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The Microeconomic Impact of IPM Adoption: Theory and Application

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  • Fernandez-Cornejo, Jorge

Abstract

This paper develops a methodology to calculate the impact of integrated pest management (IPM) on pesticide use, yields, and farm profits. The methodology is applied to the IPM adoption among fresh market tomato producers in eight states. The method is of general applicability. It accounts for self-selectivity and simultaneity, and the pesticide demand and yield equations are theoretically consistent with a profit function. The results support the notion that fresh market tomato growers who adopt IPM for insects and diseases apply significantly less insecticides and fungicides, respectively, than do those who do not adopt IPM; IPM adoption has an insignificant effect on yields and a small effect on profits.

Suggested Citation

  • Fernandez-Cornejo, Jorge, 1996. "The Microeconomic Impact of IPM Adoption: Theory and Application," Agricultural and Resource Economics Review, Cambridge University Press, vol. 25(2), pages 149-160, October.
  • Handle: RePEc:cup:agrerw:v:25:y:1996:i:02:p:149-160_00
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    1. Owusu, Victor & Kakraba, Isaac, 2015. "Examining Self-Selection and the Impacts of Integrated Pest Management Adoption on Yield and Gross Margin: Evidence from Ghana," 2015 Conference, August 9-14, 2015, Milan, Italy 212606, International Association of Agricultural Economists.
    2. Abhijit Sharma & Alastair Bailey & Iain Fraser, 2011. "Technology Adoption and Pest Control Strategies Among UK Cereal Farmers: Evidence from Parametric and Nonparametric Count Data Models," Journal of Agricultural Economics, Wiley Blackwell, vol. 62(1), pages 73-92, February.
    3. Codron, Jean-Marie & Adanacioğlu, Hakan & Aubert, Magali & Bouhsina, Zouhair & El Mekki, Abdelkader Ait & Rousset, Sylvain & Tozanli, Selma & Yercan, Murat, 2014. "The role of market forces and food safety institutions in the adoption of sustainable farming practices: The case of the fresh tomato export sector in Morocco and Turkey," Food Policy, Elsevier, vol. 49(P1), pages 268-280.
    4. Richard, Jenniffer Mueni, 2017. "An Assessment Of Determinants Of Farmers’ Choice Of Dairy Goat Marketing Channels In Meru County, Kenya," Research Theses 276442, Collaborative Masters Program in Agricultural and Applied Economics.
    5. Ali, Akhter & Hussain, Imtiaz & Rahut, Dil Bahadur & Erenstein, Olaf, 2018. "Laser-land leveling adoption and its impact on water use, crop yields and household income: Empirical evidence from the rice-wheat system of Pakistan Punjab," Food Policy, Elsevier, vol. 77(C), pages 19-32.
    6. Féménia, Fabienne & Letort, Elodie, 2016. "How to achieve significant reduction in pesticide use? An empirical evaluation of the impacts of pesticide taxation associated to a change in cropping practice," Working Papers 233482, Institut National de la recherche Agronomique (INRA), Departement Sciences Sociales, Agriculture et Alimentation, Espace et Environnement (SAE2).
    7. Korir, Josphat Kiplang’at & Ritho, Cecilia & Irungu, Patrick & Affognon, Hippolyte, 2016. "Factors Influencing Intensity Of Adoption Of Integrated Pest Management Package And Pesticide Misuse In The Control Of Mango Fruit Fly In Embu East Sub-County, Kenya," Dissertations and Theses 271765, University of Nairobi, Department of Agricultural Economics.
    8. Aubert, Magali & Enjolras, Geoffroy, 2015. "Do short food supply chains go hand in hand with environment-friendly practices?," 2015 Conference, August 9-14, 2015, Milan, Italy 211623, International Association of Agricultural Economists.
    9. Li, Jie & Gómez, Miguel I. & Rickard, Bradley J. & Skinner, Margaret, 2013. "Factors Influencing Adoption of Integrated Pest Management in Northeast Greenhouse and Nursery Production," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 42(2), pages 1-15, August.
    10. Bagi, Faqir Singh & Reeder, Richard J., 2012. "Factors Affecting Farmer Participation in Agritourism," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 41(2), pages 1-11, August.
    11. Dirksmeyer, W., 2008. "Ist eine Reduzierung des Pflanzenschutzmitteleinsatzes im Freilandgemüsebau möglich? Ergebnisse eines bioökonomischen Simulationsmodells," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 43, March.
    12. Femenia, Fabienne & Letort, Elodie, 2016. "How to significantly reduce pesticide use: An empirical evaluation of the impacts of pesticide taxation associated with a change in cropping practice," Ecological Economics, Elsevier, vol. 125(C), pages 27-37.
    13. Curtiss, Jarmila & Jelinek, Ladislav, 2012. "Cost Efficiency and Farm Self-selection in Precision Farming: The Case of Czech Wheat Production," 131st Seminar, September 18-19, 2012, Prague, Czech Republic 135784, European Association of Agricultural Economists.
    14. Carlberg, Eric & Kostandini, Genti & Dankyi, Awere, 2014. "The Effects of Integrated Pest Management Techniques Farmer Field Schools on Groundnut Productivity: Evidence from Ghana," Quarterly Journal of International Agriculture, Humboldt-Universitaat zu Berlin, vol. 53(1), pages 1-16, February.
    15. Korir, Josphat Kiplang'at, 2016. "Factors Influencing Intensity Of Adoption Of Integrated Pest Management Package And Pesticide Misuse In The Control Of Mango Fruit Fly In Embu East Sub-County, Kenya," Research Theses 276445, Collaborative Masters Program in Agricultural and Applied Economics.
    16. Teklewold, Hailemariam & Kassie, Menale & Shiferaw, Bekele & Köhlin, Gunnar, 2013. "Cropping system diversification, conservation tillage and modern seed adoption in Ethiopia: Impacts on household income, agrochemical use and demand for labor," Ecological Economics, Elsevier, vol. 93(C), pages 85-93.
    17. Fernandez-Cornejo, Jorge, 1998. "Environmental and economic consequences of technology adoption: IPM in viticulture," Agricultural Economics, Blackwell, vol. 18(2), pages 145-155, March.
    18. Onyenweaku, C.E & Okoye, B.C & Okorie, K.C, 2007. "Determinants of Fertilizer Adoption by Rice Farmers in Bende Local Government Area of Abia State, Nigeria," MPRA Paper 26116, University Library of Munich, Germany.

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