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Stochastic Technology, Risk Preferences, And The Use Of Polluting Inputs

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  • Shankar, Bhavani
  • Nelson, Carl H.
  • Braden, John B.

Abstract

We investigate the comparative static effects of environmental and agricultural policies on pesticide and fertilizer use. Since such effects depend on technology and risk preference parameters, we estimate these from a panel data set of Illinois farms. Generalized method of moments is used on a set of nonlinear first order conditions.

Suggested Citation

  • Shankar, Bhavani & Nelson, Carl H. & Braden, John B., 1998. "Stochastic Technology, Risk Preferences, And The Use Of Polluting Inputs," 1998 Annual meeting, August 2-5, Salt Lake City, UT 21011, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea98:21011
    DOI: 10.22004/ag.econ.21011
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    References listed on IDEAS

    as
    1. Atanu Saha & C. Richard Shumway & Hovav Talpaz, 1994. "Joint Estimation of Risk Preference Structure and Technology Using Expo-Power Utility," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 76(2), pages 173-184.
    2. Bhavani Shankar & Carl H. Nelson, 1999. "Joint Risk Preference-Technology Estimation with a Primal System: Comment," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 81(1), pages 241-244.
    3. John M. Antle, 1987. "Econometric Estimation of Producers' Risk Attitudes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 69(3), pages 509-522.
    4. Howard D. Leathers & John C. Quiggin, 1991. "Interactions between Agricultural and Resource Policy: The Importance of Attitudes toward Risk," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(3), pages 757-764.
    5. Chavas, Jean-Paul & Holt, Matthew T, 1996. "Economic Behavior under Uncertainty: A Joint Analysis of Risk Preferences and Technology," The Review of Economics and Statistics, MIT Press, vol. 78(2), pages 329-335, May.
    6. H. Alan Love & Steven T. Buccola, 1991. "Joint Risk Preference-Technology Estimation with a Primal System," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 73(3), pages 765-774.
    7. Hansen, Lars Peter & Singleton, Kenneth J, 1982. "Generalized Instrumental Variables Estimation of Nonlinear Rational Expectations Models," Econometrica, Econometric Society, vol. 50(5), pages 1269-1286, September.
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