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A Stochastic Frontier Analysis to Examine Research Priorities for Genetically Engineered Peanuts

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  • Affuso, Ermanno
  • Hite, Diane
  • Wilson, Norbert W.L.

Abstract

Pesticide applications are essential for peanut production to control insects, weeds, and other plant pathogens and for a profitable operation. We use a stochastic frontier analysis/primal system approach to test the hypothesis of the overuse of fungicides among peanut farmers. With nationally representative data available from the Agricultural and Resource Management Survey, we find evidence that U.S. peanut growers used excessive amounts of fungicides to prevent fungal infections. If those farmers adopt a new cultivar resistant to fungal pathogens, they could reduce the total cost of chemicals up to 36.2%. The reduction in fungicide use would have spillover environmental benefits.

Suggested Citation

  • Affuso, Ermanno & Hite, Diane & Wilson, Norbert W.L., 2015. "A Stochastic Frontier Analysis to Examine Research Priorities for Genetically Engineered Peanuts," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 47(3), May.
    • Handle: RePEc:ags:joaaec:349013
    DOI: 10.22004/ag.econ.349013
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    1. Fernandez-Cornejo, Jorge & Nehring, Richard & Osteen, Craig & Wechsler, Seth James & Martin, Andrew & Vialou, Alex, 2014. "Pesticide Use in U.S. Agriculture: 21 Selected Crops, 1960-2008," Economic Information Bulletin 178462, United States Department of Agriculture, Economic Research Service.
    2. Fernandez-Cornejo, Jorge & Caswell, Margriet, 2006. "The First Decade of Genetically Engineered Crops in the USA," Economic Information Bulletin 33897, United States Department of Agriculture, Economic Research Service.
    3. Price, Gregory K. & Lin, William W. & Falck-Zepeda, Jose Benjamin & Fernandez-Cornejo, Jorge, 2003. "Size And Distribution Of Market Benefits From Adopting Biotech Crops," Technical Bulletins 33562, United States Department of Agriculture, Economic Research Service.
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