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Optimal grid size for site‐specific nutrient application

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  • Brian E. Mills
  • B. Wade Brorsen
  • Davood Poursina
  • D. Brian Arnall

Abstract

This article develops a theoretical framework to determine the economically optimal grid size when sampling to guide precision application of inputs. Our theoretical model shows that a finer grid is optimal with increases in output price. A coarser grid is optimal with increased sampling costs and increased spatial correlation. With an exponential variogram, for example, the optimal grid size increases as the range increases. An applied example of lime application for winter wheat is used to demonstrate the framework. Spatial variograms for pH and Buffer pH were estimated using data from nine farmer fields. At the average spatial variability from these fields and using typical Oklahoma wheat yields of 40 bu/ac, grid sampling was economical when prices were above $5.43/bu. The optimal grid sizes were slightly larger than the 2.5‐acre sizes that are typically used by producers. The empirical example verified the theory in that it found that optimal grid size decreased with higher output prices and crop yields and increased with greater spatial correlation. For example, optimal grid size approximately doubled as the range of the exponential correlation function doubled.

Suggested Citation

  • Brian E. Mills & B. Wade Brorsen & Davood Poursina & D. Brian Arnall, 2023. "Optimal grid size for site‐specific nutrient application," Agricultural Economics, International Association of Agricultural Economists, vol. 54(6), pages 854-866, November.
  • Handle: RePEc:bla:agecon:v:54:y:2023:i:6:p:854-866
    DOI: 10.1111/agec.12802
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    References listed on IDEAS

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    1. Queiroz, Pedro W. V. & Perrin, Richard K. & Fulginiti, Lilyan E. & Bullock, David S., 2023. "An Expected Value of Sample Information (EVSI) Approach for Estimating the Payoff from a Variable Rate Technology," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 48(1), January.
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    3. Luc Anselin & Rodolfo Bongiovanni & Jess Lowenberg-DeBoer, 2004. "A Spatial Econometric Approach to the Economics of Site-Specific Nitrogen Management in Corn Production," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(3), pages 675-687.
    4. 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.
    5. Eunchun Park & B Wade Brorsen & Ardian Harri, 2019. "Using Bayesian Kriging for Spatial Smoothing in Crop Insurance Rating," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 101(1), pages 330-351.
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