A whole farm economic analysis was conducted to provide a detailed assessment into the economic, risk, and production implications due to the adoption of auto-steer navigation. It was determined that auto-steer navigation was profitable for a grain farmer in Kentucky with net returns increasing up to 0.90% ($3.35/acre). Additionally, the technology could be used in reducing production risk. Adoption of the technology also alters production practices for optimal use.

Scientists and beef industry participants are investigating ways to improve the healthiness of beef. We report results of a nationwide mail survey developed to determine Consumers' preferences for fat content in ground beef and identify how consumers would most like to improve the healthiness of beef. The results from a choice-based conjoint experiment indicate that consumers place significant value on reducing saturated fat and the Omega 6:3 ratio in ground beef, but were relatively unconcerned about conjugated linoleic acid. The relatively new method of best-worst scaling was used to further identify which methods consumers most preferred producers use to improve fat content in beef. The results indicate consumers preferred feeding cattle a grass-fed diet as opposed to supplementing cattle feed with fish-meal or flaxseed to improve the fatty acid content in beef. Although consumers were receptive to the idea of using genetic testing to breed only those cattle with improved fatty acid content, using cloning to achieve this end, was viewed as very undesirable.

The simulation model discussed in this paper evolved from problems encountered in estimating future United States cropland availability as part of the OBERS agricultural projection system. Available literature describing land use changes indicate that land resource economists have not been concerned with projecting future patterns of land use implied by historic observations.

Some research has involved selection of optimum cropping patterns for agricultural cropland subject to alternative flood plain management policies. However, the broader application of such models between sectors (agriculture, industrial, urban, etc.), in the main, has been ignored. Because of “historical bias” there has not been a concerted effort to develop analytical capabilities for use in evaluating the future implications of alternative regional and/or national policies designed to alter trends in land use shifts.

This study examines U.S. crop producers' perceptions of climate change, itseffects on crop agriculture, and likely ways farmers would adapt to weatherextremes. Based on a survey of crop producers in four states, we find that asignificant proportion of farmers do not perceive that climate change hasbeen scientifically proven and do not believe that it will adversely affectaverage crop yields and yield variability. Farmers are likely to diversifycrops, buy crop insurance, modify lease arrangements, and exit farming inresponse to extreme weather caused by climate change.

When evaluating the economic efficiency of policies to reduce nonpoint source pollution, administrative or transaction costs are usually not taken into account. While the importance of transaction costs has been recognized in the theoretical literature, the fact that they are not incorporated in empirical analyses means that, in effect, these costs are given a zero value. This issue is examined quantitatively using data collected by the National Resource Conservation Service (NRCS). Transaction costs are found to be a significant portion (38 percent) of overall conservation costs. This provides strong support for including these costs in economic evaluations of alternative policy instruments.

This study used and compared hypothetical conjoint analysis and nonhypothetical experimental auctions to elicit floral customers' willingness to pay for biodegradable plant containers. The results of the study show that participants were willing to pay a price premium for biodegradable containers, but the premium is not the same for different types of containers. This article also shows the mixed ordered probit model generates more accurate results when analyzing the conjoint analysis Internet survey data than the ordered probit model.

Evaluations of the factors influencing the adoption of agricultural and natural resource management technologies among small farmers in developing countries have been mostly limited to qualitative discussions or simple descriptive statistics resulting in superficial and inconclusive findings. This study introduces the use of Poisson Count Regressions as a statistically appropriate procedure to analyze certain common types of adoption data. It uses them to assess the impact of key socio-economic, bio-physical, and institutional factors on the adoption of integrated pest management, agroforestry, and soil conservation technologies among small farmers in three Central American countries: Costa Rica, Panama, and El Salvador.

The purpose of this study was to examine the impact of situation and outlook information from World Agricultural Supply and Demand Estimates (WASDE) in corn and soybean futures markets over the period 1985 to 2006. Results indicate that WASDE reports containing National Agricultural Statistics Service (NASS) crop production estimates and other domestic and international situation and outlook information have the largest impact; causing return variance on report sessions to be 7.38 times greater than normal return variance in corn futures and 6.87 times greater than normal return variance in soybean futures. WASDE reports limited to international situation information and domestic and international outlook information have a smaller impact. The results show that the impact of WASDE reports has increased over time.

The inclusion of cover crops in cropping systems brings direct and indirect costs and benefits. Farmers will adopt and utilize cover crops as long as the perceived benefit of using them is positive. This paper examines the demographic and management factors affecting the adoption and perceived benefit (in terms of improved crop yield) of using winter annual cover crops. A double selectivity model of cover crop adoption and perceived yield gain was estimated using survey data of Alabama farmers examining cover crop use and management. Results may help in understanding factors shaping farmers' perceptions, adoption, and retention of cover crops.

Conjoint analysis was used to examine buyer preferences toward farm-raised hybrid striped bass at the wholesale, retail, and restaurant levels. Low price and round form were found to be important attributes in the product preference rating for the wholesale and retail markets. The filleted form contributed the most to restaurants' preference rating. Following these, larger fish size was preferred by all markets.

Consumers implicitly incorporate their perceptions of products into their decision processes, yet little research has explicitly focused on how those perceptions influence demand for meat. This study incorporates taste, health, and safety perceptions into a discrete choice experiment for meat products at a grocery store. Our results indicate that taste is the most important perception as a 1-unit increase in the perceived tastiness (on a −5 to +5 scale) of a food product leads to a $0.60 increase in willingness to pay, whereas equivalent increases in perceived health and safety lead to $0.31 and $0.21 increases, respectively.

This study determines the likely effect of cost-share incentives on participation in the Tennessee forest Stewardship Program and identifies other factors that may contribute to participation. A random utility model is used to determine the probability that a landowner will choose to participate in the program. A binary choice model is specified to represent the dichotomous decision and a logit procedure is used to fit the model. Data are obtained from mail surveys of 4,000 randomly selected landowners. Results indicate that attitudes and knowledge of forestry programs may be more influential in a landowner's decision to participate than monetary incentives.

Adoption of conservation tillage can lead to substantial environmental benefits from reduced soil erosion. But benefits may be partially offset if adoption increases reliance on agricultural chemicals. Using area study data from the Cornbelt, this study examines factors affecting adoption of no-till and other conservation tillage systems and their effect on chemical use and corn yield. The results find no evidence that herbicide or fertilizer application rates are higher on fields with conservation tillage systems compared with conventional tillage. However, insecticide use may increase somewhat and yield may be lower. Current demographic trends in U.S. agriculture favor continued diffusion of conservation tillage.

Production functions to explain regional wheat yields have not been studied extensively in the Canadian prairies. The objective of this study is to employ a Just-Pope production function to examine the relationship between fertilizer inputs, soil quality, biodiversity indicators, cultivars qualifying for Plant Breeders' Rights (PBR), and climatic conditions on the mean and variance of spring wheat yields. Using regional-level wheat data from Manitoba, Canada, model results show nitrogen fertilizer, temporal diversity, and PBR wheat cultivars are associated with increased yield variance. Mean wheat yield is reduced by the proportion of land in wheat, the interaction of growing temperature and precipitation, and spatial diversity. By contrast, higher soil quality and PBR wheat cultivars increase mean yield. The wheat yield increases attributed to PBR range from 37.2 (1.4%) to 54.5 kg/ha (2.0%). Plant Breeders' Rights may have enhanced royalties from increased certified seed sales, but the benefits in terms of higher wheat yield or lower yield variability are limited. Future research is required to understand the interactive effects of fertilization practices, genetic diversity, and environmental conditions on regional wheat yield stability.

Conjoint analysis, widely used in marketing research, offers an alternative resource valuation approach suited to outdoor recreation activities characterized as multiattribute. Design, implementation, and interpretation of conjoint analysis are reviewed in the context of recreation applications. Conjoint analysis is used in an analysis of waterfowl hunting in Louisiana. Using primary data collected from a survey of waterfowl hunters, ordered logit is used to estimate willingness-to-pay for recreation experience attributes.

Efficient allocation of water requires knowledge of water's value in both consumptive and nonconsumptive uses. This study estimates the marginal value of water in lake recreational and aesthetic (RA) use. An hedonic price equation (employing the Box-Cox functional form) indicates lake front location, distance to lake, and scenic view are significant RA characteristics of housing. Water front properties command a premium price for the private access they offer. Beyond the water front, the marginal RA price falls rapidly with increasing distance, becoming asymptotic to some minimum. Twenty-two percent of housing price is found to be attributable to the RA component.

Public support for integrated pest management (IPM) is derived in part from concerns over food safety and the environment, yet few studies have assessed the economic value of health and environmental benefits of IPM. An approach is suggested for such an assessment and applied to the Virginia peanut IPM program. Effects of IPM on environmental risks posed by pesticides are assessed and society's willingness to pay to reduce those risks is estimated. The annual environmental benefits of the peanut IPM program are estimated at $844,000. The estimates of pesticide risks and willingness to pay can be applied elsewhere in economic assessments of IPM.

The present article discusses general issues associated with experimental auctions and their relative advantages and disadvantages over other marketing research techniques. Experimental auctions create an active market environment with feedback where subjects exchange real goods and real money, which is not generally the case with other methods. The article also discusses four experimental design issues associated with experimental auctions: auction mechanism, market feedback and bidder affiliation, demand reduction and wealth effects, and multiple attribute valuation. Each of these experimental design issues, if not properly controlled, have the potential to create serious flaws in marketing recommendations.

This paper examines the price discovery function for three U.S. wheat futures markets: the Chicago Board of Trade, Kansas City Board of Trade, and Minneapolis Grain Exchange. The maintained hypothesis is that futures markets search more for information than cash markets to find an equilibrium price, thus greatly improving the price discovery function. The tests reveal the existence of one equilibrium price across the three futures markets in the long run, but no cointegration among prices in the three representative cash markets.

This study estimates the value of policies that would mandate labeling of beef from cattle produced with growth hormones or fed genetically modified corn. At no cost, 85 percent of respondents desired mandatory labeling of beef produced with growth hormones and 64 percent of respondents preferred mandatory labeling of beef fed genetically modified corn. Estimates suggest that consumers would be willing to pay 17.0 percent and 10.6 percent higher prices for beef on average to obtain information provided via mandatory labeling about whether the beef is from cattle produced with growth hormones or fed genetically modified corn, respectively.