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Microeconomic Effects Of Reduced Yield Variability Cultivars Of Soybeans And Wheat

Published online by Cambridge University Press:  09 September 2016

Carl R. Dillon
Carl R. Dillon*
Affiliation:
Department of Agricultural Economics and Rural Sociology, University of Arkansas, Fayetteville
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Abstract

Economic analysis was conducted on hypothetical agronomic research on new crop cultivars for Arkansas dryland soybean and wheat producers. In relation to farmers' attitudes toward risk, the microeconomic effects and level of adoption of yield variability reducing cultivars were analyzed utilizing a production management decision-making model formulated with mathematical programming techniques. The study indicated that negative covariance between crops continues to be an effective means of reducing production risk associated with yield variability. However, under varying circumstances, agronomic research on the breeding of new soybean and wheat cultivars with reduced yield variability is worthwhile if there is only slight concurrent reduction in expected yields.

Keywords

farm managementrisk analysisyield variabilitymathematical programming
Type
Articles
Information
Journal of Agricultural and Applied Economics , Volume 24 , Issue 1 , July 1992 , pp. 121 - 133
Copyright
Copyright © Southern Agricultural Economics Association 1992

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