Furthermore, members also proposed methodology that could incorporate the extent of agricultural borrower market segmentation and factors affecting agricultural mortgage terminations in new loan products. It is likely that this has resulted in improved understanding of defaults in rural and agricultural lending. Researchers found credit scores are often not the best predictors of default risk and that agricultural lenders will need to consider character, capacity, and collateral in the lending decision. Furthermore, researchers found evidence of size economies in agricultural lending, though only to a certain point. As loan relationships became very large, the concentration of risk may have begun to outweigh the benefits of size. An interesting event occurred in the agricultural credit markets during the life of the NC-1014 project. Rabobank International, a privately-held commercial bank, offered to buy one of the largest Farm Credit Associations. Members evaluated this proposed buy-out as well as raised some issues that became apparent as a result of the offer; not least of which was the need for government intervention to improve competitiveness of the rural market in an era of modern communications technology. The Farm Credit System is government sponsored enterprise operating in a manner similar to Fannie Mae and Freddie Mac before their buyouts. In addition, The Farm Service Agency (FSA) direct farm loan program provides credit to family-sized farms including those operated by beginning farmers and socially disadvantaged applicants. Approximately 37% of all U.S. farms are estimated to be eligible for FSA direct loans when farm size, credit needs, farming experience, and occupation are taken into account. Despite the efforts of the government, researchers identified room for more of both farm and nonfarm lending in the rural Midwest. NC-1014 research helps improve the design of FSA programs using evaluation of USDA Farm Loan Program aspects including cost effectiveness and lender participation in FSAs direct and guaranteed loan programs as well as the use of FSA commercial bank interest assistance. The group evaluated the performance of the Loan Programs for the Farm Service Agency and Non-Traditional Financial Institutions. Policy recommendations were made regarding program performance and efficiency. Researchers have found that FSA market penetration rates for various borrower cohorts range from 0.8% to 4.6%. In general, beginning farmers have weaker financial characteristics than non-beginning farmers. Yet, the same result is not found when comparing socially disadvantaged farmers with non-socially disadvantaged farmers, such that there are few significant differences or the differences in financial characteristics are mixed. Overall, results indicate FSA direct farm loan borrowers have weaker financial characteristics than eligible, non-FSA direct farm loan borrowers, implying FSA is serving farmers likely to be denied credit by commercial lenders. In another study, results found that there was no convincing evidence that the FSA engaged in racial discrimination in response to a 1997 lawsuit. Members of the group assessed the factors that influence financing choices among agricultural producers. In particular, researchers found that female borrowers are more likely to submit successful applications to the Farm Service Agency. Researchers also evaluated the performance of microfinance institutions in developing countries. The results indicate that performance-based compensation of managers is not associated with better-performing MFIs. There was also evidence that lower wages suggested for mission-driven organizations worsen outreach, while managers experience improves performance. The results provide strong support for independent boards with limited employee participation. In the study region, external governance mechanisms seemed to play a limited role. Objective 3 The members of NC-1014 have a long history of investigating the borrowing and financial behavior of agricultural producers and agribusinesses. Researchers have considered the access and use of agricultural credit important for a healthy rural economy. Thus, understanding the producers use of credit is important when evaluating the success of government sponsored lending programs and the competitiveness of the rural credit market. Researchers have found evidence that gross farm income, risk management strategies, and operator's age and risk aversion had significant influences on the likelihood of farm credit use by rural residence, intermediate, and commercial farms. Researchers also found weak evidence graduates of counseling had lower default hazard, but that their default behavior was more optimal. Overall, credit counseling seems to affect lenders profits, but the net effect should be evaluated both in terms of prepayment and default. Another study considered the types of management approaches in the production of cash-grains. Exploratory factor analysis identified three groups of managers: price negotiation, long-term cost control, and input adjustment. Farm operators using the price-negotiation approach are generally older, well-educated, risk-averse, and fulltime farmers who operate the largest and most specialized farms. Long-term cost control is adopted more typically by younger producers that are risk takers that farm diversified operations. Input adjustment was adopted by either older retiring producers or young producers trying alternative enterprises. Researchers also considered profitability and its variability for agricultural producers. Results indicate that regional profitability of agriculture production can have important policy implications. For example, there is evidence that farms and ranches are more likely to disappear from areas in which agriculture is more important in the local economy. In areas where agriculture is a small-part of the economy there are relatively more abundant opportunities to supplement farm profits with off-farm income and capital gains. Results of another study were also tempered by regional considerations. Researchers found that overall higher government payments would lessen wealth dispersion, though in two of ten regions the opposite was true. Members of the group identified opportunities for financial improvement among producers by eliminating risk in their operations. Specifically, researchers evaluated the usefulness of economic forecasts in decision making and the impact of reducing business risk on the financial-risk bearing capacity of a firm. In another research project researchers found evidence that diversified crop/livestock farms had a diversification discount of 5.8% in comparison with specialized crop or livestock farms from 1999 to 2001. Commodity diversified farms had a diversification discount of 9.4% in comparison with commodity specialized farms. Of interest to the members of NC-1014 is how off-farm income influences on farm behavior and profitability. One study found that producers with more off-farm income were more likely to adopt new technologies such as herbicide-resistant soybeans. Research also found that farms with non-farm business income had higher, non-farm net-worth and higher total household incomes. Many of these types of producers are beginning farmers with less than $100,000 gross farm sales, suggesting that they are successful business owners considering agriculture as an additional enterprise. Objective 4 Of course the value of rural land is of great importance to agriculture given that it is the largest asset on the agricultural balance sheet. As a results, many NC-1014 members spend time considering rural land value, social capital, and rural entrepreneurship. Always of interest is the impact exogenous variables have on the value of rural lands. One research project found that Illinois farmland values decline with parcel size, ruralness, distance to Chicago and large cities, and swine farm density, and increase with soil productivity, population density, and personal income. Another group identified the positive impact that ethanol plants and the rise in housing prices have on rural land values. Members also assessed the value of rural social capital producers. In one study, there was evidence that when inputs were purchased locally and social capital was generated, the distribution of year-end funds has a slightly lower mean and longer left tail. The longer left tail results from additional borrowing arising from credit forbearance. If this forbearance were not available, the firm would be bankrupt. Members of the group identified the impacts capital moving from rural areas to urban areas. In particular, evidence showed that rural growth would benefit from an inflow of capital.

Hennings, E., and A.L. Katchova. Growth Strategies of Farm Businesses: A Quantile Regression Approach. The Journal of American Academy of Business, Cambridge 13(2008):31-37. Katchova, A.L. A Comparison of the Economic Well-Being of Farm and Nonfarm Households. American Journal of Agricultural Economics 90(2008):733-747. Zhao, J., P.J. Barry, and A.L. Katchova. Signaling Credit Risk in Agriculture: Implications for Capital Structure Analysis. Journal of Agricultural and Applied Economics 40(2008), in press. Zhang, Z., L. Lohr, C.L. Escalante, and M.E. Wetzstein. Mitigating Volatile U.S. Gasoline Prices: A Win-Win Fuel Portfolio. American Journal of Agricultural Economics, 90(2008) forthcoming. Escalante, C.L. and R.M. Rejesus. Risk Balancing Decisions under Constant Absolute and Relative Risk Aversion. Review of Business Research 8,1(2008): 50-61. Boumtje, P.I., W. Florkowski, G. Landry, and C.L. Escalante. Determinants of Profitability Under Different Golf Business Ownership Structures: The Case of Golf Courses in Georgia. Southwestern Economic Review 35,1(Spring 2008): 113-129. Rejesus, R. M., B.J. Sherrick, G.D. Schnitkey, and C.L. Escalante. Factors Influencing Producers Perceptions about the Importance of Government Support Programs in Agriculture: Application of a Semi-Parametric Ordered Response Model. Applied Economics, forthcoming. Byrd, M. M., C.L. Escalante (share in senior authorship), E.G. Fonsah, and M.E. Wetzstein. Feasible Fumigant-Herbicide System Alternatives to Methyl Bromide for Bell Pepper Producers. Journal of Agribusiness 25,1 (2007) 31-46. Deng, X., C.L. Escalante (share in senior authorship), P.J. Barry, and Y. Yu. Markov Chain Models for Farm Credit Risk Migration Analysis. Agricultural Finance Review 67,1(Spring 2007): 99-117. Nganje, W., R. Hearne, C. Gustafson, and M. Orth. Farmers Preference for Alternative Crop and Health Insurance Subsidy Review of Agricultural Economics 30:2(Summer 2008):333-51. Friedrichsen, M., W. Nganje, and C. Gustafson. Marginal Impact of Sales Consultant Visits and Financing Opportunties on the Adoption of Variable Rate Fertilizer Application Agricultural Finance Review 67:2(Fall 2007):295-310. Gustafson, C. 2006 Engaging Producers in Risk Management Education, Journal of Extension, 44,2(April 2006):4pgs. Gustafson, C. and W. Nganje. 2006 Value of Social Capital to Mid- Sized Northern Plains Farms Canadian Journal of Agricultural Economics, 54(2006):421-38. Gustafson, C., G. Pederson, and B. Gloy, Credit Assessment Agricultural Finance Review, 65,2(Fall 2005):201-17. Hartarska V. and D. Nadolnyak, (December 2008) An impact Analysis of Microfinance in Bosnia, World Development. Hartarska, V. and Thompson H. (2008) Foreign Investment and Neoclassical Growth: A Look at Central and Eastern Europe in Transition, Applied Econometrics and International Development Vol.8-2 Hartarska, V., and Nadolnyak, D. (2008) Does rating help microfinance institutions raise funds? Cross-country evidence. International Review of Economics and Finance (2008), 17 558571. Chantarat, S ,C. G. Turvey, A. G. Mude and C. B. Barrett (2008) Improving Humanitarian Response To Slow-Onset Disasters Using Famine Indexed Weather Derivatives Agricultural Finance Review 68(1):forthcoming Kong, R and C.G. Turvey (2009) Relationship of Farmers Business Risk and Credit Choices Faced by Chinese Farmers Households: Cases from Shaanxi Province World Economic Policy Forthcoming (in Chinese) Power, GJ and CG Turvey (2008/9) Long-run Resource Prices: A Wavelette Approach Empirical Economics Letters , forthcoming, Power, GJ and CG Turvey (2008) U.S. Rural Land Value Bubbles Applied Economic Letters October Power, GJ and CG Turvey (2008) On the Exit Value of a Forward Contract The Journal of Futures Markets, Vol. 28, No. 8, 118 Power, GJ and CG Turvey (2009) "Long-Run Trends in Natural Resource Prices: Evidence Across Time Horizons". Empirical Economics Letters forthcoming Turvey, C.G and J. Stokes (2008) Market Structure and the Value of Agricultural Contingent Claims Canadian J. Agric Econ. March Turvey, C.G. and M. Norton (2008) An Internet-Based Tool for Weather Risk Management J. Ag and Res. Econ. Spring 2008 Turvey, C.G. and R. Kong (2009) Business and Financial Risks of Small Farm Households in China China Agricultural Economic Review (Spring) Turvey, C.G. (2008) The Pricing, Structure and Function of Weather-Linked Bonds, Mortgages and Operating Credit Agricultural Finance Review 68(1):forthcoming Spring Zhang, W.. R. Kong and C.G.Turvey (2009)  Study on the Trustworthy Mechansim of Rural Microcredit in China Business Research (in Chinese) forthcoming Hyde, J. and B.A. Gloy. "Dynamic Strategic Responses Among Advertisers: the Case of Meat Products." Economics Bulletin, 13:3(2007):1-14. Stokes, J.R. and B.A. Gloy. Mortgage Delinquency Migration: An Application of Maximum Entropy Econometrics. Journal of Real Estate Portfolio Management, 13:2(2007):153-160. Stokes, J.R. and B.A. Gloy. Delinquency and Default on Agricultural Mortgages. Agricultural Finance Review, 67:1(2007):75-85. Henderson, J.R. and B.A. Gloy. The Impact of Ethanol Plants on Cropland Values in the Great Plains. Working Paper 1(2008). 23 pages. Department of Applied Economics and Management, Cornell University. Briggeman, Brian C., Charles A. Towe, and Mitchell J. Morehart, Credit Constraints: Their Existence, Determinants, and Implications for U.S. Farm and Non-Farm Sole-Proprietors, American Journal of Agricultural Economics, 2008, Forthcoming Lusk, Jayson L. and Brian C. Briggeman, Food Values, American Journal of Agricultural Economics, 2008, Forthcoming Briggeman, Brian C. and Philip Kenkel, Customer Segmentation Perceptions of Farm Credit Associations, Agricultural Finance Review, 68(2008): 227-236 Briggeman, Brian C., Allan W. Gray, and Joshua D. Detre, Using Limited Information to Support the Decision to Launch a New Product in the Fruit Juice Market: A Teaching Case Study, Review of Agricultural Economics, 30(2008): 370-378 Dixon, Bruce L., Bruce L. Ahrendsen, O. John Nwoha, Sandra J. Hamm, Diana D. Danforth. FSA Direct Farm Loan Program Graduation Rates and Reasons for Exiting. Journal of Agricultural and Applied Economics 39,3(December 2007):471-487. Posters Hartarska V., Parmeter, C., and Mersland R., Scope economies of lending and collecting savings: evidence from rated MFIs, Selected Poster, special award, Boulder-Bergamo Forum on Access to Financial Services: Expanding the Rural Frontier, Bergamo, Italy, September 18-20, 2008. Hartarska V., Parmeter, C., and Mersland R., Efficiency of financial institutions in developing countries: a semiparametric scope analysis, Selected Poster presented at the Annual Meetings of the American Agricultural Economists Association, Orlando, July 27-29, 2008. Extension Wolfe, K. and C. L. Escalante. Feasibility Study for Crenshaw Fish Farm. Center for Agribusiness and Economic Development, University of Georgia, 2008. Escalante, C.L. Custom Farm Machinery Rates in Georgia, 2008. Department of Agricultural and Applied Economics. AGECON 08-03 (2008). Escalante, C.L. Financial Outlook for Georgia Farms Georgia Farm Outlook and Planning Guide for 2007-2008. Department of Agricultural and Applied Economics. University of Georgia, 2007. Escalante, C.L. Farm Financial Outlook Georgia Economic Outlook. Selig Center for Economic Growth. University of Georgia, 2007. Escalante, C.L. Cash Rents Paid for Georgia Farmland in 2007. Department of Agricultural and Applied Economics. AGECON 07-05 (2007). Escalante, C.L. Georgia Farmland Values in 2007. Department of Agricultural and Applied Economics. AGECON 07-06 (2007). Escalante, C.L. The Drought Status Report. in The Georgia Economic Issues Newsletter, C. L. Escalante, ed., 24,1 (September 2008): 1. Escalante, C.L. Fuel Price Alerts. in The Georgia Economic Issues Newsletter, C. L. Escalante, ed., 24,1 (September 2008): 2. Escalante, C.L. Georgia Farms and the Drought of 2007. in The Georgia Economic Issues Newsletter, C. L. Escalante, ed., 23,1 (December 2007): 1. Gloy, B.A. Creating Renewable Energy from Livestock Waste: Overcoming Barriers to Adoption. Extension Bulletin 2 (2008). 17 pages. Department of Applied Economics and Management, Cornell University. Enahoro, D.K. and B.A. Gloy. Economic Analysis of Anaerobic Digestion Systems and the Financial Incentives provided by the New York State Renewable Portfolio Standard (RPS) Customer-Sited Tier (CST) Anaerobic Digester Gas (ADG)-to-Electricity Program. Extension Bulletin 4 (2008). 23 pages. Department of Applied Economics and Management, Cornell University. Gloy, B.A. Inputs for Biogas Economic Assessment. Extension Bulletin 3 (2008). 10 pages. Department of Applied Economics and Management, Cornell University. Briggeman, Brian C. and Jayson L. Lusk, Should the Supply Chain Play Fair?  Part Two, AgriMarketing, April 2008. Briggeman, Brian C. and Jayson L. Lusk, Should the Supply Chain Play Fair?  Part One, AgriMarketing, March 2008. Briggeman, Brian C., Shida Henneberry, and F. Bailey Norwood, Personal Interview Matters Most, Feedstuffs, December 31, 2007, page 17 Klinefelter, Danny and Brian C. Briggeman, Grain Prices, Lending Woes, Complicate Ag Production, The Farmer-Stockman, January 2008, page 16. Griffin, Terry, Bruce Ahrendsen, Brad Watkins, and Jeffrey Hignight. "Trends in Arkansas Farmland Values: The 2008 Update. Farm Management and Marketing Newsletter. University of Arkansas, Division of Agriculture. 16,3(September 2008):5-7. www.aragriculture.org/News/farmmgmt/2008/September2008.pdf Dixon, Bruce L., and Bruce L. Ahrendsen. "Is Another Agricultural Financial Crisis Looming?  Farm Management and Marketing Newsletter. University of Arkansas, Division of Agriculture. 16,2(June 2008):2-4. Dixon, Bruce L., Bruce L. Ahrendsen, and Monica A. Foianini. "Macroeconomic Impacts on Agriculture. Farm Management and Marketing Newsletter. University of Arkansas, Division of Agriculture. 16,1(March 2008):3-6. Conference Papers and Abstracts Escalante, C.L. and C. Neely. Settling where the jobs are, thriving where the grass grows. Journal of Agricultural and Applied Economics (Proceedings Issue for the 2008 SAEA Annual Meeting) 40,2(August 2008): 738. Ziehl, A., C. Dunn, C.L. Escalante, C. Lacy, D. Franklin, and J. Gaskin. Analyzing the Costs of Improving Water Quality on Farms in the Southeastern Piedmont Region of Georgia. Journal of Agricultural and Applied Economics (Proceedings Issue for the 2008 SAEA Annual Meeting) 40,2(August 2008): 740. Plattner, K., E.G. Fonsah, C.L. Escalante, G. Krewer, P.C. Anderson, O. Liburd, and M. Tertuliano. Plan for Economic Evaluation of Organic Blueberry Production in Georgia. Journal of Agricultural and Applied Economics (Proceedings Issue for the 2008 SAEA Annual Meeting) 40,2(August 2008): 733. Escalante, C.L., J.E. Epperson and U. Raghunathan. Is There Gender Bias in U.S. Federal Farm Lending Decisions? Proceedings of the International Conference on Business and Information, Seoul, South Korea. July 2008. Koenig, Steven and Charles Dodson. The Pricing of Federally Guaranteed Agricultural Loans: What Does it Indicate About Market Competition? Selected paper presented at the Agricultural Economics Association Annual meeting, Orlando, FL, July 27-29, 2008 29 pp. Goel, A.B., et al, Economic Feasibility of Supplementing Corn Ethanol Feedstock With Fractionated Dry Peas: A Risk Perspective Transition to a Bioeconomy: Risk, Infrastructure & Industry Evolution, Farm Foundation, Berkely, CA, June 24, 2008, 19pgs. http://www.farmfoundation.org/news/articlefiles/365-Goel.pdf Gustafson, C. Financing Growth of Cellulosic Ethanol Transition to a Bioeconomy: Environmental and Rural Development Impacts, Farm Foundation, St. Louis, MO Oct 15-16, 2008. forthcoming Gustafson, C. How the Wall Street Meltdown Affects Crop Insurance Crop Insurance Today, National Crop Insurance Today, November 2008., forthcoming Gustafson, C., W. Wilson, and B. Dahl. Malt Barley Risk Management Strategies Western Economics Forum, 5,2(Fall 2006):9-14. Elliot V., V. Hartarska, C. Bailey, 2007 Economic Growth and Resource Allocation in Alabama: Is there a Dutch Disease, proceedings from the PAWC Annual Meeting, Dec. 4-6, 2006. Caudill, S, Gropper D, and Hartarska V., (forthcoming) Which Microfinance Institutions Are Becoming More Cost-Effective With Time? Evidence from a Mixture Model, paper to be presented at the Annual Meetings of the Southern Finance Association, Key West, Fl November 20-22, 2008. Hartarska V., Parmeter, C., and Mersland R., Economies of scope in microfinance, paper presented at the annual meetings of the NC1014-Agricultural Financial Markets in Transition, Kansas City, Kansas September 25-26, 2008. Hartarska V., and R. Mersland, What governance mechanisms promote efficiency in reaching poor clients? Evidence from leading MFIs paper presented at the First International Workshop on Microfinance Management and Governance, Kristiansand, Norway 2-3 June, 2008. Mai C., Hartarska, V, Financing Constraints and the Family Farm: How do Families React? Selected Paper Presented at the Annual Meetings of the Southern Agricultural Economics Association, Houston, February 4-6, 2008. Elliott II V., V Hartarska, and C. Bailey, Natural Resources Endowment and Economic Growth in the Southeastern United States, Selected Paper Presented at the Annual Meetings of the Southern Agricultural Economics Association, Houston, February 4-6, 2008. Ahrendsen, Bruce L. What Does It Take to Make a Living on Cotton: The Last 50 Years. Invited presentation at the 50th Anniversary of the Northeast Research and Extension Center, Keiser, AR, 2007. Chavez, Eddie C., E.J. Wailes, B.L. Ahrendsen, and B.L. Dixon. 2008. Financial Characteristics of Rice Farms Relative to Other Selected Crop Farms, U.S., 2005. Abstract in Proceedings of the 32nd Rice Technical Working Group Meeting, San Diego, California, Presented February 18-21, 2008. Forthcoming. Grants Received Escalante, Caesar. Foreign Travel Grant (Seoul, Korea), $1,596.81. University of Georgia Research Foundation, April 2007. Escalante, Caesar. Labor Input Substitution Decisions and Business Sustainability Strategies under Changing Farm Labor Market Conditions: Comparative Economic Viability Analyses of Organic and Conventional Farming Systems. $120,000. Principal Investigator, Southern Sustainable Agriculture Research and Education (SARE). Escalante, Caesar. United States Department of Agriculture (USDA). Assessing Georgia Agriculture Through Applying USDAs Agricultural Resource Management Survey (ARMS) Datasets $25,000, 2007-2009. Gustafson, Cole. USDA. Ethanol, Corn and Gasoline Price Volatility. $20,000. 2007-2008. Gustafson, Cole. Incremental SARE funds for Graduate Assistantship funding from project Profitable Alternatives to Improve Water Quality from High Nutrient Status Farms $12,200. 2007-2008 Gustafson, Cole. Canola-based Epoxy Resins for Bio-based Plastic Composites National Canola Research Program, $81,450, Co-PI, 33%. Gustafson, Cole. Synergy of Using Peas as Ethanol Feedstock APUC, $42,420, Co- PI, 33%. Gustafson, Cole. Malt Barley Risk Management Education, Billings Region USDA/RMA, $10,000, PI, 100% Gustafson, Cole. Williston Corn Feasibility Study, Williston Econ. Dev. Part., $5,650, PI, 100% Hartarska, V (Principal Investigator) and Wilbert Golden, Healthier Finances for Healthier Lifestyles Agricultural Initiative Grant Proposal, Alabama Agricultural Experimental Station, duration October 2007-September, 2008, $61,700. Developing an Internet Agricultural Bank Simulation Game, funded through USDA/CSREES/HEC, for $62,498. Project PI: Brian C. Briggeman and Co-PIs: Notie Lansford, Damona Doye, and Joshua D. Detre, 2008. Consumer Preferences for Fairness and Distribution of Outcomes across the Agricultural Supply Chain and within the Farm Sector, funded through USDA/CSREES/NRI, for $205,379. Project PI: Jayson L. Lusk and Co-PI: Brian C. Briggeman, 2007. Pilot Project to Study a Data Enclave for ARMS, funded through USDA/ERS Cooperative Agreement, for $15,000. Project PI: Brian C. Briggeman, 2007. Farm Household Decision-Making Behavior, funded through USDA/ERS Cooperative Agreement, for $10,000. Project PI: Brian C. Briggeman, 2007.