IDEAS home Printed from https://ideas.repec.org/a/eee/agisys/v104y2011i8p634-644.html
   My bibliography  Save this article

Adaptive optimization of crop production and nitrogen leaching abatement under yield uncertainty

Author

Listed:
  • Hyytiäinen, Kari
  • Niemi, Jarkko K.
  • Koikkalainen, Kauko
  • Palosuo, Taru
  • Salo, Tapio

Abstract

The study develops a bio-economic crop management model that internalizes the environmental cost of nitrate pollution, accounts for stochastic weather, and includes an option for split fertilization. The integrated model is designed to indicate whether a producer can benefit from applying fertilizer several times during the growing season, in response to crop needs, rather than a single time, at sowing. The model is parameterized for the cultivation of spring malting barley (Hordeum vulgare L.) in Southern Finland. The costs of negative externalities from nitrogen leaching are internalized in the landowner's decision problem through a pollution tax. The results indicate that without a pollution tax a single application of fertilizer gauged to meet the needs of the entire season is optimal. With a tax, the benefits of split application - applying varying amounts of fertilizer at selected stages of the growing season - increase significantly. In comparison to a single application of fertilizer at sowing, split fertilization improves yields, increases the total amount of fertilizer used, and reduces nitrogen leaching.

Suggested Citation

  • Hyytiäinen, Kari & Niemi, Jarkko K. & Koikkalainen, Kauko & Palosuo, Taru & Salo, Tapio, 2011. "Adaptive optimization of crop production and nitrogen leaching abatement under yield uncertainty," Agricultural Systems, Elsevier, vol. 104(8), pages 634-644, October.
    • Handle: RePEc:eee:agisys:v:104:y:2011:i:8:p:634-644
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0308521X11000898
    Download Restriction: Full text for ScienceDirect subscribers only
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Scott L. Johnson & Richard M. Adams & Gregory M. Perry, 1991. "The On-Farm Costs of Reducing Groundwater Pollution," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(4), pages 1063-1073.
    2. Rajsic, Predrag & Weersink, Alfons, 2008. "Do farmers waste fertilizer? A comparison of ex post optimal nitrogen rates and ex ante recommendations by model, site and year," Agricultural Systems, Elsevier, vol. 97(1-2), pages 56-67, April.
    3. Yolanda Martinez & Elena Calvo & Jose Albiac, 2007. "A dynamic analysis of nonpoint pollution control instruments in agriculture," International Journal of Agricultural Resources, Governance and Ecology, Inderscience Enterprises Ltd, vol. 6(1), pages 60-78.
    4. Reidsma, Pytrik & Ewert, Frank & Boogaard, Hendrik & Diepen, Kees van, 2009. "Regional crop modelling in Europe: The impact of climatic conditions and farm characteristics on maize yields," Agricultural Systems, Elsevier, vol. 100(1-3), pages 51-60, April.
    5. Li, MengBo & Yost, R. S., 2000. "Management-oriented modeling: optimizing nitrogen management with artificial intelligence," Agricultural Systems, Elsevier, vol. 65(1), pages 1-27, July.
    6. Predrag Rajsic & Alfons Weersink & Markus Gandorfer, 2009. "Risk and Nitrogen Application Levels," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 57(2), pages 223-239, June.
    7. Steven S. Vickner & Dana L. Hoag & W. Marshall Frasier & James C. Ascough, 1998. "A Dynamic Economic Analysis of Nitrate Leaching in Corn Production under Nonuniform Irrigation Conditions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(2), pages 397-408.
    8. Berntsen, J. & Petersen, B. M. & Jacobsen, B. H. & Olesen, J. E. & Hutchings, N. J., 2003. "Evaluating nitrogen taxation scenarios using the dynamic whole farm simulation model FASSET," Agricultural Systems, Elsevier, vol. 76(3), pages 817-839, June.
    9. Zacharias, Thomas P & Huh, Moo Y & Brandon, D Marlin, 1990. "Information in a Dynamic Management Model: An Application to Plant-Tissue Analysis and Fertilisation Scheduling," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 17(1), pages 85-97.
    10. Meyer-Aurich, Andreas & Weersink, Alfons & Gandorfer, Markus & Wagner, Peter, 2010. "Optimal site-specific fertilization and harvesting strategies with respect to crop yield and quality response to nitrogen," Agricultural Systems, Elsevier, vol. 103(7), pages 478-485, September.
    11. Thorp, K.R. & Batchelor, W.D. & Paz, J.O. & Steward, B.L. & Caragea, P.C., 2006. "Methodology to link production and environmental risks of precision nitrogen management strategies in corn," Agricultural Systems, Elsevier, vol. 89(2-3), pages 272-298, September.
    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. Palosuo, Taru & Hoffmann, Munir P. & Rötter, Reimund P. & Lehtonen, Heikki S., 2021. "Sustainable intensification of crop production under alternative future changes in climate and technology: The case of the North Savo region," Agricultural Systems, Elsevier, vol. 190(C).
    2. Choi, Eseul & DePaula, Guilherme & Kyveryga, Peter & Fey, Suzanne, 2024. "The Trade-off between Yield and Nitrogen Pollution under Excessive Rainfall: Evidence from On-farm Field Experiments in Iowa," ISU General Staff Papers 202402222018560000, Iowa State University, Department of Economics.
    3. Kanthilanka, H. & Ramilan, T. & Farquharson, R.J. & Weerahewa, J., 2023. "Optimal nitrogen fertilizer decisions for rice farming in a cascaded tank system in Sri Lanka: An analysis using an integrated crop, hydro-nutrient and economic model," Agricultural Systems, Elsevier, vol. 207(C).
    4. Lehmann, Niklaus & Finger, Robert & Klein, Tommy & Calanca, Pierluigi & Walter, Achim, 2012. "Adapting Towards Climate Change: A Bioeconomic Analysis of Winterwheat and Grain Maize," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126483, International Association of Agricultural Economists.
    5. Lehmann, Niklaus & Finger, Robert & Klein, Tommy & Calanca, Pierluigi & Walter, Achim, 2013. "Adapting crop management practices to climate change: Modeling optimal solutions at the field scale," Agricultural Systems, Elsevier, vol. 117(C), pages 55-65.
    6. Sihvonen, Matti & Pihlainen, Sampo & Lai, Tin-Yu & Salo, Tapio & Hyytiäinen, Kari, 2021. "Crop production, water pollution, or climate change mitigation—Which drives socially optimal fertilization management most?," Agricultural Systems, Elsevier, vol. 186(C).
    7. Robert, Marion & Thomas, Alban & Bergez, Jacques Eric, 2016. "Processes of adpatation in farm decision-making models. A review," TSE Working Papers 16-731, Toulouse School of Economics (TSE).
    8. Cai, Jianhu & Zhong, Man & Shang, Jennifer & Huang, Weilai, 2017. "Coordinating VMI supply chain under yield uncertainty: Option contract, subsidy contract, and replenishment tactic," International Journal of Production Economics, Elsevier, vol. 185(C), pages 196-210.
    9. Metzker Soares, Paula & Thevenin, Simon & Adulyasak, Yossiri & Dolgui, Alexandre, 2024. "Adaptive robust optimization for lot-sizing under yield uncertainty," European Journal of Operational Research, Elsevier, vol. 313(2), pages 513-526.

    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. Meyer-Aurich, Andreas & Karatay, Yusuf Nadi, 2019. "Effects of uncertainty and farmers' risk aversion on optimal N fertilizer supply in wheat production in Germany," Agricultural Systems, Elsevier, vol. 173(C), pages 130-139.
    2. Ribaudo, Marc O. & Heimlich, Ralph & Claassen, Roger & Peters, Mark, 2001. "Least-cost management of nonpoint source pollution: source reduction versus interception strategies for controlling nitrogen loss in the Mississippi Basin," Ecological Economics, Elsevier, vol. 37(2), pages 183-197, May.
    3. Argento, F. & Liebisch, F. & Anken, T. & Walter, A. & El Benni, N., 2022. "Investigating two solutions to balance revenues and N surplus in Swiss winter wheat," Agricultural Systems, Elsevier, vol. 201(C).
    4. Pedersen, Michael Friis & Gyldengren, Jacob Glerup & Pedersen, Søren Marcus & Diamantopoulos, Efstathios & Gislum, René & Styczen, Merete Elisabeth, 2021. "A simulation of variable rate nitrogen application in winter wheat with soil and sensor information - An economic feasibility study," Agricultural Systems, Elsevier, vol. 192(C).
    5. Richard, Bastien & Bonté, Bruno & Delmas, Magalie & Braud, Isabelle & Cheviron, Bruno & Veyssier, Julien & Barreteau, Olivier, 2022. "A co-simulation approach to study the impact of gravity collective irrigation constraints on plant dynamics in Southern France," Agricultural Water Management, Elsevier, vol. 262(C).
    6. Petsakos, Athanasios & Jayet, Pierre-Alain, 2010. "Evaluating the efficiency of a N-input tax under different policy scenarios at different scales," 120th Seminar, September 2-4, 2010, Chania, Crete 109397, European Association of Agricultural Economists.
    7. Yang, Ziyan, 2015. "A Dynamic Economic Analysis of Nitrogen-Induced Soil Acidification in China," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205112, Agricultural and Applied Economics Association.
    8. Monjardino, M. & McBeath, T. & Ouzman, J. & Llewellyn, R. & Jones, B., 2015. "Farmer risk-aversion limits closure of yield and profit gaps: A study of nitrogen management in the southern Australian wheatbelt," Agricultural Systems, Elsevier, vol. 137(C), pages 108-118.
    9. Chai, Yuan & J. Pannell, David & G. Pardey, Philip, 2023. "Nudging farmers to reduce water pollution from nitrogen fertilizer," Food Policy, Elsevier, vol. 120(C).
    10. Andreas Meyer-Aurich & Yusuf Nadi Karatay, 2022. "Greenhouse Gas Mitigation Costs of Reduced Nitrogen Fertilizer," Agriculture, MDPI, vol. 12(9), pages 1-13, September.
    11. Monjardino, Marta & McBeath, T. & Brennan, Lisa E. & Llewellyn, Rick S., 2012. "Are farmers in low-rainfall cropping regions under-fertilizing? An Australian case-study," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 124976, International Association of Agricultural Economists.
    12. Monjardino, Marta & McBeath, T. & Brennan, Lisa E. & Llewellyn, Rick S., 2012. "Revisiting N fertilisation rates in low-rainfall grain cropping regions of Australia: A risk analysis," 2012 Conference (56th), February 7-10, 2012, Fremantle, Australia 124339, Australian Agricultural and Resource Economics Society.
    13. Chai, Yuan & Pannell, David J. & Pardey, Philip G., 2022. "Reducing Water Pollution from Nitrogen Fertilizer: Revisiting Insights from Production Economics," Staff Papers 320519, University of Minnesota, Department of Applied Economics.
    14. Nordblom, Thomas L. & Hutchings, Timothy R. & Godfrey, Sosheel S. & Schefe, Cassandra R., 2021. "Precision variable rate nitrogen for dryland farming on waterlogging Riverine Plains of Southeast Australia?," Agricultural Systems, Elsevier, vol. 186(C).
    15. Klaus Moeltner & A. Ford Ramsey & Clinton L. Neill, 2021. "Bayesian Kinked Regression with Unobserved Thresholds: An Application to the von Liebig Hypothesis," American Journal of Agricultural Economics, John Wiley & Sons, vol. 103(5), pages 1832-1856, October.
    16. Wei, Yongping & Chen, Deli & Hu, Kelin & Willett, Ian R. & Langford, John, 2009. "Policy incentives for reducing nitrate leaching from intensive agriculture in desert oases of Alxa, Inner Mongolia, China," Agricultural Water Management, Elsevier, vol. 96(7), pages 1114-1119, July.
    17. De Laporte, Aaron & Banger, Kamaljit & Weersink, Alfons & Wagner-Riddle, Claudia & Grant, Brian & Smith, Ward, 2021. "Economic and environmental consequences of nitrogen application rates, timing and methods on corn in Ontario," Agricultural Systems, Elsevier, vol. 188(C).
    18. Asci, Serhat & Borisova, Tatiana & VanSickle, John J., 2015. "Role of economics in developing fertilizer best management practices," Agricultural Water Management, Elsevier, vol. 152(C), pages 251-261.
    19. Alain Ayong Le Kama & Agnès Tomini, 2012. "Water Conservation versus Soil Salinity Control," Working Papers hal-04141151, HAL.
    20. Bergez, J. -E. & Garcia, F. & Lapasse, L., 2004. "A hierarchical partitioning method for optimizing irrigation strategies," Agricultural Systems, Elsevier, vol. 80(3), pages 235-253, June.

    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:eee:agisys:v:104:y:2011:i:8:p:634-644. 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: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/agsy .

    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.