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Market Magic? Value-Added Through Circular Flows

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Title: Market Magic? Value-Added Through Circular Flows


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Market Magic?Value-Added Through Circular Flows
  • David A. Lewis
  • Assistant Professor
  • Geography and Planning
  • University at Albany
  • 1400 Washington Ave, AS 218
  • Albany, New York 12222
  • (518) 442-4595
  • dalewis_at_albany.edu

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Role of Farmers Markets in Community Development
  • Public farmers markets critical to social
    organization
  • Rural-Urban exchange
  • Meeting place
  • Development of social capital
  • Local circulation of economic value
  • Entertainment
  • Fostering social interaction of diverse groups
  • Building secure food systems

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Benefits of Modern Farmers
  • Productive reuse of space
  • Decreases food miles traveled
  • Increases
  • Local multipliers effects
  • Social capital
  • Local food production
  • Pedestrian activity
  • Food system security
  • Improves Quality of Life

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More Benefits of Modern Farmers
  • Can increase farm earnings
  • Educates urbanites about food supply
  • Creates opportunity for urban agricultural
  • Low cost entertainment
  • Opportunities extend beyond the food supply
    industry chain
  • Promotes more sustainable development practices

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Local Multipliers
  • BMBase Employment Multiplier
  • EbEmployment in Industries Exporting
    Goods/Services Outside Local Economy (Basic
    Employment)
  • EtTotal Employment in Local Economy
  • EnbEmployment in Industries not exporting (non
    Basic)
  • BM Et/Eb
  • Example Et15,000 Eb7,900
  • BM15,000/7,9001.90   

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More Local Interactions Improves Local
Multipliers and Social Capital
Local Economy
Goods
Local Economy
Local Farms
Goods


Labor
Households
Labor
Farmers Markets


Inputs
Goods

Wages
Labor
Industry

Goods

Goods
Inputs

Labor
Supermarkets
Goods


Consumer Goods
Inputs
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Local Multiplier Declines Due to Reduced
Circulation of Capital
Local Economy
Local Economy
Local Farms
Goods

Households
Labor
Inputs


Wages
Labor
Industry

Goods

Goods
Inputs

Labor
Supermarkets

Goods





Consumer Goods
Inputs
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Picnic in the ParkDavis, CA Farmers Market
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Conclusions
  • Public/Farmers Markets have always played a
    critical role in building community
  • Farmers Markets contribute to higher local
    employment and income multipliers
  • Farmers Market build community capacity and
    social capital
  • Farmers Markets improve environmental quality and
    urban livability

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