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Farmers' Perceptions about Spatial Yield Variability and Precision Farming Technology Adoption: An Empirical Study of Cotton Production in 12 Southeastern States

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  • Kotsiri, Sofia
  • Rejesus, Roderick M.
  • Marra, Michele C.
  • Velandia, Margarita M.

Abstract

This paper examines how cotton farmers' perceptions about their spatial yield variability influence their decision to adopt precision farming technologies. Utilizing cross-section survey data from 12 Southeastern states and a two-step econometric modeling approach, we find that farmers who perceive their yields as more spatially heterogeneous will more likely use site specific information gathering technologies and apply their inputs at a variable rate. In addition, our empirical analysis shows that perceptions about future profitability and importance of precision farming, along with socio-economic factors, also drive the technology adoption decision. These results have implications for producers contemplating the variable rate management decisions, as well as dealers selling these precision farming technologies.

Suggested Citation

  • Kotsiri, Sofia & Rejesus, Roderick M. & Marra, Michele C. & Velandia, Margarita M., 2011. "Farmers' Perceptions about Spatial Yield Variability and Precision Farming Technology Adoption: An Empirical Study of Cotton Production in 12 Southeastern States," 2011 Annual Meeting, February 5-8, 2011, Corpus Christi, Texas 98689, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea11:98689
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    File URL: http://ageconsearch.umn.edu/record/98689/files/SAEA11_final_.pdf
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    1. Fernandez-Cornejo, Jorge & Daberkow, Stan G. & McBride, William D., 2001. "Decomposing The Size Effect On The Adoption Of Innovations: Agrobiotechnology And Precision Farming," 2001 Annual meeting, August 5-8, Chicago, IL 20527, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    2. Amir K. Abadi Ghadim & David J. Pannell & Michael P. Burton, 2005. "Risk, uncertainty, and learning in adoption of a crop innovation," Agricultural Economics, International Association of Agricultural Economists, vol. 33(1), pages 1-9, July.
    3. Ruth Vargas Hill, 2006. "Coffee Price Risk in the Market: Exporter, Trader and Producer Data from Uganda," Economics Series Working Papers GPRG-WPS-048, University of Oxford, Department of Economics.
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    Keywords

    Agribusiness; Farm Management; Production Economics; Productivity Analysis;

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