Spatial effects in investment decisions: Evidence from French dairy farms
Résumé
This article analyses the spatial effects in
farmers’ investment decisions, in particular
the role of neighbourhood effects,
for the specific case of dairy
farmers in a region of Western
France. Investment decisions are measured by investment spikes, enabling the analysis to be
linked to the literatu
re on adoption of technology innovati
on. The main contribution is in
accounting for the effect of the previous decisions
of the farmers’ neighbour
s, with the help of
a spatial probit econometric model
that includes investment age.
Results show that farmers are
not immediately influenced by the simultaneous
ly-made decisions of
their neighbours, but
rather by the decisions taken by their neighbours
in the year before. However, this positive
influence does not compensate for the negative
effect of own previous
investment decisions
Domaines
Economies et financesOrigine | Fichiers produits par l'(les) auteur(s) |
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