Skip to main content Accessibility help

Microeconomic Effects Of Reduced Yield Variability Cultivars Of Soybeans And Wheat

  • Carl R. Dillon (a1)


Economic analysis was conducted on hypothetical agronomic research on new crop cultivars for Arkansas dryland soybean and wheat producers. In relation to farmers' attitudes toward risk, the microeconomic effects and level of adoption of yield variability reducing cultivars were analyzed utilizing a production management decision-making model formulated with mathematical programming techniques. The study indicated that negative covariance between crops continues to be an effective means of reducing production risk associated with yield variability. However, under varying circumstances, agronomic research on the breeding of new soybean and wheat cultivars with reduced yield variability is worthwhile if there is only slight concurrent reduction in expected yields.



Hide All
Anderson, J.R., Dillon, J.L. and Hardaker, J.B.. Agricultural Decision Analysis. Ames, Iowa: Iowa State University Press, 1977.
Arkansas Agricultural Statistics Service. Arkansas Agricultural Statistics 1989. Arkansas Agricultural Experiment Station, Report Series 316, University of Arkansas, July 1990.
Boisvert, R.N. and McCarl, B.A.. Agricultural Risk Modeling using Mathematical Programming. Southern Cooperative Series Bulletin 356. Cornell University Agr. Exp. Sta., July 1990.
Brill, W.J.Genetic Engineering Applied to Agriculture: Opportunities and Concerns.Am. J. Agr. Econ., 68(1986):10811087.
Brink, L. and McCarl, B.A.. “The Trade Off Between Expected Return and Risk Among Cornbelt Crop Farmers.Am. J. Agr. Econ., 60(1978):259263.
Cooperative Extension Service. Estimating 1990 Production Costs in Arkansas. Ext. Tech. Bull. Nos. 72 and 76, University of Arkansas, 1989.
Dillon, C.R., Mjelde, J.W. and McCarl, B.A.. “Biophysical Simulation in Support of Crop Production Decisions: A Case Study in the Blacklands Region of Texas.So. J. Agr. Econ,. 21(1989):7386.
Dillon, J.L.Applications of Game Theory in Agricultural Economics: Review and Requiem.Australian J. Agr. Econ., 6(1963):2035.
Hess, C.E.The Emerging Agricultural Research Agenda.Am. J. Agr. Econ., 71(1989):11121116.
Holloway, G.J.Distribution of Research Gains in Multi-Stage Production Systems: Further Results.Am. J. Agr. Econ., 71(1989):338343.
Johnson, S.R.A Re-Examination of the Farm Diversification Problem.J. Farm Econ., 49(1967):610621.
Kennedy, J.O.S.Applications of Dynamic Programming to Agriculture, Forestry and Fisheries: Review and Prognosis.Rev. Marketing and Agr. Econ,. 49(1981):141173.
Lin, W., Dean, G.W., and Moore, C.V.. “An Empirical Test of Utility vs. Profit Maximization in Agricultural Production.Am. J. Agr. Econ., 56(1974):497508.
Martinez, S., and Norton, G.W.. “Evaluating Privately Funded Public Research: an Example from Poultry and Eggs.So. J. Agr. Econ., 18(1986): 129140.
McCarl, B.A.Model Validation: An Overview with Some Emphasis on Risk Models.Rev. Marketing and Agr. Econ., 52(1984): 153174.
McCarl, B.A. and Bessler, D.. “Estimating an Upper Bound on the Pratt Risk Aversion Coefficient When the Utility Function is Unknown.Australian J. Agr. Econ., 33(1989):5663.
Meyer, J.Two-Moment Decision Models and Expected Utility Maximization.Am. Econ. Rev., 77(1987):421430.
Norton, G.W. and Davis, J.S.. “Evaluating Returns to Agricultural Research: A Review”. Am. J. Agr. Econ., 63(1981):685699.
Pardey, P.G. and Craig, B.. “Causal Relationships Between Public Sector Agricultural Research Expenditures and Output.Am. J. Agr. Econ., 71(1989):919.
Pope, A. and Shumway, R.E.. “Management of Intensive Forage Beef Production Under Yield Uncertainty.So J. Agr. Econ., 16(1984):3744
Rasmussen, W.D.Public Experimentation in Innovation: An Effective Past but Uncertain Future.Am. J. Agr. Econ., 69(1987):890899.
Ritchie, J.T. and Otter, S.. “Description and Performance of CERES—Wheat: A User Oriented Wheat Yield Model,” pp 159175. ARS Wheat Yield Project, Willis, W.O., ed. Washington, D.C.:USDA ARS-38, June 1985.
Teague, P. W. and Lee, J.G.. “Risk Efficient Perennial Crop Selection: A Motad Approach to Citrus Production.So. J. Agr. Econ., 20(1988): 145152..
Trice, K.L.The Economics of Double Cropping Wheat and Soybeans: A Simulation Analysis Using Wheatsoy.” Master's thesis, University of Arkansas, 1986.


Microeconomic Effects Of Reduced Yield Variability Cultivars Of Soybeans And Wheat

  • Carl R. Dillon (a1)


Full text views

Total number of HTML views: 0
Total number of PDF views: 0 *
Loading metrics...

Abstract views

Total abstract views: 0 *
Loading metrics...

* Views captured on Cambridge Core between <date>. This data will be updated every 24 hours.

Usage data cannot currently be displayed