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Risk Analysis of Tillage Alternatives with Government Programs


  • Jeffery R. Williams
  • Richard V. Llewelyn
  • G. Art Barnaby


Stochastic dominance analysis of two tillage systems, conventional tillage and no-tillage, for five crop rotations, wheat-fallow, grain sorghum-fallow, continuous wheat, continuous grain sorghum, and wheat-grain sorghum-fallow, shows that risk-averse managers prefer a conventional tillage wheat-sorghum-fallow system. Small changes in production costs or yields lead to indifference between this system and the no-tillage wheat-sorghum-fallow and no-till and conventional wheat-fallow systems. Participation in the basic government commodity program generally increases average net returns and lowers variation of returns. Government commodity program payments calculated under a variety of scenarios do not generally encourage the use of no-till practices for grain sorghum and wheat in the central Great Plains.

Suggested Citation

  • Jeffery R. Williams & Richard V. Llewelyn & G. Art Barnaby, 1990. "Risk Analysis of Tillage Alternatives with Government Programs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 72(1), pages 172-181.
  • Handle: RePEc:oup:ajagec:v:72:y:1990:i:1:p:172-181.

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    Cited by:

    1. JunJie Wu & Bruce A. Babcock, 1998. "The Choice of Tillage, Rotation, and Soil Testing Practices: Economic and Environmental Implications," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 80(3), pages 494-511.
    2. Tanaka, Katsuya & Wu, JunJie, 2004. "Evaluation Of Conservation Policies For Reducing Nitrogen Loads To The Mississippi River And Gulf Of Mexico," 2004 Annual meeting, August 1-4, Denver, CO 20135, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    3. JunJie Wu & Richard M. Adams & Catherine L. Kling & Katsuya Tanaka, 2004. "From Microlevel Decisions to Landscape Changes: An Assessment of Agricultural Conservation Policies," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(1), pages 26-41.
    4. Hrubovcak, James & Vasavada, Utpal & Aldy, Joseph E., 1999. "Green Technologies for a More Sustainable Agriculture," Agricultural Information Bulletins 33721, United States Department of Agriculture, Economic Research Service.
    5. Manley, James G. & van Kooten, G. Cornelis & Moeltner, Klaus & Johnson, Dale W., 2003. "Creating Carbon Offsets in Agriculture through No-Till Cultivation: A Meta-Analysis of Costs and Carbon Benefits," Working Papers 36994, University of Victoria, Resource Economics and Policy.
    6. Asci, Serhat & VanSickle, John J. & Cantliffe, Daniel J., 2014. "Risk in Investment Decision Making and Greenhouse Tomato Production Expansion in Florida," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 17(4), pages 1-26, November.
    7. Asci, Serhat & VanSickle, John J. & Cantliffe, Daniel J., 2013. "The Potential for Greenhouse Tomato Production Expansion in Florida," 2013 Annual Meeting, February 2-5, 2013, Orlando, Florida 143095, Southern Agricultural Economics Association.
    8. Zewdu Ayalew Abro & Moti Jaleta & Hailemariam Teklewold, 2018. "Does Intensive Tillage Enhance Productivity and Reduce Risk Exposure? Panel Data Evidence from Smallholders’ Agriculture in Ethiopia," Journal of Agricultural Economics, Wiley Blackwell, vol. 69(3), pages 756-776, September.
    9. Sankranti, Sridhar & Langemeier, Michael R., 2004. "Tillage Systems, Cropping Practices, Farm Characteristics And Efficiency," 2004 Annual Meeting, February 14-18, 2004, Tulsa, Oklahoma 34632, Southern Agricultural Economics Association.
    10. Hodde, Whitney & Sesmero, Juan & Gramig, Benjamin & Vyn, Tony & Doering, Otto, 2016. "Climate Change and the Economics of Conservation Tillage," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 236090, Agricultural and Applied Economics Association.
    11. Christian Langpap & JunJie Wu, 2011. "Potential Environmental Impacts of Increased Reliance on Corn-Based Bioenergy," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 49(2), pages 147-171, June.
    12. Ding, Ya, 2014. "Life satisfaction and influencing factors of the elderly population in rural China," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170041, Agricultural and Applied Economics Association.

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