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Program And Nonprogram Wheat Acreage Responses To Prices And Risk

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  • Krause, Mark A.
  • Lee, Jung-Hee
  • Koo, Won W.

Abstract

Wheat acreage responses to expected wheat price and price risk are reversed for program and nonprogram-planted acreage in the northern plains, central plains, southern plains, and U.S. Expected wheat price has a strong negative effect on program-complying wheat acreage. Government support prices have a positive effect on program-complying and program-planted acreage. Price risk has a positive effect on program-complying wheat acreage and a negative effect on nonprogram-planted acreage. Estimated price elasticities are higher than in studies where risk was ignored.

Suggested Citation

  • Krause, Mark A. & Lee, Jung-Hee & Koo, Won W., 1995. "Program And Nonprogram Wheat Acreage Responses To Prices And Risk," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(1), pages 1-12, July.
    • Handle: RePEc:ags:jlaare:30930
    DOI: 10.22004/ag.econ.30930
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    References listed on IDEAS

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    1. Houck, James P., 1976. "Analyzing the Impact of Government Programs on Crop Acreage," Technical Bulletins 158119, United States Department of Agriculture, Economic Research Service.
    2. B. Wade Brorsen & Jean-Paul Chavas & Warren R. Grant, 1987. "A Market Equilibrium Analysis of the Impact of Risk on the U.S. Rice Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 69(4), pages 733-739.
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    6. Chembezi, Duncan M. & Womack, Abner W., 1992. "Regional Acreage Response For U.S. Corn And Wheat: The Effects Of Government Programs," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 24(1), pages 1-12, July.
    7. Chembezi, Duncan M. & Womack, Abner W., 1992. "Regional Acreage Response For U.S. Corn and Wheat: The Effects Of Government Programs," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 24(1), pages 187-198, July.
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    Cited by:

    1. Holt, Matthew T., 1999. "A Linear Approximate Acreage Allocation Model," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 24(2), pages 1-15, December.
    2. Krause, Mark A. & Koo, Won W., 1996. "Acreage Responses To Expected Revenues And Price Risk For Minor Oilseeds And Program Crops In The Northern Plains," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 21(2), pages 1-16, December.
    3. Shengying Zhai & Qihui Chen & Wenxin Wang, 2019. "What Drives Green Fodder Supply in China?—A Nerlovian Analysis with LASSO Variable Selection," Sustainability, MDPI, vol. 11(23), pages 1-17, November.
    4. Alfons Weersink & Juan H. Cabas & Edward Olale, 2010. "Acreage Response to Weather, Yield, and Price," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 58(1), pages 57-72, March.

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