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Agricultural Producers' Willingness To Pay For Real-Time Mesoscale Weather Information


  • Kenkel, Philip L.
  • Norris, Patricia E.


Mesoscale weather networks can provide improved weather information to agricultural producers. This technology can potentially improve production decisions, reduce irrigation and pesticide inputs, and reduce weather-related losses. Developing a mesoscale network to disseminate real-time mesoscale weather information requires a substantial investment. In addition, there are costs associated with maintenance of the system and distribution of the information available. While public funds may be available to support initial development of the system, there may be less public support initial development of the system, there may be less public support for maintaining the system and subsidizing users' access to the information. This study uses the contingent valuation technique to determine the willingness of Oklahoma farmers and ranchers, as one set of potential users, to pay for real-time mesoscale weather information. The results indicate that agricultural producers are willing to pay only a modest fee for improved weather information. Gross sales, irrigation, and past weather losses are among the factors shown to significantly impact willingness to pay.

Suggested Citation

  • Kenkel, Philip L. & Norris, Patricia E., 1995. "Agricultural Producers' Willingness To Pay For Real-Time Mesoscale Weather Information," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 20(2), pages 1-17, December.
  • Handle: RePEc:ags:jlaare:30767
    DOI: 10.22004/ag.econ.30767

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    References listed on IDEAS

    1. Brookshire, David S & Coursey, Don L, 1987. "Measuring the Value of a Public Good: An Empirical Comparison of Elicitation Procedures," American Economic Review, American Economic Association, vol. 77(4), pages 554-566, September.
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    1. Larson, James A. & Collins, Rebecca L. & Roberts, Roland K. & English, Burton C., 1999. "Factors Influencing West Tennessee Farmers' Willingness To Pay For A Boll Weevil Eradication Program," 1999 Annual meeting, August 8-11, Nashville, TN 21573, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Brenna Ellison & Nicholas D Paulson & Mykel R Taylor & Glynn T Tonsor & Jonathan Coppess & Gary D Schnitkey, 2017. "Evaluation of Educational Offerings Associated with the 2014 Farm Bill," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 39(4), pages 547-558.
    3. Kim, Seon-Ae & Gillespie, Jeffrey M. & Paudel, Krishna P., 2008. "Rotational grazing adoption in cattle production under a cost-share agreement: does uncertainty have a role in conservation technology adoption?," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 52(3), pages 1-18.
    4. Parcell, Joe L. & Kastens, Terry L. & Dhuyvetter, Kevin C. & Schroeder, Ted C., 2000. "Agricultural Economists' Effectiveness in Reporting and Conveying Research Procedures and Results," Agricultural and Resource Economics Review, Cambridge University Press, vol. 29(2), pages 173-182, October.
    5. James R. Mahan & Robert J. Lascano, 2016. "Irrigation Analysis Based on Long-Term Weather Data," Agriculture, MDPI, Open Access Journal, vol. 6(3), pages 1-16, August.
    6. Samuel D. Zapata & Carlos E. Carpio, 2014. "The theoretical structure of producer willingness to pay estimates," Agricultural Economics, International Association of Agricultural Economists, vol. 45(5), pages 613-623, September.
    7. Zapata, Samuel D. & Carpio, Carlos E. & Isengildina-Massa, Olga & Lamie, R. David, 2013. "The Economic Impact of Services Provided by an Electronic Trade Platform: The Case of MarketMaker," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 38(3), pages 1-20.
    8. Gillespie, Jeffrey M. & Lewis, Darius, 2008. "Processor Willingness to Adopt a Crawfish Peeling Machine: An Application of Technology Adoption under Uncertainty," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 40(1), pages 1-15, April.
    9. Ngugi, Daniel & Mukundu, Denford & Epperson, James E. & Acheampong, Yvonne J., 2003. "Determinants of Household Participation in Rural Development Projects," 2003 Annual Meeting, February 1-5, 2003, Mobile, Alabama 35251, Southern Agricultural Economics Association.
    10. Cohen, Daniel R. & Zilberman, David, 1997. "Actual Versus Stated Willingness To Pay: A Comment," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 22(2), pages 1-6, December.
    11. Zapata, Samuel D. & Carpio, Carlos E., 2014. "Distribution-free Methods for Estimation of Willingness to Pay Models Using Discrete Response Valuation Data," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170453, Agricultural and Applied Economics Association.
    12. Lusk, Jayson L., 2016. "From Farm Income to Food Consumption: Valuing USDA Data Products," C-FARE Reports 266593, Council on Food, Agricultural, and Resource Economics (C-FARE).
    13. Senakpon, Kokoye, 2017. "Farmers’ Willingness To Pay For Soil Testing Service In Northern Haiti," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 252804, Southern Agricultural Economics Association.

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