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Profits and risks of using crimson clover and hairy vetch cover crops in no-till corn production

Published online by Cambridge University Press:  30 October 2009

Stephen L. Ott  and
William L. Hargrove
Stephen L. Ott
Affiliation:
Assistant Professor, Department of Agricultural Economics, Georgia Experiment Station, University of Georgia, Griffin, GA 30223.
William L. Hargrove
Affiliation:
Associate Professor, Department of Agronomy, Georgia Experiment Station, University of Georgia, Griffin, GA 30223.
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Abstract

Winter legume cover crops are receiving increasing attention from agronomists and farmers as a source of nitrogen for summer crops. While agronomists are continually providing new technical information on using legumes as a nitrogen source, little is known on the economics of their use. Previous economic research on legume cover crops has focused mainly on budgeting analysis. In the present work, a twofactorial experiment was designed to test the use of legumes as a nitrogen source for corn (Zea mays L.) in north Georgia. The first factor was winter cover crop with treatments being crimson clover (Trifolium incarnatum L.), hairy vetch (Vicia villosa Roth), wheat (Triticum aestivum L.), and no cover crop or winter fallow. The second factor was nitrogen (N) fertilizer applied at five different rates: 0, 25, 50, 100, or 200 pounds per acre. For each combination of the two factors, mean yield and yield variance were determined. Results indicated that legume cover crops increased both average corn yield and yield variance. The greater yield variance from the use of legume cover crops increases economic risk. Risk-averse farmers must be compensated for increased profit variance by higher average profits. A safety first method was used to evaluate the tradeoff between average profit and profit variance for the risk-averse individual The results showed that hairy vetch with 50 pounds of N per acre was the best combination of cover crop and fertilizer rate for risk-neutral farmers. For risk-averse farmers, hairy vetch without any nitrogen fertilizer is preferred.

Keywords

nitrogenlegumescornfertilizeryieldyield varianceeconomic risk
Type
Articles
Information
American Journal of Alternative Agriculture , Volume 4 , Issue 2 , June 1989 , pp. 65 - 70
Copyright
Copyright © Cambridge University Press 1989

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