The Backing of Government Debt and the Price Level

This paper studies the interdependence between fiscal and monetary policies, and their joint role in the determination of the price level. The government is characterized by a long-run fiscal policy rule whereby a given fraction of the outstanding debt, say d, is backed by the present discounted value of current and future primary surpluses. The remaining debt is backed by seigniorage revenue. The parameter d characterizes the interdependence between fiscal and monetary authorities. It is shown that in a standard monetary economy, this policy rule implies that the price level depends not only on the money stock, but also on the proportion of debt that is backed with money. Empirical estimates of d are obtained for OECD countries using data on nominal consumption, monetary base, and debt. Results indicate that debt plays only a minor role in the determination of the price level in these economies. Estimates of d correlate well with institutional measures of central bank independence.

Price, profitability and employment in the handloom industry in kerala

The present study is on the nature, problems and prospects of the handloom industry in Kerala. The problems of the industry are mostly in the nature of low earnings of the workers, underutilisation of the existing capacity and low profit in its various sectors. The majority of the handloom co-operative societies are either dormant or facing liquidation. The income and employment of weavers are so pitiably low that they are living in utter poverty and starvation. Frequent price fluctuations of yarns, dyes and chemicals increase the cost of production and reduce the profitability. Consequently handloom fabrics are not able to compete with mill cloths and powerloom products. Accumulating the unsold stocks in the godowns of co-operative societies and with master weavers has become the practice of the day. Spinning mills in Kerala are producing only lower counts of yarns. S, handloom industry has to depend on textile mills in Tamil Nadu for higher counts of yarn. They create artificial scarcity and increase the prices exflorbitantly. Wage rates prevailing in Kerala are higher than those in Tamil Hadu. So rich master weavers are migrating to Tamil.Nadu and exporting the fabrics. under the label 'Kera1a Handlooms'. Governmental efforts to tackle the crisis by way of rebates and subsidies are found to be futile.

Modelling of global crop production and resulting N2O emissions

Landwirtschaft spielt eine zentrale Rolle im Erdsystem. Sie trägt durch die Emission von CO2, CH4 und N2O zum Treibhauseffekt bei, kann Bodendegradation und Eutrophierung verursachen, regionale Wasserkreisläufe verändern und wird außerdem stark vom Klimawandel betroffen sein. Da all diese Prozesse durch die zugrunde liegenden Nährstoff- und Wasserflüsse eng miteinander verknüpft sind, sollten sie in einem konsistenten Modellansatz betrachtet werden. Dennoch haben Datenmangel und ungenügendes Prozessverständnis dies bis vor kurzem auf der globalen Skala verhindert. In dieser Arbeit wird die erste Version eines solchen konsistenten globalen Modellansatzes präsentiert, wobei der Schwerpunkt auf der Simulation landwirtschaftlicher Erträge und den resultierenden N2O-Emissionen liegt. Der Grund für diese Schwerpunktsetzung liegt darin, dass die korrekte Abbildung des Pflanzenwachstums eine essentielle Voraussetzung für die Simulation aller anderen Prozesse ist. Des weiteren sind aktuelle und potentielle landwirtschaftliche Erträge wichtige treibende Kräfte für Landnutzungsänderungen und werden stark vom Klimawandel betroffen sein. Den zweiten Schwerpunkt bildet die Abschätzung landwirtschaftlicher N2O-Emissionen, da bislang kein prozessbasiertes N2O-Modell auf der globalen Skala eingesetzt wurde. Als Grundlage für die globale Modellierung wurde das bestehende Agrarökosystemmodell Daycent gewählt. Neben der Schaffung der Simulationsumgebung wurden zunächst die benötigten globalen Datensätze für Bodenparameter, Klima und landwirtschaftliche Bewirtschaftung zusammengestellt. Da für Pflanzzeitpunkte bislang keine globale Datenbasis zur Verfügung steht, und diese sich mit dem Klimawandel ändern werden, wurde eine Routine zur Berechnung von Pflanzzeitpunkten entwickelt. Die Ergebnisse zeigen eine gute Übereinstimmung mit Anbaukalendern der FAO, die für einige Feldfrüchte und Länder verfügbar sind. Danach wurde das Daycent-Modell für die Ertragsberechnung von Weizen, Reis, Mais, Soja, Hirse, Hülsenfrüchten, Kartoffel, Cassava und Baumwolle parametrisiert und kalibriert. Die Simulationsergebnisse zeigen, dass Daycent die wichtigsten Klima-, Boden- und Bewirtschaftungseffekte auf die Ertragsbildung korrekt abbildet. Berechnete Länderdurchschnitte stimmen gut mit Daten der FAO überein (R2 = 0.66 für Weizen, Reis und Mais; R2 = 0.32 für Soja), und räumliche Ertragsmuster entsprechen weitgehend der beobachteten Verteilung von Feldfrüchten und subnationalen Statistiken. Vor der Modellierung landwirtschaftlicher N2O-Emissionen mit dem Daycent-Modell stand eine statistische Analyse von N2O-und NO-Emissionsmessungen aus natürlichen und landwirtschaftlichen Ökosystemen. Die als signifikant identifizierten Parameter für N2O (Düngemenge, Bodenkohlenstoffgehalt, Boden-pH, Textur, Feldfrucht, Düngersorte) und NO (Düngemenge, Bodenstickstoffgehalt, Klima) entsprechen weitgehend den Ergebnissen einer früheren Analyse. Für Emissionen aus Böden unter natürlicher Vegetation, für die es bislang keine solche statistische Untersuchung gab, haben Bodenkohlenstoffgehalt, Boden-pH, Lagerungsdichte, Drainierung und Vegetationstyp einen signifikanten Einfluss auf die N2O-Emissionen, während NO-Emissionen signifikant von Bodenkohlenstoffgehalt und Vegetationstyp abhängen. Basierend auf den daraus entwickelten statistischen Modellen betragen die globalen Emissionen aus Ackerböden 3.3 Tg N/y für N2O, und 1.4 Tg N/y für NO. Solche statistischen Modelle sind nützlich, um Abschätzungen und Unsicherheitsbereiche von N2O- und NO-Emissionen basierend auf einer Vielzahl von Messungen zu berechnen. Die Dynamik des Bodenstickstoffs, insbesondere beeinflusst durch Pflanzenwachstum, Klimawandel und Landnutzungsänderung, kann allerdings nur durch die Anwendung von prozessorientierten Modellen berücksichtigt werden. Zur Modellierung von N2O-Emissionen mit dem Daycent-Modell wurde zunächst dessen Spurengasmodul durch eine detailliertere Berechnung von Nitrifikation und Denitrifikation und die Berücksichtigung von Frost-Auftau-Emissionen weiterentwickelt. Diese überarbeitete Modellversion wurde dann an N2O-Emissionsmessungen unter verschiedenen Klimaten und Feldfrüchten getestet. Sowohl die Dynamik als auch die Gesamtsummen der N2O-Emissionen werden befriedigend abgebildet, wobei die Modelleffizienz für monatliche Mittelwerte zwischen 0.1 und 0.66 für die meisten Standorte liegt. Basierend auf der überarbeiteten Modellversion wurden die N2O-Emissionen für die zuvor parametrisierten Feldfrüchte berechnet. Emissionsraten und feldfruchtspezifische Unterschiede stimmen weitgehend mit Literaturangaben überein. Düngemittelinduzierte Emissionen, die momentan vom IPCC mit 1.25 +/- 1% der eingesetzten Düngemenge abgeschätzt werden, reichen von 0.77% (Reis) bis 2.76% (Mais). Die Summe der berechneten Emissionen aus landwirtschaftlichen Böden beträgt für die Mitte der 1990er Jahre 2.1 Tg N2O-N/y, was mit den Abschätzungen aus anderen Studien übereinstimmt.

Efficient phosphorus application strategies for increased crop production in sub-Saharan West Africa

Comparable data are lacking from the range of environments found in sub-Saharan West Africa to draw more general conclusions about the relative merits of locally available rockphosphate (RockP) in alleviating phosphorus (P) constraints to crop growth. To fill this gap, a multi-factorial field experiment was conducted over 4 years at eight locations in Niger, Burkina Faso and Togo. These ranged in annual rainfall from 510 to 1300 mm. Crops grown were pearl millet (Pennisetum glaucum L.), sorghum (Sorghum bicolor (L.) Moench) and maize (Zea mays L.) either continuously or in rotation with cowpea (Vigna unguiculata Walp.) and groundnut (Arachis hypogaea L.). Crops were subjected to six P fertiliser treatments comprising RockP and soluble P at different rates and combined with 0 and 60 kg N ha^-1. For legumes, time trend analyses showed P-induced total dry matter (TDM) increases between 28 and 72% only with groundnut. Similarly, rotation-induced raises in cereal TDM compared to cereal monoculture were only observed with groundnut. For cereals, at the same rate of application, RockP was comparable to single superphosphate (SSP) only at two millet sites with topsoil pH-KCl <4.2 and annual average rainfall >600 mm. Across the eight sites NPK placement at 0.4 g P per hill raised average cereal yields between 26 and 220%. This was confirmed in 119 on-farm trials revealing P placement as a promising strategy to overcome P deficiency as the regionally most growth limiting nutrient constraint to cereals.

Crop type influences edge effects on the reproduction of songbirds in sagebrush habitat near agriculture

Extensive fragmentation of the sagebrush shrubsteppe of western North America could be contributing to observed population declines of songbirds in sagebrush habitat. We examined whether habitat fragmentation impacts the reproduction of songbirds in sagebrush edge habitat near agriculture, and if potential impacts vary depending on the adjacent crop type. Specifically, we evaluated whether nest abundance and nest survival varied between orchard edge habitat, vineyard edge habitat, and interior habitat. We then examined whether the local nest predator community and vegetation could explain the differences detected. We detected fewer nests in edge than interior habitat. Nest abundance per songbird was also lower in edge than interior habitat, although only adjacent to vineyards. Nest predation was more frequent in orchard edge habitat than vineyard edge or interior habitat. Predators identified with nest cameras were primarily snakes, however, reduced nest survival in orchard edge habitat was not explained by differences in the abundance of snakes or any other predator species identified. Information theoretic analysis of daily survival rates showed that greater study plot shrub cover and lower grass height at nests were partially responsible for the lower rate of predation-specific daily nest survival rate (PDSR) observed in orchard edge habitat, but additional factors are likely important. Results of this study suggest that different crop types have different edge effects on songbirds nesting in sagebrush shrubsteppe, and that these reproductive edge effects may contribute to observed declines of these species. Habitat managers should avoid the creation of new orchard-sagebrush habitat edges to avoid further impacts on already declining songbird populations.

Effect of manure application on crop yield and soil chemical properties in a long-term field trial of semi-arid Kenya

The sustainability of cereal/legume intercropping was assessed by monitoring trends in grain yield, soil organic C (SOC) and soil extractable P (Olsen method) measured over 13 years at a long-term field trial on a P-deficient soil in semi-arid Kenya. Goat manure was applied annually for 13 years at 0, 5 and 10 t ha(-1) and trends in grain yield were not identifiable because of season-to-season variations. SOC and Olsen P increased for the first seven years of manure application and then remained constant. The residual effect of manure applied for four years only lasted another seven to eight years when assessed by yield, SOC and Olsen P. Mineral fertilizers provided the same annual rates of N and P as in 5 t ha(-1) manure and initially ,gave the same yield as manure, declining after nine years to about 80%. Therefore, manure applications could be made intermittently and nutrient requirements topped-up with fertilizers. Grain yields for sorghum with continuous manure were described well by correlations with rainfall and manure input only, if data were excluded for seasons with over 500 mm rainfall. A comprehensive simulation model should correctly describe crop losses caused by excess water.

Factors affecting the adoption of leguminous cover crops in Nigeria and a comparison with the adoption of new crop varieties

This paper presents the results of (a) On-farm trials (eight) over a two-year period designed to test the effectiveness of leguminous cover crops in terms of increasing maize yields in Igalaland, Nigeria. (b) A survey designed to monitor the extent of, and reasons behind, adoption of the leguminous cover crop technology in subsequent years by farmers involved, to varying degrees, in the trial programme. particular emphasis was placed on comparing adoption of leguminous cover crops with that of new crop varieties released by a non-governmental organization in the same area since the mid 1980s. While the leguminous cover crop technology boosted maize grain yields by 127 to 136% above an untreated control yield of between 141 and 171 kg ha(-1), the adoption rate (number of farmers adopting) was only 18%. By way of contrast, new crop varieties had a highly variable benefit in terms of yield advantage over local varieties, with the best average increase of around 20%. Adoption rates for new crop varieties, assessed as both the number of farmers growing the varieties and the number of plots planted to the varieties, were 40% on average. The paper discusses some key factors influencing adoption of the leguminous cover crop technology, including seed availability. Implications of these results for a local non-governmental organization, the Diocesan Development Services, concerned with promoting the leguminous cover crop technology are also discussed.

The effects of minimal tillage, contour cultivation, in-field vegetative barriers and crop residues on phosphorus and sediment yields

Runoff, sediment, total phosphorus and total dissolved phosphorus losses in overland flow were measured for two years on unbounded plots cropped with wheat and oats. Half of the field was cultivated with minimum tillage (shallow tillage with a tine cultivator) and half was conventionally ploughed. Within each cultivation treatment there were different treatment areas (TAs). In the first year of the experiment, one TA was cultivated up and down the slope, one TA was cultivated on the contour, with a beetle bank acting as a vegetative barrier partway up the slope, and one had a mixed direction cultivation treatment, with cultivation and drilling conducted up and down the slope and all subsequent operations conducted on the contour. In the second year, this mixed treatment was replaced with contour cultivation. Results showed no significant reduction in runoff, sediment losses or total phosphorus losses from minimum tillage when compared to the conventional plough treatment, but there were increased losses of total dissolved phosphorus with minimum tillage. The mixed direction cultivation treatment increased surface runoff and losses of sediment and phosphorus. Increasing surface roughness with contour cultivation reduced surface runoff compared to up and down slope cultivation in both the plough and minimum tillage treatment areas, but this trend was not significant. Sediment and phosphorus losses in the contour cultivation treatment followed a very similar pattern to runoff. Combining contour cultivation with a vegetative barrier in the form of a beetle bank to reduce slope length resulted in a non-significant reduction in surface runoff, sediment and total phosphorus when compared to up and down slope cultivation, but there was a clear trend towards reduced losses. However, the addition of a beetle bank did not provide a significant reduction in runoff, sediment losses or total phosphorus losses when compared to contour cultivation, suggesting only a marginal additional benefit. The economic implications for farmers of the different treatment options are investigated in order to assess their suitability for implementation at a field scale.

A critical assessment of a desk study comparing crop production systems: The example of the 'system of rice intensification' versus 'best management practice'

When assessing hypotheses, the possibility and consequences of false-positive conclusions should be considered along with the avoidance of false-negative ones. A recent assessment of the system of rice intensification (SRI) by McDonald et al. [McDonald, A.J., Hobbs, P.R., Riha, S.J., 2006. Does the system of rice intensification outperform conventional best management? A synopsis of the empirical record. Field Crops Res. 96, 31-36] provides a good example where this was not done as it was preoccupied with avoiding false-positives only. It concluded, based on a desk study using secondary data assembled selectively from diverse sources and with a 95% level of confidence, that 'best management practices' (BMPs) on average produce 11% higher rice yields than SRI methods, and that, therefore, SRI has little to offer beyond what is already known by scientists.

Rapeseed cytoplasm gives advantage in wild relatives and complicates genetically modified crop biocontainment

Biocontainment methods for genetically modified crops closest to commercial reality (chloroplast transformation, male sterility) would be compromised (in absolute terms) by seed-mediated gene flow leading to chloroplast capture. Even in these circumstances, however, it can be argued that biocontainment still represses transgene movement, with the efficacy depending on the relative frequency of seed-and pollen-mediated gene flow. In this study, we screened for crop-specific chloroplast markers from rapeseed (Brassica napus) amongst sympatric and allopatric populations of wild B. oleracea in natural cliff-top populations and B. rapa in riverside and weedy populations. We found only modest crop chloroplast presence in wild B. oleracea and in weedy B. rapa, but a surprisingly high incidence in sympatric (but not in allopatric) riverside B. rapa populations. Chloroplast inheritance models indicate that elevated crop chloroplast acquisition is best explained if crop cytoplasm confers selective advantage in riverside B. rapa populations. Our results therefore imply that chloroplast transformation may slow transgene recruitment in two settings, but actually accelerate transgene spread in a third. This finding suggests that the appropriateness of chloroplast transformation for biocontainment policy depends on both context and geographical location.

Simulating dynamic crop growth with an adapted land surface model – JULES-SUCROS: model development and validation

The increasing demand for ecosystem services, in conjunction with climate change, is expected to signif- icantly alter terrestrial ecosystems. In order to evaluate the sustainability of land and water resources, there is a need for a better understanding of the relationships between crop production, land surface characteristics and the energy and water cycles. These relationships are analysed using the Joint UK Land Environment Simulator (JULES). JULES includes the full hydrological cycle and vegetation effects on the energy, water, and carbon fluxes. However, this model currently only simulates land surface processes in natural ecosystems. An adapted version of JULES for agricultural ecosystems, called JULES-SUCROS has therefore been developed. In addition to overall model improvements, JULES-SUCROS includes a dynamic crop growth structure that fully fits within and builds upon the biogeochemical modelling framework for natural vegetation. Specific agro-ecosystem features such as the development of yield-bearing organs and the phenological cycle from sowing till harvest have been included in the model. This paper describes the structure of JULES-SUCROS and evaluates the fluxes simulated with this model against FLUXNET measurements at 6 European sites. We show that JULES-SUCROS significantly improves the correlation between simulated and observed fluxes over cropland and captures well the spatial and temporal vari- ability of the growth conditions in Europe. Simulations with JULES-SUCROS highlight the importance of vegetation structure and phenology, and the impact they have on land–atmosphere interactions.

A universal agro-hydrological model for water and nitrogen cycles in the soil-crop system SMCR_N: critical update and further validation

Agro-hydrological models have widely been used for optimizing resources use and minimizing environmental consequences in agriculture. SMCRN is a recently developed sophisticated model which simulates crop response to nitrogen fertilizer for a wide range of crops, and the associated leaching of nitrate from arable soils. In this paper, we describe the improvements of this model by replacing the existing approximate hydrological cascade algorithm with a new simple and explicit algorithm for the basic soil water flow equation, which not only enhanced the model performance in hydrological simulation, but also was essential to extend the model application to the situations where the capillary flow is important. As a result, the updated SMCRN model could be used for more accurate study of water dynamics in the soil-crop system. The success of the model update was demonstrated by the simulated results that the updated model consistently out-performed the original model in drainage simulations and in predicting time course soil water content in different layers in the soil-wheat system. Tests of the updated SMCRN model against data from 4 field crop experiments showed that crop nitrogen offtakes and soil mineral nitrogen in the top 90 cm were in a good agreement with the measured values, indicating that the model could make more reliable predictions of nitrogen fate in the crop-soil system, and thus provides a useful platform to assess the impacts of nitrogen fertilizer on crop yield and nitrogen leaching from different production systems. (C) 2010 Elsevier B.V. All rights reserved.

Tests of non-linearity using LIFFE futures transactions price data

This paper presents and implements a number of tests for non-linear dependence and a test for chaos using transactions prices on three LIFFE futures contracts: the Short Sterling interest rate contract, the Long Gilt government bond contract, and the FTSE 100 stock index futures contract. While previous studies of high frequency futures market data use only those transactions which involve a price change, we use all of the transaction prices on these contracts whether they involve a price change or not. Our results indicate irrefutable evidence of non-linearity in two of the three contracts, although we find no evidence of a chaotic process in any of the series. We are also able to provide some indications of the effect of the duration of the trading day on the degree of non-linearity of the underlying contract. The trading day for the Long Gilt contract was extended in August 1994, and prior to this date there is no evidence of any structure in the return series. However, after the extension of the trading day we do find evidence of a non-linear return structure.

Contribution of insect pollinators to crop yield and quality varies with agricultural intensification

Background: Up to 75% of crop species benefit at least to some degree from animal pollination for fruit or seed set and yield. However, basic information on the level of pollinator dependence and pollinator contribution to yield is lacking for many crops. Even less is known about how insect pollination affects crop quality. Given that habitat loss and agricultural intensification are known to decrease pollinator richness and abundance, there is a need to assess the consequences for different components of crop production. Methods: We used pollination exclusion on flowers or inflorescences on a whole plant basis to assess the contribution of insect pollination to crop yield and quality in four flowering crops (spring oilseed rape, field bean, strawberry, and buckwheat) located in four regions of Europe. For each crop, we recorded abundance and species richness of flower visiting insects in ten fields located along a gradient fromsimple to heterogeneous landscapes. Results: Insect pollination enhanced average crop yield between 18 and 71% depending on the crop. Yield quality was also enhanced in most crops. For instance, oilseed rape had higher oil and lower chlorophyll contents when adequately pollinated, the proportion of empty seeds decreased in buckwheat, and strawberries’ commercial grade improved; however, we did not find higher nitrogen content in open pollinated field beans. Complex landscapes had a higher overall species richness of wild pollinators across crops, but visitation rates were only higher in complex landscapes for some crops. On the contrary, the overall yield was consistently enhanced by higher visitation rates, but not by higher pollinator richness. Discussion. For the four crops in this study, there is clear benefit delivered by pollinators on yield quantity and/or quality, but it is not maximized under current agricultural intensification. Honeybees, the most abundant pollinator, might partially compensate the loss of wild pollinators in some areas, but our results suggest the need of landscape-scale actions to enhance wild pollinator populations.

JULES-crop: a parametrisation of crops in the Joint UK Land Environment Simulator

Studies of climate change impacts on the terrestrial biosphere have been completed without recognition of the integrated nature of the biosphere. Improved assessment of the impacts of climate change on food and water security requires the development and use of models not only representing each component but also their interactions. To meet this requirement the Joint UK Land Environment Simulator (JULES) land surface model has been modified to include a generic parametrisation of annual crops. The new model, JULES-crop, is described and evaluation at global and site levels for the four globally important crops; wheat, soybean, maize and rice. JULES-crop demonstrates skill in simulating the inter-annual variations of yield for maize and soybean at the global and country levels, and for wheat for major spring wheat producing countries. The impact of the new parametrisation, compared to the standard configuration, on the simulation of surface heat fluxes is largely an alteration of the partitioning between latent and sensible heat fluxes during the later part of the growing season. Further evaluation at the site level shows the model captures the seasonality of leaf area index, gross primary production and canopy height better than in the standard JULES. However, this does not lead to an improvement in the simulation of sensible and latent heat fluxes. The performance of JULES-crop from both an Earth system and crop yield model perspective is encouraging. However, more effort is needed to develop the parametrisation of the model for specific applications. Key future model developments identified include the introduction of processes such as irrigation and nitrogen limitation which will enable better representation of the spatial variability in yield.