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Is Site-Specific Yield Response Consistent over Time? Does It Pay?

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  • Neil R. Miller

Abstract

This study examines the profitability and stability of site-specific (SS) nitrogen fertilizer recommendations using an empirical model of SS yield response to controlled inputs, stable site characteristics, and time-varying weather factors. Using a three-year panel of on-farm corn yield experiments and new, continuous variables to describe site characteristics, both spatial and ordinary least squares regression models show clear evidence of SS corn yield response to nitrogen fertilizer. Yield response is predictable only on irrigated fields. Even there, bootstrapped confidence intervals for profitability gains on selected fields indicate that SS nitrogen application would rarely cover its costs. Copyright 2006, Oxford University Press.

Suggested Citation

  • Neil R. Miller, 2006. "Is Site-Specific Yield Response Consistent over Time? Does It Pay?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 88(2), pages 471-483.
    • Handle: RePEc:oup:ajagec:v:88:y:2006:i:2:p:471-483
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    File URL: http://hdl.handle.net/10.1111/j.1467-8276.2006.00872.x
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    Cited by:

    1. Mkondiwa, Maxwell Gibson, 2015. "Whither Broad or Spatially Specific Fertilizer Recommendations?," Master's Theses and Plan B Papers 237344, University of Minnesota, Department of Applied Economics.
    2. David S. Bullock & James Lowenberg‐DeBoer, 2007. "Using Spatial Analysis to Study the Values of Variable Rate Technology and Information," Journal of Agricultural Economics, Wiley Blackwell, vol. 58(3), pages 517-535, September.
    3. 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.
    4. Robert Finger & Stéphanie Schmid, 2008. "Modeling agricultural production risk and the adaptation to climate change," Agricultural Finance Review, Emerald Group Publishing Limited, vol. 68(1), pages 25-41, May.
    5. Garth Holloway & Donald Lacombe & James P. LeSage, 2007. "Spatial Econometric Issues for Bio‐Economic and Land‐Use Modelling," Journal of Agricultural Economics, Wiley Blackwell, vol. 58(3), pages 549-588, September.
    6. 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.
    7. Jolejole, Christina B. & Swinton, Scott M. & Robertson, G. Philip & Syswerda, Sara P., 2009. "Profitability and Environmental Stewardship for Row Crop Production: Are There Trade-offs?," 2009 Conference, August 16-22, 2009, Beijing, China 50920, International Association of Agricultural Economists.
    8. Scott M. Swinton, 2022. "Precision conservation: Linking set‐aside and working lands policy," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 44(3), pages 1158-1167, September.
    9. 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.
    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. Yusuf Nadi Karatay & Andreas Meyer-Aurich, 2018. "A Model Approach for Yield-Zone-Specific Cost Estimation of Greenhouse Gas Mitigation by Nitrogen Fertilizer Reduction," Sustainability, MDPI, vol. 10(3), pages 1-18, March.
    12. Sandler, Austin M. & Rashford, Benjamin S., 2018. "Misclassification error in satellite imagery data: Implications for empirical land-use models," Land Use Policy, Elsevier, vol. 75(C), pages 530-537.
    13. Schimmelpfennig, David, 2016. "Farm Profits and Adoption of Precision Agriculture," Economic Research Report 249773, United States Department of Agriculture, Economic Research Service.
    14. Jesse Tack & Keith H. Coble & Robert Johansson & Ardian Harri & Barry J. Barnett, 2019. "The Potential Implications of “Big Ag Data” for USDA Forecasts," Applied Economic Perspectives and Policy, John Wiley & Sons, vol. 41(4), pages 668-683, December.
    15. Li, Xiaofei & Coble, Keith H. & Tack, Jesse B. & Barnett, Barry J., 2016. "Estimating Site-Specific Crop Yield Response using Varying Coefficient Models," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235798, Agricultural and Applied Economics Association.
    16. Perrin, Richard K. & Queiroz, Pedro & Silva, Felipe & Fulginiti, Lilyan E., 2018. "Ex-ante expected payoff from variable rate N application: an expected value of sample information (EVSI) approach," 2018 Annual Meeting, August 5-7, Washington, D.C. 274351, Agricultural and Applied Economics Association.
    17. Harou, Aurélie & Liu, Yanyan & Barrett, Christopher B. & You, Liangzhi, 2014. "Variable returns to fertilizer use and its relationship to poverty: Experimental and simulation evidence from Malawi:," IFPRI discussion papers 1373, International Food Policy Research Institute (IFPRI).
    18. Meyer-Aurich, Andreas & Gandorfer, Markus & Weersink, Alfons & Wagner, Peter, 2008. "Economic analysis of site-specific wheat management with respect to grain quality and separation of the different quality fractions," 2008 International Congress, August 26-29, 2008, Ghent, Belgium 43649, European Association of Agricultural Economists.
    19. Madhu Khanna & Shady S. Atallah & Saurajyoti Kar & Bijay Sharma & Linghui Wu & Chengzheng Yu & Girish Chowdhary & Chinmay Soman & Kaiyu Guan, 2022. "Digital transformation for a sustainable agriculture in the United States: Opportunities and challenges," Agricultural Economics, International Association of Agricultural Economists, vol. 53(6), pages 924-937, November.
    20. 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).

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