HANDBOOKS IN ECONOMICS 18 Series Editors KENNETH J. ARROW MICHAEL D. INTRILIGATOR North-HollandisanimprintofElsevier TheBoulevard,LangfordLane,Kidlington,OxfordOX51GB,UK Radarweg29,POBox211,1000AEAmsterdam,TheNetherlands #2010ELSEVIERBV.Allrightsreserved. Nopartofthispublicationmaybereproducedortransmittedinanyformorbyanymeans,electronicormechanical, includingphotocopying,recording,oranyinformationstorageandretrievalsystem,withoutpermissioninwritingfrom thepublisher.Detailsonhowtoseekpermission,furtherinformationaboutthePublisher’spermissionspoliciesandour arrangementswithorganizationssuchastheCopyrightClearanceCenterandtheCopyrightLicensingAgency,canbe foundatourwebsite:www.elsevier.com/permissions. ThisbookandtheindividualcontributionscontainedinitareprotectedundercopyrightbythePublisher(otherthanas maybenotedherein). 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BritishLibraryCataloguinginPublicationData AcataloguerecordforthisbookisavailablefromtheBritishLibrary LibraryofCongressCataloging-in-PublicationData AcatalogrecordforthisbookisavailablefromtheLibraryofCongress ISBN:978-0-444-51874-3 ForinformationonallNorth-Hollandpublications visitourwebsiteatbooks.elsevier.com PrintedandboundintheUnitedStatesofAmerica 09 10 11 12 13 10 9 8 7 6 5 4 3 2 1 INTRODUCTION TO THE SERIES The aim of the Handbooks in Economics series is to produce Handbooks for various branches of economics, each of which is a definitive source, reference, and teaching supplement for use by professional researchers and advanced graduate students. Each Handbook provides self-contained surveys of the current state of a branch of econom- ics in the form of chapters prepared by leading specialists on various aspects of this branch of economics. These surveys summarize not only received results but also newer developments, from recent journal articles and discussion papers. Some original material is also included, but the main goal is to provide comprehensive and accessible surveys.TheHandbooksareintendedtoprovidenotonlyusefulreferencevolumesfor professional collections but also possible supplementary readings for advanced courses for graduate students in economics. Kenneth J. Arrow Michael D. Intriligator v CONTENTS OF THE HANDBOOK VOLUME 1A PART 1 AGRICULTURAL PRODUCTION CHAPTER 1 Production and Supply YairMundlak CHAPTER 2 Uncertainty, Risk Aversion, and Risk Management for Agricultural Producers GiancarloMoschiniandDavidA.Hennessy CHAPTER 3 Expectations, Information and Dynamics MarcNerloveand DavidA.Bessler CHAPTER 4 The Agricultural Innovation Process: Research and Technology Adoption in a Changing Agricultural Sector DavidSundingandDavidZilberman CHAPTER 5 Structural Change in Agricultural Production: Economics, Technology and Policy Jean-PaulChavas CHAPTER 6 Land Institutions and Land Markets KlausDeiningerandGershonFeder CHAPTER 7 Human Capital: Education and Agriculture WallaceE.Huffman CHAPTER 8 Women's Roles in the Agricultural Household: Bargaining and Human Capital Investments T.PaulSchultz CHAPTER 9 Human Capital: Migration and Rural Population Change J.EdwardTaylorandPhilip L.Martin vii viii CONTENTSOFTHEHANDBOOK CHAPTER 10 Agricultural Finance: Credit, Credit Constraints, and Consequences Peter J.BarryandLindonJ.Robison CHAPTER 11 Economic Impacts of Agricultural Research and Extension RobertE.Evenson CHAPTER 12 The Agricultural Producer: Theory and Statistical Measurement Richard E.JustandRulonD.Pope VOLUME 1B PART 2 MARKETING, DISTRIBUTION AND CONSUMERS CHAPTER 13 Commodity Futures and Options Jeffrey C.Williams CHAPTER 14 Storage and Price Stabilization Brian Wright CHAPTER 15 Food Processing and Distribution: An Industrial Organization Approach Richard J.SextonandNathalie Lavoie CHAPTER 16 Marketing Margins: Empirical Analysis MichaelK.Wohlgenant CHAPTER 17 Spatial Price Analysis PaulL.FacklerandBarryK.Goodwin CHAPTER 18 Duality for the Household: Theory and Applications Jeffrey T.LaFrance CHAPTER 19 Economic Analysis of Food Safety John M.Antle CHAPTER 20 Marketing and Distribution: Theory and Statistical Measurement JamesVercammen andAndrewSchmitz CONTENTSOFTHEHANDBOOK ix CHAPTER 21 Production and Marketing RachaelE.Goodhue andGordonC.Rausser VOLUME 2A PART 3 AGRICULTURE, NATURAL RESOURCES AND THE ENVIRONMENT CHAPTER 22 The Economics of Agriculture in Developing Countries: The Role of the Environment RamónLópez CHAPTER 23 Agriculture and the Environment ErikLichtenberg CHAPTER 24 Common-Pool Resources and Institutions: Toward a Revised Theory ElinorOstrom CHAPTER 25 Agriculture and Ecosystem Services GeoffreyM. HealandArthurA.Small PART 4 AGRICULTURE IN THE MACROECONOMY CHAPTER 26 Applied General Equilibrium Analysis of Agricultural and Resource Policies ThomasW.Hertel CHAPTER 27 Agriculture and the Macroeconomy, with Emphasis on Developing Countries MauriceSchiffandAlbertoValdés CHAPTER 28 The Macroeconomics of Agriculture PierGiorgioArdeniandJohn Freebairn CHAPTER 29 Agriculture and Economic Development C.PeterTimmer CHAPTER 30 The Rural Sector in Transition Economies KarenBrooksandJohnNash x CONTENTSOFTHEHANDBOOK CHAPTER 31 Rural Development and Rural Policy Alain DeJanvry,ElisabethSadouletandRinkuMurgai CHAPTER 32 Agriculture in the Macroeconomy: Theory and Measurement Philip AbbottandAlexMcCalla VOLUME 2B PART 5 AGRICULTURAL AND FOOD POLICY CHAPTER 33 The Incidence of Agricultural Policy JulianM. Alstonand JenniferS.James CHAPTER 34 Information, Incentives, and the Design of Agricultural Policies RobertG.Chambers CHAPTER 35 Market Failures and Second-Best Analysis with a Focus on Nutrition, Credit, and Incomplete Markets RobertInnes CHAPTER 36 Political Economy of Agricultural Policy Harry DeGorterandJohanSwinnen CHAPTER 37 A Synthesis of Agricultural Trade Economics Larry S.KarpandJeffrey M.Perloff CHAPTER 38 International Trade Policy and Negotiations DanielA.Sumnerand StefanTangermann CHAPTER 39 Public Policy: Its Many Analytical Dimensions GordonC.Rausserand RachaelE.Goodhue CHAPTER 40 Food Security and Food Assistance Programs Christopher B. Barrett CHAPTER 41 Food Security and the World Food Situation R.C. Duncan CONTENTSOFTHEHANDBOOK xi CHAPTER 42 Policy-Related Developments in Agricultural Economics: Synthesis of Handbook Volume 2 BruceL.Gardner andD.GaleJohnson VOLUME 3 PART 1 INTRODUCTION OVERVIEW RobertE.EvensonandPrabhuPingali PART 2 HUMAN RESOURCES AND TECHNOLOGY MASTERY CHAPTER 43 Agriculture and Human Capital in Economic Growth: Farmers, Schooling and Nutrition WallaceE.Huffmanand PeterF.Orazem CHAPTER 44 Agricultural Extension JockR.Anderson andGershonFeder PART 3 INVENTION AND INNOVATION CHAPTER 45 The Role of International Agricultural Research in Contributing to Global Food Security and Poverty Alleviation: The Case of the CGIAR PrabhuPingaliandTimKelley CHAPTER 46 Contributions of National Agricultural Research Systems to Crop Productivity RobertE.EvensonandDouglasGollin CHAPTER 47 Livestock Productivity in Developing Countries: An Assessment Alejandro Nin,SimeonEhuiandSamuelBenin CHAPTER 48 Agricultural Innovation: Investments and Incentives BrianD.Wright,PhilipG.Pardey,Carol NottenburgandBonwoo Koo CHAPTER 49 Private Agricultural Research CarlE.Pray,KeithO.FuglieandDanielK.N.Johnson CHAPTER 50 Plant Biotechnology for Developing Countries RobertHerdt, GaryToenniessenandJohnO'Toole xii CONTENTSOFTHEHANDBOOK PART 4 MARKETS, INSTITUTIONS AND TRANSACTION COSTS CHAPTER 51 Efficiency and Equity Effects of Land Markets KeijiroOtsuka CHAPTER 52 Labor: Decisions, Contracts and Organization JamesRoumasset andSang-Hyop Lee CHAPTER 53 Fertilizers and Other Farm Chemicals PaulW.Heisey andGeorgeW.Norton CHAPTER 54 Agricultural Mechanization: Adoption Patterns and Economic Impact PrabhuPingali CHAPTER 55 Transformation of Markets for Agricultural Output in Developing Countries Since 1950: How Has Thinking Changed? ThomasReardonandC.Peter Timmer CHAPTER 56 Rural Financial Markets in Developing Countries JonathanConningandChristopher Udry PART 5 NATURAL RESOURCES CHAPTER 57 Soil Quality and Agricultural Development PierreCrosson CHAPTER 58 The Economics of Water, Irrigation, and Development KarinaSchoengoldandDavidZilberman CHAPTER 59 Land Use: Forest, Agriculture, and Biodiversity Competition Roger A.SedjoandR.DavidSimpson CHAPTER 60 Past Climate Change Impacts on Agriculture RobertMendelsohn