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Environmentally adjusted productivity growth and shadow prices for dairy farms

Bibek Dahal et al.

Canadian Journal of Agricultural Economics / Revue Canadienne d Agroeconomie2026https://doi.org/10.1111/cjag.70011article
AJG 2ABDC A
Weight
0.50

Abstract

We estimate the environmentally adjusted productivity growth and shadow price for Ontario dairy farms. We use an input‐oriented directional distance function and farm‐level data from 2000 to 2020. First, we find that while GHG emissions per cow increase with higher milk yields, emission intensity decreases as milk yield per cow increases. We also find that emission intensity decreased over the study period. Second, we find that environmentally adjusted productivity growth is higher than unadjusted productivity growth. Technological change contributed more to both environmentally adjusted and unadjusted productivity growth than did efficiency change. Third, the estimated shadow price for GHG emissions was CAN$286 per metric ton.

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https://doi.org/https://doi.org/10.1111/cjag.70011

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@article{bibek2026,
  title        = {{Environmentally adjusted productivity growth and shadow prices for dairy farms}},
  author       = {Bibek Dahal et al.},
  journal      = {Canadian Journal of Agricultural Economics / Revue Canadienne d Agroeconomie},
  year         = {2026},
  doi          = {https://doi.org/https://doi.org/10.1111/cjag.70011},
}

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Environmentally adjusted productivity growth and shadow prices for dairy farms

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Evidence weight

0.50

Balanced mode · F 0.40 / M 0.15 / V 0.05 / R 0.40

F · citation impact0.50 × 0.4 = 0.20
M · momentum0.50 × 0.15 = 0.07
V · venue signal0.50 × 0.05 = 0.03
R · text relevance †0.50 × 0.4 = 0.20

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