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Determining Socially Optimal Nitrogen Application Rates Using A Delayed Response Model: The Case Of Irrigated Corn In Western Kansas

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Author Info

  • Nkonya, Ephraim M.
  • Featherstone, Allen M.

Abstract

Nitrate contamination of groundwater is an important problem. The transport of leached nitrate from the root zone to groundwater takes approximately 30 to 60 years. Many previous studies ignore this time lag by assuming instantaneous contamination. This analysis applies a delayed response model to account for the time lag between nitrogen fertilizer applications to the time the leached nitrate reaches groundwater. Results show that accounting for the leached nitrate externality reduces the nitrogen application rate by 13% and the returns above variable costs by 8% for farmers who apply both nitrogen and phosphorus. For farmers who do not use phosphorus, nitrogen use is reduced by 14% and the returns above variable costs by 22%. The application of phosphorous increased returns by more than 100% and significantly reduced leached nitrate.

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File URL: http://purl.umn.edu/30889
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Bibliographic Info

Article provided by Western Agricultural Economics Association in its journal Journal of Agricultural and Resource Economics.

Volume (Year): 25 (2000)
Issue (Month): 02 (December)
Pages:

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Handle: RePEc:ags:jlaare:30889

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Web page: http://waeaonline.org/
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Related research

Keywords: Crop Production/Industries;

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  1. Conrad, Jon M. & Olson, Lars J., 1990. "The Economics Of A Stock Pollutant: Aldicarb On Long Island," Working Papers 6328, Cornell University, Department of Applied Economics and Management.
  2. Llewelyn, Richard V. & Featherstone, Allen M., 1997. "A comparison of crop production functions using simulated data for irrigated corn in western Kansas," Agricultural Systems, Elsevier, vol. 54(4), pages 521-538, August.
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Cited by:
  1. Baerenklau, Kenneth A. & Nergis, Nermin, 2006. "Controlling Dairy Nitrogen Emissions: A Dynamic Analysis of Herd Adjustment, Ground Water Discharges, and Air Emissions," 2006 Annual meeting, July 23-26, Long Beach, CA 21448, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  2. Schwabe, Kurt A. & Knapp, Keith C., 2005. "Nitrogen as a Capital Input and Stock Pollutant: A Dynamic Analysis of Corn Production and Nitrogen Leaching under Non-Uniform Irrigation," 2005 Annual meeting, July 24-27, Providence, RI 19466, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  3. Baerenklau, Kenneth A. & Nergis, Nermin & Schwabe, Kurt A., 2007. "Effects of Nutrient Restrictions on Confined Animal Facilities: Insights from a Structural Model," 2007 Annual Meeting, July 29-August 1, 2007, Portland, Oregon 10253, Western Agricultural Economics Association.

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