Assignment #6: Abstracts Johanny As part of the German bioeconomy strategy and in pursuit of sustainable and diversified energy supply, biogas has been supported with the Renewable Energy Source Act (EEG, in German) of 2014. The purpose of this study was to estimate the potential environmental impacts of this policy in Germany until 2030. The European Simulation Model (ESIM), a global partial equilibrium model of the agricultural sector was utilized. Results indicate that this regulation improves sustainability of the biogas sector compared to the previous ones, by prompting a large substitution of energy crops with manure and biowaste as main substrates for biogas production. Biogas is supported with the Renewable Energy Source Act (EEG, in German) of 2014 as part of the German bioeconomy strategy and in pursuit of a sustainable and diversified energy supply. The purpose of this study is to project the environmental impacts of this policy compared to the previous regulation until 2030. The European Simulation Model (ESIM), a global partial equilibrium model of the agricultural sector, is used. Results indicate that this regulation improves sustainability of the biogas sectorby prompting a large substitution of energy crops with manure and biowaste as main substrates for biogas production. Xiaoxi Most land use models treat technological change exogenously due to data deficiencies. This may lead to biases for estimating the adaptability of the agricultural sector, especially in the long run. To simulate endogenous technological change, a global dynamic agro-economic optimization model links R&D investments to yield increase based on estimates of the current yield augmentation index. Productivity is measured as both partial and total factor productivity. The interplay between technological change and land expansion under Shared Socioeconomic Pathways indicates different trajectories of productivity growth even within similar social-economic conditions and exerts different impacts on deforestation paces and food security levels. Land use models treating technological change exogenously may underestimate the adaptability of the agricultural sector, especially in the long run. To simulate endogenous technological change, a global dynamic agro-economic optimization model links R&D investments to yield increases. The interplay between technological change and land expansion under Shared Socioeconomic Pathways generally shows that deforestation decreases and food security level increase with increasing productivity. Laura Technology transfer in the bioeconomy comes into sharp focus to exploit its strong innovation potential and to make its way to market oriented applications. Therefore, the purpose of this paper is to identify the most important criteria for observing technology transfer effectiveness in the bioeconomy. In doing so, we adapt the Contingent Effectiveness Model of Technology Transfer developed by Bozeman (2000) to the characteristics of the bioeconomy. This conceptual framework is supported by expert interviews and case studies. Our findings suggest that the opportunity costs and the scientific human capital criteria are the most important determinants for observing technology transfer in the emerging bioeconomy. In the bioeconomy, technology transfer from academia to industry may exploit the strong innovation potential. The purpose of this paper is to identify the most important criteria for effective technology transfer in the bioeconomy. We adapt the Contingent Effectiveness Model of technology transfer developed by Bozeman (2000) to the characteristics of the bioeconomy. This adaptation is supported by expert interviews and case studies. Our findings suggest that opportunity cost of the investment and the scientific human capital are the most important determinants for observing successful technology transfer. Elsa Michoacán, a Mexican state with a great variety of ecosystems, has had the highest deforestation rates in the country in the last decades. The government introduced in 2003 a scheme of payments for environmental services to enhance reforestation; however, up to now there was no empirical evidence on its additionality. Based on panel data regressions and propensity score matching, this study analyzes the overall effect that these payments have had in that state until 2010. Our results suggest a lack of additional forest area because of spillover effects to non-contracted areas, such as decreased reforestation efforts and deforestation leakage. The Mexican government introduced a scheme of payments for environmental services to enhance reforestation in 2003. Up to now empirical evidence on its impact is weak. This study analyzes the overall effect of these payments in the state Michoacán until 2010 using panel regressions and propensity score matching techniques. Results suggest a lack of additional forest area because of spillover effects to non-contracted areas implying reforestation efforts and deforestation leakage. Olivier Many studies have focused on consumers‘ risk perception of products made from genetically modified (GM) crops. However, there is a lack of research on differences between products including gene technology. To bridge the gap, this study focuses on the differences in risk perception between GM food and non-food products. Structural equation modeling is used to analyze stated preferences of 440 German consumers. While general risk perception is higher for GM food, the effect size depends on the risk dimension. Health risks are most important, followed by environmental risks. Interestingly, risk perception is higher for non-food products in the socio-economic dimension. There is a lack of research on how different types of products made from genetically modified (GM) crops affect consumer’s risk perception. This study focuses on the differences between GM food and non-food products. Structural equation modeling allows analyzing stated preferences of 440 German consumers. General risk perception is higher for GM food which may also be explained by different risk dimensions. Health risks are most important followed by environmental risks. Interestingly, risk perception is higher for non-food products in the socio-economic dimension. Carolin The state-of-the-art on acceptance studies of novel food technologies has clearly demonstrated an imbalance of the selected target group, focusing generally solely on consumers. Nevertheless, the success of new food technologies depends on the acceptance and adoption of all stakeholders in the food supply chain. This paper reviews previous research into acceptance behavior of several food supply actors (consumer, processor, farmer), extracts key learnings from this literature and integrates them into a new conceptual framework. The latter promises to improve the identification of critical factors for success and failure of new food technologies by looking along the supply chain. Previous studies on the acceptance of novel food technologies generally focus on consumers despite evidence that the success of these technologies depends on acceptance and adoption by all stakeholders in the food supply chain. This paper reviews previous research on acceptance behavior of food supply chain actors (consumers, processors, farmers), extracts key findings and integrates them into a new conceptual framework. The latter promises to improve the identification of critical factors for success and failure of new food technologies along the supply chain. Xinyue The efficiency of market is an important subject of research on agricultural land market. However, the literature on spatial integration, as one approach to consider the market efficiency, of agricultural land market is thin. Therefore, this research investigated spatial integration of Germany land markets between 1990 and 2014 in order to find how the gap between land price in West and East Germany evolves over time. By using panel data unit root tests on adjusted average county-level land sale price, it found that land price formation in West and East Germany converges over time due to increasing spatial integration. Agricultural land market efficiency is an important subject of research. Spatial integration of land markets as one aspect of market efficiency is, however, rarely considered. Therefore, this study investigates spatial integration of German land markets between 1990 and 2014 controlling for price determinants. Panel unit root tests on county-level land prices show that land price formation in West and East Germany converges due to increasing spatial integration over time. Iroda Following the researches re-discovering the potentials of farmers’ participation in efficient irrigation management few initial successful replications were spotted across the world. However later such reproduction turned into rarity. The global experience evidences that the rules of wateruse are usually voluntarily observed and are not enforceable. This paper by employing evolutionary game theory attempted to understand the circumstances in which the individual farmer voluntarily commits himself to such institution. It was found that adaptive behavior of farmers may lead to cooperative use of water that represents the socially optimal solution to a dynamic coordination game, though is not stable one. Current evidence suggests that the success of self-governed irrigation schemes depends on the voluntary acceptance of rules for water use. This paper attempts to understand the circumstances under which the individual farmer voluntarily commits himself to such an institution. Using evolutionary game theory, we find that adaptive behavior of farmers may lead to cooperative use of water representing the socially optimal solution to a dynamic coordination game. However, this solution is not a stable one. (Remaining problem: key message does not fit to objective. Objective: “understand circumstances” and key message: “socially optimal, but not stable solution”) Fabio Rural development is an extremely complicated issue to be tackled. However, the theoretical framework “heritages of the peasantry” offers a broad set of indicators to analyse it. This paper shows the results of the quantification of rural development indicators in six Colombian rural territories and examines them according to this theoretical framework. The most critical indicators for defining rural development level in Colombia are infrastructure, pluriactivity and access to markets. Based on these findings, public policies for overcoming these matters should be the priority of rural development strategies. Nevertheless, to success these policies must take into consideration many stakeholders involved. The theoretical framework “heritages of the peasantry” and it suggested operationalization potentially offers improvement over previous approaches to analyse rural development. This paper is the first application of the concept quantifying rural development indicators in six Colombian rural territories. The most critical indicators for defining rural development in this context are identified as infrastructure, pluriactivity and access to markets. Based on these findings, public policies for overcoming these matters should be the priority of rural development strategies. Sukhada The Nutrition and Health Claims Regulation (EC) 1924/2006 (NHCR) aims to promote food innovation in Europe by means of pre-market approval system and scientific substantiation of nutrition and health claims. This paper analyses the impact of NHCR on innovation in the European food industry, based on an online survey of 105 food companies. Descriptive statistics and Partial Least Square Structural Equation Modeling (PLS-SEM) are used to study compliance challenges and the impact of NHCR on product, process innovation and the degree of innovation. Results indicate that the NHCR currently has a negative impact on innovation, despite its opposing claim. One of the objectives of the Nutrition and Health Claims Regulation (EC) 1924/2006 (NHCR) is to promote food innovation in Europe. It introduces scientific substantiation of nutrition and health claims as the basis for premarket approval. This paper analyses the achievement of the objective based on an online survey of 105 food companies. Descriptive statistics and Structural Equation Modeling are used to study compliance challenges and the impact of NHCR on type and degree of innovation. Results indicate that the NHCR currently has a negative impact on innovation, despite its claim of the opposite. Jovanka In 2005 the quarantine pest anoplophora glabripennis was observed in the city of Bornheim on the border to Bonn.This paper quantifies the costs of successful eradication measures in a newly infested area and of a potential spread in Bonn.The quarantine measures quantified comply with the implementing provision (EU) 2015/893. Areas and host tree abundances where determined by spatial analysis of tree cadastres and ATKIS data. A successful eradication costs 1 to 2 Mio. EUR depending on host tree density. Halving the propagation speed with quarantine measures is less expensive than an unhindered spread in the area of Bonn. In 2005 the quarantine pest anoplophora glabripennis was observed on the border to Bonn. Using a spread simulation model, this paper quantifies costs of quarantine measures differentiating between successful and nonsuccessful eradications as well as between different speeds of spread. The measures considered comply with the implementing provision (EU) 2015/893 and are assessed using a unique dataset allowing to take actual tree distribution in Bonn into consideration. A successful eradication costs 1 to 2 Mio. EUR depending on host tree density. Even non-successful measures halving the propagation speed are less expensive than an unhindered spread in the area of Bonn. Carolin Due to high production costs and the omission of the milk quota system farms are challenged and the structural change is assumed to intensify. The objective is to improve the understanding of structural change in the german dairy sector. A multinomial logit approach is used to identify variables explaining the exit from milk production. For the time period 2001-2012 data of about 20,000 dairy farms is available. The results show a positive impact of other production activities on farm. Further the exit from milk production depends on the proprietor’s age and education as well as the number of family workers. The objective of this paper is to identify determinants of and quantify their impact on exits from dairy production on German farms. A multinomial logit approach allows distinguishing different strategic decisions accompanying exit from or continuation of dairy activities. The data used covers the time period 2001 to2012 and about 20,000 dairy farms. Results show that other production activities with high income share increase the probability to exit milk production. Furthermore, the exit decision depends on the proprietor’s age and education as well as the number of family workers. Silvan In the context of technology development, little attention has been drawn to operationalize the theory of path dependence. However, practical application is needed to prevent firms of lock-in technology developments. This paper serves as first proof of concept and assesses technology paths through patent analysis based on three examples of the overlapping industries of food and pharmaceuticals (phytosterols, * and *). Our practical application indicates that phytosterols and * were developed more narrowly with developments dependent on previous paths whereas * was developed more diversified and showed less dedication to previous activities. Empirically analyzing path dependence in the context of technology development may offer highly useful information to prevent firms from lockin technology developments in the long run. This paper is the first one developing and applying a methodology to assess technology paths of an entire industry through patent analysis. Three examples of the overlapping industries of food and pharmaceuticals (phytosterols, * and **) are considered. Results indicate that the methodology is operational and allows characterizing the path dependency phenomenon in industry’s technology development. [at some point the type of new insights generated should be made more specific] Chiaoya Continued growth of human population results in the increasing demand of aquatic food. Being the fastest growing food producing sector, aquaculture has the potential to provide high quality protein sources and meet the future need for aquatic products. However, competing for feed resources with other sectors and complex regulations will limit the expansion of aquaculture. This paper reviews the existing literature which reveals the interaction between aquaculture and agriculture, sustainable development and the restrictions for aquaculture industry. Our goal is to provide an overview on expansion of aquaculture and offer suggestions for future policy reform. Being the fastest growing food producing sector, aquaculture has the potential to provide high quality protein sources and meet increasing future food demand. However, competition for land - direct and through feed competition – and restrictive regulations may limit the expansion of aquaculture. A literature review, competition for feedstock is not so relevant but further expansion will crucially depend on the successful development of alternative feeding technologies. Tesfaye Reliable information on the state of scarce water resource is crucial for careful management and efficient allocation. Lack of this has been a limiting factor for effective decision making in the Lake Naivasha Basin in Kenya. To fill this gap, we have used semi-distributed multi-objective hydrological model to fit observed lake level and streamflow with model simulation. Climate and hydrological data from 1965-1985 is used. The model is encoded in GAMS for optimal parameter solutions. We found including basin wide data on rainfall and runoff and controlling for data uncertainty leads to more accurate simulation of the lake water balance. Accurate projection of temporal and spatial water availability will strongly enhance effective decision making in the Lake Naivasha Basin in Kenya. A semi-distributed multi-objective hydrological model is fitted to observed lake and streamflow levels to make progress in this direction. Compared to previous approaches, the model structure now explicitly represents the rainfall-runoff process and controls for data uncertainty. The approach successfully improves upon the accuracy of simulation the lake water balance.