IDEAS home Printed from https://ideas.repec.org/a/ags/wjagec/32277.html
   My bibliography  Save this article

Fertilizer Demand Functions For Specific Nutrients Applied To Three Major U.S. Crops

Author

Listed:
  • Roberts, Roland K.
  • Heady, Earl O.

Abstract

Several past studies used time series data to estimate price elasticities of demand for fertilizer or nutrient use on all crops in the United States or by region. In this study, demand functions for nitrogen, phosphorous and potassium applied per acre of corn, wheat and soybeans in the United States were estimated, using a combination of autoregressive least squares and seemingly unrelated regression techniques. The results suggest that the demands for nitrogen, phosphorous and potassium applied to corn are price elastic, while similar responses for wheat and soybeans are price inelastic. Nitrogen and phosphorous applied per acre of corn were found to be positively related to government sponsored acreage diversion. The estimated elasticities could provide policymakers with insight for developing fertilizer and crop policies.

Suggested Citation

  • Roberts, Roland K. & Heady, Earl O., 1982. "Fertilizer Demand Functions For Specific Nutrients Applied To Three Major U.S. Crops," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 7(2), pages 1-14, December.
    • Handle: RePEc:ags:wjagec:32277
    DOI: 10.22004/ag.econ.32277
    as

    Download full text from publisher

    File URL: https://ageconsearch.umn.edu/record/32277/files/07020265.pdf
    Download Restriction: no
    File URL: https://libkey.io/10.22004/ag.econ.32277?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
    ---><---

    References listed on IDEAS

    as
    1. Stoecker, Arthur Louis, 1974. "A quadratic programming model of United States agriculture in 1980: theory and application," ISU General Staff Papers 197401010800007309, Iowa State University, Department of Economics.
    2. Earl O. Heady & Martin H. Yeh, 1959. "National and Regional Demand Functions for Fertilizer," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 41(2), pages 332-348.
    3. Carman, Hoy F., 1979. "The Demand For Nitrogen, Phosphorous And Potash Fertilizer Nutrients In The Western United States," Western Journal of Agricultural Economics, Western Agricultural Economics Association, vol. 4(1), pages 1-10, July.
    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. Williamson, James M., 2010. "Does Information Matter? Assessing the Role of Information and Prices in the Nitrogen Fertilizer Management Decision," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 60892, Agricultural and Applied Economics Association.
    2. Kim, C.S. & Hallahan, Charles B. & Taylor, Harold & Schluter, Gerald E., 2002. "Market Power And Cost-Efficiency Effects Of The Market Concentration In The U.S. Nitrogen Fertilizer Industry," 2002 Annual meeting, July 28-31, Long Beach, CA 19674, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. Denbaly, Mark & Vroomen, Harry, 1991. "Elasticities of Fertilizer Demands for Corn in the Short and the Long Run: A Cointegrated and Error-Correcting System," Staff Reports 278575, United States Department of Agriculture, Economic Research Service.
    4. Williamson, James M., 2011. "The Role of Information and Prices in the Nitrogen Fertilizer Management Decision: New Evidence from the Agricultural Resource Management Survey," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(3), pages 1-21.
    5. Roberts, Roland K. & Garrod, Peter V., 1987. "Demand For Plant Nutrients In Tennessee Disaggregated By Mixed Fertilizers And Direct Application Materials," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 19(2), pages 1-7, December.
    6. B. A. Larson & H. Vroomen, 1991. "Nitrogen, Phosphorus And Land Demands At The Us Regional Level: A Primal Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 42(3), pages 354-364, September.
    7. Onianwa, Odili & Alderfer, Richard & Levins, Richard A., 1992. "Taxation As A Means Of Reducing Nitrogen Fertilizer Use In Minnesota Corn Production," Staff Papers 13281, University of Minnesota, Department of Applied Economics.
    8. Acheampong, Kwame & Dicks, Michael R., 2012. "Fertilizer Demand for Biofuel and Cereal crop Production in the United States," 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama 119798, Southern Agricultural Economics Association.
    9. Gyawu, Emanuel A. & Jones, Larry D. & Debertin, David L. & Pagoulatos, A., 1984. "An Ecouometric Model Of The Nitrogen Fertilizer Industry In The United States," 1984 Annual Meeting, August 5-8, Ithaca, New York 279074, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    10. Borisova, Tatiana & Shortle, James S. & Horan, Richard D. & Abler, David G., 2003. "The Value Of Ecological And Economic Information In Water Quality Management," 2003 Annual meeting, July 27-30, Montreal, Canada 22180, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Mahmuda Nasrin & Pooja Vortia & Shakila Salam & Md. Salauddin Palash, 2022. "Is fertilizer demand elastic to its own price? Assessing the consequences of fertilizer subsidy policy in Bangladesh," SN Business & Economics, Springer, vol. 2(8), pages 1-15, August.
    12. Roberts, Roland K., 1986. "Plant Nutrient Demand Functions For Tennessee With Prices Of Jointly Applied Nutrients," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 18(2), pages 1-6, December.

    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. Denbaly, Mark & Vroomen, Harry, 1991. "Elasticities of Fertilizer Demands for Corn in the Short and the Long Run: A Cointegrated and Error-Correcting System," Staff Reports 278575, United States Department of Agriculture, Economic Research Service.
    2. Roberts, Roland K. & Garrod, Peter V., 1987. "Demand For Plant Nutrients In Tennessee Disaggregated By Mixed Fertilizers And Direct Application Materials," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 19(2), pages 1-7, December.
    3. Williamson, James M., 2011. "The Role of Information and Prices in the Nitrogen Fertilizer Management Decision: New Evidence from the Agricultural Resource Management Survey," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 36(3), pages 1-21.
    4. Radchenko, Tatiana (Радченко, Татьяна) & Shastitko, Andreitko (Шаститко, Андрей), 2015. "Microeconomic Theory of Regulation: Applied Aspects [Микроэкономическая Теория Регулирования: Прикладные Аспекты]," Published Papers mn40, Russian Presidential Academy of National Economy and Public Administration.
    5. Cloé Garnache & Scott M. Swinton & Joseph A. Herriges & Frank Lupi & R. Jan Stevenson, 2016. "Solving the Phosphorus Pollution Puzzle: Synthesis and Directions for Future Research," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 98(5), pages 1334-1359.
    6. Gunjal, Kisan R. & Roberts, Roland K. & Heady, Earl O., 1980. "Fertilizer Demand Functions For Five Crops In The United States," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 12(2), pages 1-6, December.
    7. Shuyi Wang & Zhenhua Wu & Baochen Yang, 2018. "Decision and Performance Analysis of a Price-Setting Manufacturer with Options under a Flexible-Cap Emission Trading Scheme (ETS)," Sustainability, MDPI, vol. 10(10), pages 1-22, October.
    8. Teague, Paul W. & Ziemer, Rod F. & Musser, Wesley N., 1982. "Agricultural Input Use And Irrigation In Texas," 1982 Annual Meeting, August 1-4, Logan, Utah 279224, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    9. Acheampong, Kwame & Dicks, Michael R., 2012. "Fertilizer Demand for Biofuel and Cereal crop Production in the United States," 2012 Annual Meeting, February 4-7, 2012, Birmingham, Alabama 119798, Southern Agricultural Economics Association.
    10. Gyawu, Emanuel A. & Jones, Larry D. & Debertin, David L. & Pagoulatos, A., 1984. "An Ecouometric Model Of The Nitrogen Fertilizer Industry In The United States," 1984 Annual Meeting, August 5-8, Ithaca, New York 279074, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Chr. R. Weiss, 1992. "The Effect Of Price Reduction And Direct Income Support Policies On Agricultural Input Markets In Austria," Journal of Agricultural Economics, Wiley Blackwell, vol. 43(1), pages 1-13, January.
    12. Heady, Earl O. & Nagadevara, Vishnuprasad & Nicol, Kenneth J., 1976. "National Markets And The Impacts Of State Land Use And Environmental Programs," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 8(1), pages 1-7, December.
    13. Abebe, Kassahun & Olson, Kent D. & Dahl, Dale C., 1989. "The Demand For Fertilizer," Staff Papers 13964, University of Minnesota, Department of Applied Economics.
    14. Williamson, James M., 2010. "Does Information Matter? Assessing the Role of Information and Prices in the Nitrogen Fertilizer Management Decision," 2010 Annual Meeting, July 25-27, 2010, Denver, Colorado 60892, Agricultural and Applied Economics Association.
    15. Abebe, Kassahun & Dahl, Dale C. & Olson, Kent D., 1990. "How Good Are Input Demand Models Used In Previous Studies Now?," Staff Papers 13587, University of Minnesota, Department of Applied Economics.
    16. Naseem, Anwar & Kelly, Valerie A., 1999. "Macro Trends and Determinates of Fertilizer Use in Sub-Saharan Africa," Food Security International Development Working Papers 54671, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    17. Karolynn Siegel & Peter Tuckel, 1985. "The Utilization of Evaluation Research," Evaluation Review, , vol. 9(3), pages 307-328, June.
    18. Bayri, T. & Rosaasen, K.A. & Furtan, W.H., 1986. "Limit Pricing In The Nitrogen Fertilizer Market: An Application To The Saskatche'Wan Market," 1986 Annual Meeting, July 27-30, Reno, Nevada 278493, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    19. B. A. Larson & H. Vroomen, 1991. "Nitrogen, Phosphorus And Land Demands At The Us Regional Level: A Primal Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 42(3), pages 354-364, September.
    20. Dote, Grace, 1982. "Economic Research Of Interest To Agriculture, 1979-1981," Economic Research of Interest to Agriculture 7291, University of California, Berkeley, Department of Agricultural and Resource Economics.

    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:wjagec:32277. 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/waeaaea.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.