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An Economic Analysis of Replacing Existing Bermudagrass Stands with Tifton 85 Bermudagrass for Beef Cow-Calf, Stocker and Hay Production

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  • Lacy, R. Curt
  • Hill, Gary M.

Abstract

Comparisons of simulated NPV for Coastal and Tifton 85 bermuda-grass using experimental data, current input prices and historical hay and feeder cattle prices indicates that many producers would benefit by adopting this new cultivar. Cow-calf producers would benefit the most followed by stocker/replacement heifer producers and finally hay producers. When risk-aversion is introduced into the model, all cow-calf and stocker producers regardless of the level of risk-aversion should consider adopting T85. Moderately or extremely risk-averse hay producers would consider adopting T85, while those that are slightly risk-averse would be indifferent.

Suggested Citation

  • Lacy, R. Curt & Hill, Gary M., 2008. "An Economic Analysis of Replacing Existing Bermudagrass Stands with Tifton 85 Bermudagrass for Beef Cow-Calf, Stocker and Hay Production," 2008 Annual Meeting, February 2-6, 2008, Dallas, Texas 6739, Southern Agricultural Economics Association.
  • Handle: RePEc:ags:saeaed:6739
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    File URL: http://purl.umn.edu/6739
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    Keywords

    Crop Production/Industries; Risk and Uncertainty;

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