The broiler operations in the United States, which are concentrated in the southeast and south central regions are unevenly distributed within those states. The major concern for Louisiana¡¯s broiler industry is that even though its production is increasing every year it is relatively low compared to many other southeastern states. This study analyzes the relative importance of factors that affect location decision of a broiler complex. A national survey of broiler industry executives is conducted to analyze site-specific factors related to the broiler-complex location problem. Conjoint analysis is used to measure the relative importance of each attribute in the location decision. Three different conjoint models are constructed based on factors related to broiler growing, feed mill, and broiler processing enterprise. A bridged experimental design is used to link the three models. Distance between feed mill and growers, cost of feed ingredients, and community attitude toward the broiler industry are found to be the most important factors influencing the location decision of broiler growing, feed mill, and broiler processing respectively. Results from bridging design indicate that cost of feed ingredients is the most important attribute affecting the location of a broiler complex. As cost of feed ingredients was found to be the most critical factor in the location decision of their broiler complex, this study concludes that Louisiana should analyze the factors that can lower the costs of importing feed and / or analyze other important factors affecting the broiler complex location decision such as growers concentration, community attitude toward the broiler industry, and labor costs. A future research can be directed toward analyzing the cost differentials in the southern region and also identifying the factors that affect community¡¯s attitude toward the broiler industry.

The flow of nursery products through the different market channels has changed over the past decade. As mass-merchandisers market share increased, buyers of nursery product imposed conditions on nursery growers in terms of their business practices as well as the presentation of the product itself. This study analyzed changes in contractual terms between buyer and sellers for two market channels; mass-merchandisers and garden centers. The items evaluated were that product information tags be applied, barcode stickers be applied, special containers be used, transportation to retailer be paid by the seller, returnable shipping equipment be supplied by the grower, on-time delivery be guaranteed by the grower, unsold merchandise be taken back by the grower, some minimum volume be supplied by the grower, and continuous inventory replenishment be used. Data were collected via mail using the Ornamental Horticulture Producer Survey, and non-respondents were contacted by telephone or additional mailings of the questionnaire. The resulting data were compiled and tabulated for the statistical analysis. A McNemars test was conducted to evaluate whether proportions of items required by the buyer to be included in the terms of a contract had changed from 1996 to 2001 within the two market channels. A model was designed for each of the aforementioned nine items to determine which business characteristics of the grower were associated with him/her accepting the terms imposed by the buyer, by market channel. Analysis of the dataset indicated that, over the time period of the study, more items were included in the terms of contract in 2001 than in 1996. New practices in the nursery industry appear to be led by mass-merchandisers, while the garden center channel follow suit. The level of technology, specifically Internet use, was found to be closely related to the inclusion or exclusion of items in the terms of contracting.

This thesis used a mail survey to collect data on homeowners' preferences and perceptions regarding termite prevention and control in four metropolitan areas of Louisiana (Monroe, Alexandria, Baton Rouge, and New Orleans). Respondents were asked to rank four different alternatives differing in cost, treatment choice, and number of inspections on termite control options. These ordered preference data were then analyzed using a contingent ranking method to determine the homeowner's choice for termite control. It was found that more than three-fourths (77%) of homeowners preferred to control termites and were willing to pay for it. In addition to contingent ranking, willingness to pay (WTP) value was elicited to examine homeowners' real and hypothetical willingness to pay for termite control. Real willingness to pay for termite control was calculated based on the house size and the respondent's current termite control contract. A hypothetical willingness to pay question was asked immediately after respondents were asked to rank the four alternative termite control options. The first question asked a dichotomous choice to respondents regarding whether they were willing to pay $0.56 for termite control. In the second stage, they were asked to state the WTP amount in an open format. The estimated average annual hypothetical and real willingness to pay for a homeowner were 32 cents and 16 cents per square foot of home living space, respectively, indicating that there was a significant level of hypothetical bias in the elicitation process. Length of home ownership, living space, market value of home, attitude about whether or not respondents consider termites to be an existing problem in their neighborhoods, income, ethnicity, and gender were significant variables in determining respondents' willingness to pay for termite control. The differences between hypothetical and real willingness to pay were attributed to length of home ownership, living space, attitude about whether or not respondents consider termites to be an existing problem in their neighborhoods, and income.

Agriculture has been identified as one of the major sources of nonpoint water pollution due to discharges running off farmland. This study assessed the current adoption of Best Management Practices (BMPs) in the Louisiana sugarcane industry and provided policy recommendations based on the empirical results. Fifteen BMPs recommended by Louisiana State University Agricultural Center were examined in three categories: Soil Erosion and Sediment Control, Nutrient Management, and Pesticide Management. Based on neoclassical economic principles of individuals utility maximization, this study evaluated seven multivariate probit models using primary data collected from a mail survey of Louisianas sugarcane producers. The results indicated that remarkable progress has been achieved in BMPs promotion since 1999. The primary factors that significantly impacted BMP adoption were: awareness of the Master Farmer Program for sugarcane, farm size, ownership, and farmers risk attitude. It is recommended that educational programs provided by LSU AgCenter continue to play a vital role in promoting sugarcane BMPs .

Aquaculture industries in the U.S. generate $1 billion in farm-level sales. Genetic improvement of fish stocks may be a way to increase the market share of aquaculture within the U.S. seafood market as well as the market share within the world market. This study evaluates the preferences, beliefs, and opinions of aquaculture producers across the U.S. about topics such as cryopreservation, genetic improvement, and the future of the aquaculture industry. Willingness-to-pay values for specific genetic improvements by aquaculture grow-out producers were elicited. A national survey of aquaculture producers was used to elicit the information used in the analysis. The survey included sections for hatchery producers, foodfish grow-out producers, and demographic information. Hatchery producers were asked questions relating to their production methods and costs as well as their opinions and knowledge about cryopreservation and its benefits. Producer opinions of cryopreservation services were analyzed using an ordered probit model. Choice-based conjoint analysis was used to elicit relative importance and willingness-to-pay estimates for specific genetic attributes from foodfish grow-out producers. The attributes were growth rate, disease resistance, and resistance to 10% lower dissolved oxygen levels. The choice-based responses were analyzed using a conditional logit model. Contingent valuation questions were also asked to grow-out producers so that willingness-to-pay estimates for supply reliability and genetic uniformity could be calculated. The contingent valuation responses were analyzed using a double-hurdle model. Results showed that the hybrid striped bass hatchery producers were the most interested in cryopreservation services. Growth rate proved to be the most important genetic attribute available to foodfish grow-out producers. Producers were willing to pay a 22% price premium to acquire a fish stock with a 20% improved growth rate. Trout producers were willing to pay the most for supply reliability. Overall, producers were willing to pay an 18% premium to improve the genetic uniformity and increase the reliability of supply. This research shows an interest in the genetic improvement of aquaculture foodfish stocks as well as an interest by hatcheries for cryopreservation services. More research is needed to determine the specific costs hatcheries would need to bear to incorporate cryopreservation services.

The general purpose of this study was to conduct a spatial analysis of the dynamics of rural land values in Louisiana. Specifically, spatial econometric procedures and hedonic price analysis were used to evaluate the impact of land characteristics on land prices across rural land markets in Louisiana. Initially, hedonic models were estimated by ordinary least squares (OLS) procedures to test for the presence of spatial autocorrelation using Lagrange Multiplier tests. Results suggested that there was spatial autocorrelation in the error terms. Hedonic models were then estimated using maximum likelihood (ML) spatial error techniques. Log likelihood numbers and likelihood ratio tests where used to compare OLS and ML model estimation, and the ML was better for these data. Information for this study includes sales that were collected for the time period January 1, 1993 through June 30, 1998, and data collected as a part of this study for the period July 1, 1998 through June 30, 2002. Data on 3,542 Louisiana rural land sales were collected during the two periods using mail survey techniques. Geo-reference of these sales indicated that sales were evenly dispersed throughout the state. Results from the data indicate that there is a substantial variation in rural real estate prices across the state. Results from hedonic model estimation showed that cropland, pastureland, government program cotton base acreage, month of sale, value of improvements, paved road access, reasons for purchase residential, commercial and investment; residential, commercial, and highway influences; statistical metropolitan areas, and inverse of travel time had statistically significant positive influences on per acre land values. Meanwhile, size of tract, distance to nearest town, travel time to nearest town, flood influence, and reasons for purchase farm expansion and recreational had a statistically significant inverse relationship with per acre rural land values. Marginal implicit prices were estimated using the results from models estimated by OLS and ML spatial procedures. Results indicated that, in several instances, marginal implicit prices were overestimated or underestimated when using results from OLS estimation. In general, spatial econometric techniques can be used to improve the accuracy of rural land value estimates.

This paper provides case studies on the structure of six strategic alliances in the beef industry. Strategic alliances are identified whose structure could conceivably be used in Louisiana. Strategic alliances are compared and contrasted on the basis of development and performance. The main objective of this study was to determine the organization and operation of six strategic alliances in the beef industry. The study examines strategic alliances in the U.S. beef industry using multiple exploratory case studies. The exploratory type, allows the researcher to better understand critical points in the beef industry and how the use of strategic alliances can lead to better performance. The alliances are chosen within four different categories of strategic alliances in the beef industry; in this case, six alliances are chosen as commercial beef carcass type. As a research technique, the exploratory case study attempts to answer "what" questions, and provides the researcher an opportunity to develop hypotheses. Five hypotheses are formulated in the study. Based on the hypotheses, personal interviews take place with the application of a questionnaire that contains fifty-seven open-ended type questions on production, economic and general characteristics about the alliances. The information gathered will support or refute the hypotheses formulated in order to establish precise criteria on strategic alliance formation. A comparison between the six strategic alliance structures will be describe based on the hypotheses formulated and information collected throughout the application of the questionnaire. The hypothesis test revealed that strategic alliances serve, with no doubt, to reduce transaction cost along the production chain but it is not the case for the issue of price variability. As well, strategic alliances serve to increase the flow of information and to provide alternative market outlets but do not serve to increase producers' access to capital.

This study of the Caribbean Sugar Industry summarizes its sugar trading activities and evaluates the potential impact of changes in preferential trading arrangements with the European Union (EU) on the six countries that makes up the Sugar Association of the Caribbean, namely: Jamaica, Barbados, Belize, Guyana, St. Kitts-Nevis, and Trinidad & Tobago. The trading policies that govern sugar trade between these countries and developed countries such as the EU, the United States of America (US) and to a limited extent trade among them is discussed. The report briefly describes how the Caribbean sugar industry is organized, including supply and demand determinants, marketing of its sugar via the EU Sugar Protocol, and the US tariff rate quota system, and safeguards within the Caribbean Common Market (Caricom) from extra-regional sugar producers. The study then analyses the impact of price changes based on different price scenarios that may occur after preferential prices disappear. Data and estimated model specifications are described, elasticities of dependent variables responses to independent variables changes are calculated, and these results, in addition to different price simulations are presented. The analysis shows that modest decreases in prices to Caribbean sugar producers would not result in huge changes in the structure of the Caribbean sugar industry since responses of production, consumption, imports and exports are inelastic to prices changes in the short-run. This could be due of asset fixity within the industry. This industry requires huge capital investments, thus, after these investments are made producer are forced to operate at full capacity to minimize fix costs. Secondly, the industry within this region is a mass employer of labor and a huge contributor to their country's Gross Domestic Product (GDP), therefore, any major changes with this industry could result in massive social instability.

Crop insurance has received a great deal of attention over the past several years. The main interest and focus of analysis on crop insurance has been to evaluate its use and performance as a risk management tool for agricultural producers. Several different types of crop insurance policies are currently available, ranging from minimal yield coverage to revenue coverage. Cost of production crop insurance has been proposed recently as a low cost, safety net type of insurance policy for agricultural producers. This study evaluated the performance of cost of production crop insurance for cotton and rice producers in Louisiana. Crop income and production expenses were simulated on a per acre basis for representative cotton and rice production situations in Louisiana. Cotton yields and production costs for Franklin and Tensas Parishes in Northeast Louisiana and rice yields and production costs for Acadia and Vermilion Parishes in Southwest Louisiana were used to model per acre income and expenses under various insurance coverage levels. Gross income, production expenses, and net income were simulated over a five-year period. Crop yields and market prices were stochastically simulated for 1,000 replications. Results were evaluated by comparing mean net present value of net returns, the percent of time net returns were negative, and the percent of time cost of production crop insurance generates an indemnity payment. General conclusions of the study were that cost of production crop insurance is a low cost, safety net type of insurance which can help support farm income during times of extremely low prices or yields. Farms with below average yields tended to benefit more from the program because of lower average net returns. One of the practical challenges for this type of insurance program would involve the collection of yield and production cost data necessary to operate it at the individual farm level.

This thesis examines the use of Precision Agriculture technologies to define Management Zones within a multicrop production system. It further evaluates the economic feasibility of implementing spatially variable insecticide applications against conventional blanket treatments with respect to insect pest management in cotton production. The use of geographical information systems was critical in the development of the different yield maps established to determine the level of consistency of management zones across crops over time. Several important concepts, such as data normalization, yield grid maps, inverse distance weighted and stability, were introduced throughout this research to: set the scale of measures to the same basis, facilitate comparison across crops, manipulate the data, and establish a level of confidence, respectively, concerning the use of management zones in crop production. Furthermore, the basic notion behind this study was that if fields can be divided into high/low yielding management zones, the use of variable rate technology, through an ON/OFF prescription application, offers the potential to reduce costs and increase productivity of the field. The capital recovery method was used to evaluate the per acre cost of investing in a precision farming system for gathering site-specific information and performing SVI applications. Results from this study show that the use of yield-based management zones can reveal annual cost reductions and increased profitability for the producer.