Purdue Agricultural Economics Report

The Purdue Agricultural Economics Report (PAER) exists to serve and further the core mission of the department to engage with real world problems that are of value to stakeholders. The scholarship communicated in this publication will represent the department’s excellence in creative endeavor for new knowledge and its dissemination in the economics of agriculture and natural resources.

Recent Publication:

2020-10 PAER gets new look and renewed focus for 2020

October 7, 2020

Welcome to the new Purdue Agricultural Economics Report (PAER)! Since 1920, the Department of Agricultural Economics at Purdue University has been working to acquire and transmit new economic knowledge to the citizens of Indiana, the nation, and the world. PAER has long been an important component in our efforts to provide value information on today’s real world problems to our diverse stakeholders. The report series carries the legacy that began in 1929, when the department published its large-scale Farm Outlook report. In the more than 90 years that followed that landmark publication, economic challenges have come and gone (and in some cases have come back again). As a result, the information needs of those who turn to PAER for expert advice have also changed.

PAER’s new publication format was designed to reflect these changing needs. We still plan to provide regular updates on the topics that are important to stakeholders, but we hope our readers will benefit from many of the new features of PAER. In the new format, articles will be posted individually which will allow us to provide more timely information as it become available. Users will be able to browse articles by topic or keyword and easily share articles through social media. We have to admit that the new PAER website is still a bit of a “work in progress.” We’re currently in the process of converting previous issues to the new publication format, and we look forward to launching additional content in support of PAER articles, such as video presentations and podcast discussions.

Our first digital issue demonstrates the breadth and depth of expertise of the Department of Agricultural Economics. First, a research team led by Farm Management Specialist Renee Wiatt and Professor Maria Marshall discuss their recent findings on small business management following a natural disaster. They discuss the challenges of intermingling financial decisions between the household and family business. Second, Professor Larry DeBoer and Extension Educator Tamara Ogle outline upcoming farmland property tax declines across Indiana. Third, Professor Todd Kuethe summarizes his recent research on the downward bias in USDA’s aggregate farm income forecasts. Fourth, Professor Jayson Lusk explains the impact of COVID19 on hog and pork prices. Fifth, Professor Brady Brewer summarizes key findings of a survey on agribusiness’ use of data conducted by the Department’s Center for Food and Agricultural Business (CAB). Sixth, Professors Carson Reeling, Nicole Olynk-Widmar, and Jason Lusk, along with former graduate student Aaron Staples, discuss their research in the market for beer produced using sustainable practices.

The final article in this issue was written by Professor, and former Department Head, Ken Foster. Dr. Foster provides a tribute to recently retired Professor Chris Hurt who previously served as PAER Editor. Dr. Hurt was a strong advocate for and champion of PAER, and we join Dr. Foster in thanking him for his many years of leadership and service.

Before we go, we would be remiss to not also thank our web development team Sarah Zahn and Kami Goodwin for their outstanding work in developing the new PAER website. We also wish to the thank Jayson Lusk, our department chair, who served as the PAER editor for several recent issues and Linda Klotz who served as an administrative assistant and editor of the PAER alongside Chris Hurt.

VIEW THE FULL REPORT >>

Articles:

Publication Date: October 2020
Article ID: PAER-2020-11

Authors: Renee Wiatt, Family Business Management Specialist; Yoon Lee, Professor, Utah State University; Maria Marshall, Jim and Lois Ackerman Endowed Professor in Agricultural Economics, Director of Purdue Institute for Family Business; and Virginia S. Zuiker, Associate Professor, University of Minnesota

Summary: Small and family businesses will continually face disasters and disruptions such as the COVID-19 pandemic and hurricanes, hence disrupting the flow of resources between the family and the business. Therefore, it is important for these small and family businesses to understand how cash flow issues and financial intermingling can affect recovery, specifically long-term resilience.
Publication Date: October 2020
Article ID: PAER-2020-12

Authors: Larry DeBoer, Professor and Tamara Ogle, Purdue Extension Community Development Regional Educator

Summary: The assessed value of farmland will decrease in 2021, and property tax bills for most farmland owners should fall too. We project farmland assessments to decline a little over the next few years, but tax bill changes depend on the effect of the recession on the values of residential, commercial and industrial property.
Publication Date: October 2020
Article ID: PAER-2020-13

Author: Todd H. Kuethe, Associate Professor, Schrader Endowed Chair in Farmland Economics

Summary: USDA’s farm income forecasts are downward bias due to high costs of over-prediction.
Publication Date: October 2020
Article ID: PAER-2020-14

Author: Jayson L. Lusk, Distinguished Professor and Department Head of Agricultural Economics

Summary: The pork industry experienced unprecedented disruptions, including the temporary closure of two major Indiana pork packing plants, during the outbreak of COVID19 that are still being felt into the fall of 2020. Farm-level hog prices have improved but the industry is still resolving the backlog of hogs on the farm.
Publication Date: October 2020
Article ID: PAER-2020-15

Author: Brady Brewer, Assistant Professor

Summary: Summary of data usage and data analytics in the agricultural value chain.
Publication Date: October 2020
Article ID: PAER-2020-16

Authors: Aaron J. Staples, ; Carson Reeling, Assistant Professor; Nicole Olynk-Widmar, Professor, Associate Department Head, and Graduate Program Chair; Jayson L. Lusk, Distinguished Professor and Department Head of Agricultural Economics

Summary: Brewing beer is an environmentally intensive process, and technology to reduce a brewer's footprint can be costly. However, we find 75% of beer drinkers are willing to pay a premium for sustainably brewed beer and incorporating eco-labels or environmental graphics onto beer labels could serve as a low-cost way for brewers to communicate a commitment to sustainability.
Publication Date: October 2020
Article ID: PAER-2020-17

Author: Ken Foster, Professor

Summary: Dr. Ken Foster reflects on the career of Dr. Chris Hurt, retired professor of agricultural economics and former editor of the Purdue Agricultural Economics Report.

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The Purdue Agricultural Economics Report is a quarterly publication written by faculty and staff from the Department Agricultural Economics at Purdue University.

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