IDEAS home Printed from https://ideas.repec.org/a/ags/joaaec/355379.html
   My bibliography  Save this article

Crop Production Costs, Profits, and Ecosystem Stewardship with Precision Agriculture

Author

Listed:
  • Schimmelpfennig, David

Abstract

Ecosystem stewardship is an important goal of crop production management. The developing question has been the feasibility and profitability of best management practices (BMPs) associated with stewardship goals. Treatment-effects empirical estimates show that soybean crop ecosystem stewardship is likely to benefit from precision agriculture's (PA) information technologies to varying degrees. After accounting for the effect of overhead expenditures on technology adoption, and input costs on operating costs and profits, we show PA technologies also affect at least six BMPs. In one comprehensive framework, PA technologies affect profits, and improve crop production management through BMPs, with benefits for ecosystem stewardship.

Suggested Citation

  • Schimmelpfennig, David, 2017. "Crop Production Costs, Profits, and Ecosystem Stewardship with Precision Agriculture," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 50(1), November.
    • Handle: RePEc:ags:joaaec:355379
    DOI: 10.22004/ag.econ.355379
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/355379/files/crop-production-costs-profits-and-ecosystem-stewardship-with-precision-agriculture.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.355379?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Lambert, Dayton M. & Lowenberg-DeBoer, James & Griffin, Terry W. & Peone, J. & Payne, Tim & Daberkow, Stan G., 2004. "Adoption, Profitability, And Making Better Use Of Precision Farming Data," Staff Papers 28615, Purdue University, Department of Agricultural Economics.
    2. Schimmelpfennig, David, 2016. "Farm Profits and Adoption of Precision Agriculture," Economic Research Report 249773, United States Department of Agriculture, Economic Research Service.
    3. Ribaudo, Marc & Savage, Jeffrey & Aillery, Marcel P., 2014. "An Economic Assessment of Policy Options To Reduce Agricultural Pollutants in the Chesapeake Bay," Economic Research Report 171880, United States Department of Agriculture, Economic Research Service.
    4. Livingston, Michael & Fernandez-Cornejo, Jorge & Unger, Jesse & Osteen, Craig & Schimmelpfennig, David & Park, Tim & Lambert, Dayton, 2015. "The Economics of Glyphosate Resistance Management in Corn and Soybean Production," Economic Research Report 205083, United States Department of Agriculture, Economic Research Service.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Silvia Macchia, 2022. "Unbundling the information needs of new-generation agricultural companies," MANAGEMENT CONTROL, FrancoAngeli Editore, vol. 2022(2 Suppl.), pages 117-141.
    2. Julian M. Alston & Philip G. Pardey, 2020. "Innovation, Growth, and Structural Change in American Agriculture," NBER Chapters, in: The Role of Innovation and Entrepreneurship in Economic Growth, pages 123-165, National Bureau of Economic Research, Inc.
    3. Renda, Andrea & Reynolds, Nicole & Laurer, Moritz & Cohen, Gal, 2019. "Digitising Agrifood: Pathways and Challenges," CEPS Papers 25701, Centre for European Policy Studies.
    4. Boehlje, Michael & Langemeier, Michael, 2022. "Potential Payoffs of Precision Agriculture," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2022.
    5. Calder McCollum & Jason S. Bergtold & Jeffery Williams & Amer Al-Sudani & Elizabeth Canales, 2022. "Perceived Benefit and Cost Perception Gaps between Adopters and Non-Adopters of In-Field Conservation Practices of Agricultural Producers," Sustainability, MDPI, vol. 14(19), pages 1-19, September.
    6. Stefania Troiano & Matteo Carzedda & Francesco Marangon, 2023. "Better richer than environmentally friendly? Describing preferences toward and factors affecting precision agriculture adoption in Italy," Agricultural and Food Economics, Springer;Italian Society of Agricultural Economics (SIDEA), vol. 11(1), pages 1-15, December.
    7. Schimmelpfennig, David & Lowenberg-DeBoer, James, 2020. "Farm types and precision agriculture adoption: crops, regions, soil variability, and farm size," Agri-Tech Economics Papers 304070, Harper Adams University, Land, Farm & Agribusiness Management Department.
    8. Wang, Tong & Jin, Hailong & Sieverding, Heidi & Kumar, Sandeep & Miao, Yuxin & Rao, Xudong & Obembe, Oladipo & Mirzakhani Nafchi, Ali & Redfearn, Daren & Cheye, Stephen, 2023. "Understanding farmer views of precision agriculture profitability in the U.S. Midwest," Ecological Economics, Elsevier, vol. 213(C).
    9. McFadden, Jonathan & Njuki, Eric & Griffin, Terry, 2023. "Precision Agriculture in the Digital Era: Recent Adoption on U.S. Farms," USDA Miscellaneous 333550, United States Department of Agriculture.
    10. Assefa, Yared & Yadav, Sudhir & Mondal, Manoranjan K. & Bhattacharya, Jayanta & Parvin, Rokhsana & Sarker, Shilpi R. & Rahman, Mahabubur & Sutradhar, Asish & Prasad, P.V. Vara & Bhandari, Humnath & Sh, 2021. "Crop diversification in rice-based systems in the polders of Bangladesh: Yield stability, profitability, and associated risk," Agricultural Systems, Elsevier, vol. 187(C).
    11. Wang, Tong & Jin, Hailong & Sieverding, Heidi L. & Rao, Xudong & Miao, Yuxin & Kumar, Sandeep & Redfearn, Daren & Nafchi, Ali, 2022. "Understanding farmer perceptions of precision agriculture profitability in the U.S. Midwest," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322502, Agricultural and Applied Economics Association.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kolady, Deepthi E. & Van Der Sluis, Evert, 2021. "Adoption Determinants of Precision Agriculture Technologies and Conservation Agriculture: Evidence from South Dakota," Western Economics Forum, Western Agricultural Economics Association, vol. 19(2), December.
    2. Dhoubhadel, Sunil P., 2020. "Precision Agriculture Technologies and Farm Profitability," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304229, Agricultural and Applied Economics Association.
    3. Saavoss, Monica & Capehart, Thomas & McBride, William D & Effland, Anne, 2021. "Trends in Production Practices and Costs of the U.S. Corn Sector," Economic Research Report 327190, United States Department of Agriculture, Economic Research Service.
    4. Wang, Tong & Jin, Hailong & Sieverding, Heidi & Kumar, Sandeep & Miao, Yuxin & Rao, Xudong & Obembe, Oladipo & Mirzakhani Nafchi, Ali & Redfearn, Daren & Cheye, Stephen, 2023. "Understanding farmer views of precision agriculture profitability in the U.S. Midwest," Ecological Economics, Elsevier, vol. 213(C).
    5. Wang, Tong & Jin, Hailong & Sieverding, Heidi L. & Rao, Xudong & Miao, Yuxin & Kumar, Sandeep & Redfearn, Daren & Nafchi, Ali, 2022. "Understanding farmer perceptions of precision agriculture profitability in the U.S. Midwest," 2022 Annual Meeting, July 31-August 2, Anaheim, California 322502, Agricultural and Applied Economics Association.
    6. Madhu Khanna, 2021. "Digital Transformation of the Agricultural Sector: Pathways, Drivers and Policy Implications," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 43(4), pages 1221-1242, December.
    7. Mintert, James & Thompson, Nathanael & Widmar, David & Bir, Courtney, 2019. "Precision agriculture technology adoption in U.S. crop production," 22nd Congress, Tasmania, Australia, March 3-8, 2019 345888, International Farm Management Association.
    8. McFadden, Jonathan & Njuki, Eric & Griffin, Terry, 2023. "Precision Agriculture in the Digital Era: Recent Adoption on U.S. Farms," USDA Miscellaneous 333550, United States Department of Agriculture.
    9. Johannes Munz & Heinrich Schuele, 2022. "Influencing the Success of Precision Farming Technology Adoption—A Model-Based Investigation of Economic Success Factors in Small-Scale Agriculture," Agriculture, MDPI, vol. 12(11), pages 1-21, October.
    10. LoPiccalo, Katherine, 2022. "Impact of broadband penetration on U.S. Farm productivity: A panel approach," Telecommunications Policy, Elsevier, vol. 46(9).
    11. Timothy J. Lowe & Paul V. Preckel, 2004. "Decision Technologies for Agribusiness Problems: A Brief Review of Selected Literature and a Call for Research," Manufacturing & Service Operations Management, INFORMS, vol. 6(3), pages 201-208.
    12. Takács-György, Katalin, 2015. "Chemical Use in Crop Production – Can it be Reduced by New Technologies?," Roczniki (Annals), Polish Association of Agricultural Economists and Agribusiness - Stowarzyszenie Ekonomistow Rolnictwa e Agrobiznesu (SERiA), vol. 2015(3), June.
    13. Nathan D. DeLay & Nathanael M. Thompson & James R. Mintert, 2022. "Precision agriculture technology adoption and technical efficiency," Journal of Agricultural Economics, Wiley Blackwell, vol. 73(1), pages 195-219, February.
    14. Khanna, Madhu, 2021. "Digital Transformation for a Sustainable Agriculture: Opportunities and Challenges," 2021 Conference, August 17-31, 2021, Virtual 315052, International Association of Agricultural Economists.
    15. Larson, James A. & Roberts, Roland K. & English, Burton C. & Larkin, Sherry L. & Marra, Michele C. & Martin, Steven W. & Paxton, Kenneth W. & Reeves, Jeanne M., 2007. "Factors Influencing Adoption of Remotely Sensed Imagery for Site-Specific Management in Cotton Production," 2007 Annual Meeting, February 4-7, 2007, Mobile, Alabama 34971, Southern Agricultural Economics Association.
    16. Hrozencik, Aaron & Aillery, Marcel, 2021. "Trends in U.S. Irrigated Agriculture: Increasing Resilience Under Water Supply Scarcity," Economic Information Bulletin 327359, United States Department of Agriculture, Economic Research Service.
    17. Julian M. Alston & Philip G. Pardey, 2020. "Innovation, Growth, and Structural Change in American Agriculture," NBER Chapters, in: The Role of Innovation and Entrepreneurship in Economic Growth, pages 123-165, National Bureau of Economic Research, Inc.
    18. Editors: & Jones, J. & O’Hara, J. K., 2023. "Marginal Abatement Cost Curves for Greenhouse Gas Mitigation on U.S. Farms and Ranches (Updated)," USDA Miscellaneous 349144, United States Department of Agriculture.
    19. Margot Luyckx & Leonie Reins, 2022. "The Future of Farming: The (Non)-Sense of Big Data Predictive Tools for Sustainable EU Agriculture," Sustainability, MDPI, vol. 14(20), pages 1-17, October.
    20. Douglas Gollin & Christopher Udry, 2021. "Heterogeneity, Measurement Error, and Misallocation: Evidence from African Agriculture," Journal of Political Economy, University of Chicago Press, vol. 129(1), pages 1-80.

    More about this item

    Keywords

    Crop Production/Industries;

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ags:joaaec:355379. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: AgEcon Search (email available below). General contact details of provider: https://edirc.repec.org/data/saeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.