In this page, you can find forthcoming (FC) and working (WP) papers.
Working papers.
Shadow value of family and hired labour demand on Irish farms. (R&R)
Abstract. Family labour plays a crucial role in the sustainability and viability of farms. This research estimates the shadow wage of unpaid family labor and examines its substitutability with hired labor in Irish dairy farms. We use a panel dataset from 2005 to 2019, a two-step production function and a semi-parametric panel-censored model are applied to estimate shadow wages while accounting for market imperfections. Our findings reveal that the average shadow wage for family labor is approximately €31 per hour, significantly exceeding market wages. The findings highlight the influence of formal agricultural education, with higher educational attainment correlating with increased shadow wages. Finally, the relationship between shadow wages and hired labour demand suggests a substitution effect, particularly in labor-intensive tasks, with a stronger impact on casual labour.
Access the WP here.
Economic Feasibility of Solar-driven Hydrogen Photoelectrochemical Systems: Insights from a Real Options Analysis. (WP)
Abstract. Hydrogen is an important energy carrier in the global transition to renewable energy. Photoelectrochemical (PEC) reactors, which integrate photovoltaic and electrochemical processes, offer a promising pathway for solar-driven hydrogen production. This study evaluates the economic feasibility of a PEC reactor using a Real Options Analysis (ROA) framework. We use data from a life cycle assessment, future cost projections, and environmental externalities to assess investment viability under uncertainty. Results indicate that, without policy incentives, PEC reactors face financial challenges due to high upfront costs. However, auction mechanisms that provide premium payments for hydrogen production significantly enhance their economic attractiveness. Lastly, the sensitivity analysis underscores operational costs and energy output as key risk factors.
Access the WP here.
The Unexpected Battle Against Avian Flu in U.S. Dairy. (FC)
Abstract. The 2024-2025 avian flu A(H5N1) outbreak in U.S. cattle marks an unprecedented challenge for the livestock industry. This study explores its economic impact and biosecurity implications. While the virus has reduced milk yields and increased production costs, rigorous pasteurization standards ensure consumer safety. Our exploratory financial analysis estimated that each infected cow costs farmers approximately $198, aligning with the $100–$200 range calculated by the American Association of Bovine Practitioners. Government response, including financial aid and enhanced testing protocols, has helped mitigate immediate losses. However, persistent trade barriers and rising operational expenses could threaten long-term industry stability.
Access the FC Choices paper here.
Crossbreeding as an Additional Income Stream for U.S. Dairy Farms.(WP)
Abstract. The U.S. dairy industry faces increasing financial pressures, which compels farmers to explore alternative income streams. We examine crossbreeding dairy cows with beef cattle as a viable strategy to enhance farm profitability. Integrating beef genetics into dairy operations has gained traction due to rising beef prices and the superior market value of crossbred calves compared to purebred dairy bulls. We assess the financial and operational implications of crossbreeding, highlighting improved reproductive rates, higher calf weaning weights, and increased market premiums. Preliminary findings suggest that dairy farms adopting crossbreeding strategies can significantly boost revenue by selling male calves at higher prices. Also, crossbreeding can reduce environmental impact by improving resource efficiency. However, the approach requires strategic herd management and an understanding of market dynamics.
This WP will be available soon.
Unintended Trade-offs Between Food Security and Environmental Sustainability: Impacts of China’s Dietary Shift and Afforestation Under a Stringent Climate Mitigation Policy. (WP)
Abstract. The interconnectedness of food security, land use, and climate change presents both opportunities and challenges for sustainable development. Under stringent climate mitigation policies, this study assesses the unintended trade-offs between food security and environmental sustainability, focusing on China and its key food and feed trading partners. We use an integrated environmental-economic model and evaluate four land-based mitigation scenarios: (1) dietary shifts, (2) afforestation, (3) a global carbon tax, and (4) a combined approach. Our results indicate that dietary shifts reduce domestic GHG emissions but increase global emissions due to deforestation in trading partners. Afforestation lowers domestic emissions but shifts food production abroad, offsetting 70% of the reductions. A carbon tax significantly cuts emissions but raises food prices by 138%. The combined scenario achieves the largest GHG reductions but at the cost of a 205% rise in food prices.
Access the WP here.