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Adaptive optimization of crop production and nitrogen leaching abatement under yield uncertainty

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  • Hyytiäinen, Kari
  • Niemi, Jarkko K.
  • Koikkalainen, Kauko
  • Palosuo, Taru
  • Salo, Tapio
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    Abstract

    The study develops a bio-economic crop management model that internalizes the environmental cost of nitrate pollution, accounts for stochastic weather, and includes an option for split fertilization. The integrated model is designed to indicate whether a producer can benefit from applying fertilizer several times during the growing season, in response to crop needs, rather than a single time, at sowing. The model is parameterized for the cultivation of spring malting barley (Hordeum vulgare L.) in Southern Finland. The costs of negative externalities from nitrogen leaching are internalized in the landowner's decision problem through a pollution tax. The results indicate that without a pollution tax a single application of fertilizer gauged to meet the needs of the entire season is optimal. With a tax, the benefits of split application - applying varying amounts of fertilizer at selected stages of the growing season - increase significantly. In comparison to a single application of fertilizer at sowing, split fertilization improves yields, increases the total amount of fertilizer used, and reduces nitrogen leaching.

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    Bibliographic Info

    Article provided by Elsevier in its journal Agricultural Systems.

    Volume (Year): 104 (2011)
    Issue (Month): 8 (October)
    Pages: 634-644

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    Handle: RePEc:eee:agisys:v:104:y:2011:i:8:p:634-644

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    Web page: http://www.elsevier.com/locate/agsy

    Related research

    Keywords: Fertilization Nitrogen Leaching Pollution tax Stochastic dynamic programming;

    References

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    1. Predrag Rajsic & Alfons Weersink & Markus Gandorfer, 2009. "Risk and Nitrogen Application Levels," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 57(2), pages 223-239, 06.
    2. Yolanda Martinez & Elena Calvo & Jose Albiac, 2007. "A dynamic analysis of nonpoint pollution control instruments in agriculture," International Journal of Agricultural Resources, Governance and Ecology, Inderscience Enterprises Ltd, vol. 6(1), pages 60-78.
    3. Reidsma, Pytrik & Ewert, Frank & Boogaard, Hendrik & Diepen, Kees van, 2009. "Regional crop modelling in Europe: The impact of climatic conditions and farm characteristics on maize yields," Agricultural Systems, Elsevier, vol. 100(1-3), pages 51-60, April.
    4. Rajsic, Predrag & Weersink, Alfons, 2008. "Do farmers waste fertilizer? A comparison of ex post optimal nitrogen rates and ex ante recommendations by model, site and year," Agricultural Systems, Elsevier, vol. 97(1-2), pages 56-67, April.
    5. Zacharias, Thomas P & Huh, Moo Y & Brandon, D Marlin, 1990. "Information in a Dynamic Management Model: An Application to Plant-Tissue Analysis and Fertilisation Scheduling," European Review of Agricultural Economics, Foundation for the European Review of Agricultural Economics, vol. 17(1), pages 85-97.
    6. Steven S. Vickner & Dana L. Hoag & W. Marshall Frasier & James C. Ascough, 1998. "A Dynamic Economic Analysis of Nitrate Leaching in Corn Production under Nonuniform Irrigation Conditions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(2), pages 397-408.
    7. Thorp, K.R. & Batchelor, W.D. & Paz, J.O. & Steward, B.L. & Caragea, P.C., 2006. "Methodology to link production and environmental risks of precision nitrogen management strategies in corn," Agricultural Systems, Elsevier, vol. 89(2-3), pages 272-298, September.
    8. Meyer-Aurich, Andreas & Weersink, Alfons & Gandorfer, Markus & Wagner, Peter, 2010. "Optimal site-specific fertilization and harvesting strategies with respect to crop yield and quality response to nitrogen," Agricultural Systems, Elsevier, vol. 103(7), pages 478-485, September.
    9. Li, MengBo & Yost, R. S., 2000. "Management-oriented modeling: optimizing nitrogen management with artificial intelligence," Agricultural Systems, Elsevier, vol. 65(1), pages 1-27, July.
    10. Berntsen, J. & Petersen, B. M. & Jacobsen, B. H. & Olesen, J. E. & Hutchings, N. J., 2003. "Evaluating nitrogen taxation scenarios using the dynamic whole farm simulation model FASSET," Agricultural Systems, Elsevier, vol. 76(3), pages 817-839, June.
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    Cited by:
    1. Lehmann, Niklaus & Finger, Robert & Klein, Tommy & Calanca, Pierluigi & Walter, Achim, 2013. "Adapting crop management practices to climate change: Modeling optimal solutions at the field scale," Agricultural Systems, Elsevier, vol. 117(C), pages 55-65.
    2. Lehmann, Niklaus & Finger, Robert & Klein, Tommy & Calanca, Pierluigi & Walter, Achim, 2012. "Adapting Towards Climate Change: A Bioeconomic Analysis of Winterwheat and Grain Maize," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126483, International Association of Agricultural Economists.

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