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Simulated Ecosystem and Farm-Level Economic Impacts of Conservation Tillage in a Northeastern Iowa County

Author

Listed:
  • Edward Osei

    (Department of Agriculture Education and Communication, Tarleton State University, Stephenville, TX 76402, USA)

  • Syed H. Jafri

    (Department of Accounting, Finance and Economics, Tarleton State University, Stephenville, TX 76402, USA)

  • Philip W. Gassman

    (Center for Agricultural and Rural Development, Iowa State University, Ames, IA 50011, USA)

  • Ali Saleh

    (Texas Institute for Applied Environmental Research, Tarleton State University, Stephenville, TX 76402, USA)

Abstract

While the ecological benefits of no-till are largely indisputable, the economic impacts are less certain, and the latter may be partly to blame for lower-than-expected adoption of no-till. In this study, we contribute to a better understanding of the ecosystem and farm-level economic impacts of no-till, with Buchanan County in the northeastern region of the U.S. State of Iowa as the backdrop due to previously established data and model validation efforts in that region. Using the Agricultural Policy Environmental eXtender (APEX) and Farm Economic Model (FEM), we simulated two tillage scenarios—a conservation tillage baseline and no-till—for continuous corn and corn–soybean rotations in Buchanan County using gridded historical climate data. We find that no-till provides clear ecosystem benefits, except that soluble nutrient losses might actually rise. We also find that under current commodity prices for corn and soybeans, no-till is not as profitable as the conservation tillage baseline. For no-till to be at least as profitable as the baseline under current commodity prices, the yield penalty associated with no-till cannot be higher than 1.5% for corn and 0.8% for soybeans, or similar combinations that entail a revenue penalty of about $24,000 for an 809-hectare continuous corn or corn–soybean operation. Given the simulated yield penalties associated with no-till, corn and soybean prices would have to be substantially lower in order for no-till to break even. Consequently, incentives for conservation practice implementation may need to be tied to commodity prices and yield penalties in order to elicit greater adoption rates.

Suggested Citation

  • Edward Osei & Syed H. Jafri & Philip W. Gassman & Ali Saleh, 2023. "Simulated Ecosystem and Farm-Level Economic Impacts of Conservation Tillage in a Northeastern Iowa County," Agriculture, MDPI, vol. 13(4), pages 1-22, April.
    • Handle: RePEc:gam:jagris:v:13:y:2023:i:4:p:891-:d:1126569
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    References listed on IDEAS

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    1. Tadesse, Haile K. & Moriasi, Daniel N. & Gowda, Prasanna H. & Marek, Gary & Steiner, Jean L. & Brauer, David & Talebizadeh, Mansour & Nelson, Amanda & Starks, Patrick, 2018. "Evaluating evapotranspiration estimation methods in APEX model for dryland cropping systems in a semi-arid region," Agricultural Water Management, Elsevier, vol. 206(C), pages 217-228.
    2. Kamruzzaman, Mohammad & Hwang, Syewoon & Choi, Soon-Kun & Cho, Jaepil & Song, Inhong & Jeong, Hanseok & Song, Jung-Hun & Jang, Teail & Yoo, Seung-Hwan, 2020. "Prediction of the effects of management practices on discharge and mineral nitrogen yield from paddy fields under future climate using APEX-paddy model," Agricultural Water Management, Elsevier, vol. 241(C).
    3. Timlin, Dennis & Chun, Jong Ahn & Meisinger, John & Kang, Kwangmin & Fleisher, David & Staver, Ken & Doherty, Craig & Russ, Andrew, 2019. "Evaluation of the agricultural policy environmental extender (APEX) for the Chesapeake Bay watershed," Agricultural Water Management, Elsevier, vol. 221(C), pages 477-485.
    4. Lattz, Dale & Schnitkey, Gary, 2021. "Machinery Cost Estimates for 2021," farmdoc daily, University of Illinois at Urbana-Champaign, Department of Agricultural and Consumer Economics, vol. 11(143), October.
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    6. Edward Osei & Syed H. Jafri & Philip W. Gassman & Ali Saleh & Oscar Gallego, 2023. "Climate Change Impacts on Surface Runoff and Nutrient and Sediment Losses in Buchanan County, Iowa," Agriculture, MDPI, vol. 13(2), pages 1-21, February.
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    Cited by:

    1. Ramazan Çakmakçı & Mehmet Ali Salık & Songül Çakmakçı, 2023. "Assessment and Principles of Environmentally Sustainable Food and Agriculture Systems," Agriculture, MDPI, vol. 13(5), pages 1-27, May.

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