Progress 01/01/04 to 12/31/09
Outputs
OUTPUTS: Presentations at professional meetings addressed economics of tillage, land ownership for retirement, and agricultural health and safety. Topics such as cover crops, tillage (2 presentations), and land ownership for retirement were presented at local Risk and Profit Conferences; slides or papers are available at: http://www.agmanager.info/events/risk profit/previous. The economics of water markets was presented in an Oxford style debate at the 2nd Annual Kansas Water Issues Forums (2008) in Wichita and Hays, KS. White papers addressed topics such as profitability differences between producers for various crop enterprises, the impact of rising energy prices on agriculture, costs of various types of balers, land values, and the impact of returns on non-agricultural factors and government payments; these are available at http://www.agmanager.info. Nitrogen fertilizer and diesel fuel prices were forecast on a monthly basis and posted to www.agmanager.info. Databases were maintained on crop prices, land values, and land rents and made available at www.agmanager.info. A crop budget decision-making tool was developed that producers can use to compare the economic returns of alternative crops as well as to determine optimal levels of nitrogen fertilizer and irrigation water. A publication and corresponding spreadsheet were written pertaining to the economics of haying or grazing CRP land. Previously developed spreadsheets for examining the costs of tractors, combines, sprayers, and balers were updated. Spreadsheets were developed or updated for examining the economics of GPS-based machinery guidance systems, Bermuda Hay Economics.xls, Fescue-Legume Hay Economics.xls, KSU-FertCostCalc.xls, Fertilizer_Calculator.swf - standalone online tool, KSU-NPI_CropBudgets.xls, FM-Guides Crops.xls, Economics of spraying crops.xls, CropSpray.swf - standalone online tool, GrainSeasonals.xls (updated monthly), Irrigation-Cost.swf - stand alone online tool, and comparing crop returns for different crop enterprises and tillage systems (KSU-Tillage.xls). The spreadsheets are available at www.agmanager.info. Databases that are used for land-related research and extension programs have been updated and shared with clientele as requested. Participants designed and developed the economic analysis component of the Soybean Rust Yield Loss Prediction Tool. This multi-state/multi-country output can be found at http://dept.ca.uky.edu/sbrtool/sbr21/sbrhome.html. "Economics of Cover Crops for Residue and Forage Production," was presented at an Agronomy Field Tour; slides are available at: http://www.agronomy.ksu.edu/DesktopModules/ViewDocument.aspxDocument ID=2596. "Cover Crop Options and Their Economic Viability," was presented at a Soybean and Corn Tour. PARTICIPANTS: Robert O. Burton, Jr., Lead P.I. - Examined the economics of reduced till, no-till, and opportunity cropping; economics of avoiding a potential health hazard on an individual farm; and farmland ownership as a source of retirement income. Jason Bergtold, P.I. - Examined cover crop and conservation economics for reduced and no- tillage systems in Kansas. Michael Langemeier, P.I. - Examined the economics of biosolid use in a winter wheat rotation and the economics of no-till production systems in central Kansas. Kevin Dhuyvetter, P.I. - Examined the economics of the following: the impact prices have on optimal fertilizer rates, cropping systems (tillage and rotation), precision agricultural technologies, forage systems, spraying crops, and machinery costs. Lucas Maddy, Graduate Student, Masters - Examined the economic potential of using summer legume cover crops in Kansas and their impact on commercial fertilizer use. Ross Key, Graduate Student, Masters - Examined economics of avoiding a potential health hazard on an individual farm. Valarie Rivas, Graduate Student, Masters - Examined farmland ownership as a source of retirement income. Ray Smith, Graduate Student, Masters - Examined the economics of reduced till, no-till, and opportunity cropping. Sam Funk, Graduate Student, Ph.D. - Examined the efficiency of no-till vs. convention tillage methods in crop production systems in Kansas. TARGET AUDIENCES: Economic information concerning the potential for water markets in Kansas to benefit Kansas agricultural producers was presented to farmers, water planners, groundwater management district personnel, government officials, extension and other interested parties at the 2nd Annual (2008) Kansas Water Issues Forums. The graduate students who worked on this project developed analytical skills and knowledge of issues such as the relative profitability of alternative cropping systems. The selected paper presentations provided knowledge and analytical procedures to the professional agricultural economists who attended. Audience at the field day included farmers, Extension, agricultural consultants, researchers, government officials and other agricultural professionals. Information is available to people who use the World Wide Web such as agricultural producers, policy makers, extension agents, and natural resource/conservation professionals. PROJECT MODIFICATIONS: Nothing significant to report during this reporting period.
Impacts
Economic information concerning the potential for water markets in Kansas was presented to farmers, water planners, groundwater management district personnel, government officials, extension and other interested parties. The graduate students who worked on this project developed analytical skills and knowledge of issues such as the relative profitability of alternative cropping systems. One of the graduate students who worked on this project is a commercial farmer who will benefit; and other farmers will benefit from his example. Procedures for analyzing economic impacts of the elimination of a pesticide were developed and illustrated using Atrazine on a representative farm in Kansas as an example. Results indicate that the no-till rotation with opportunity cropping is most profitable; but the reduced-till rotation without opportunity cropping is least risky. Results indicate that increased costs of more expensive pesticides would reduce net income; but reduced yields caused by use of less effective pesticides could potentially reduce net income more than increase costs. An important outcome is that impacts on grain sorghum (a relatively minor crop in the U.S.) would likely be greater than impacts on corn (a relatively major crop in the U.S.) because more and more effective herbicides are available for corn. The selected paper presentations provided knowledge of the relative profitability of alternative cropping system in an arid environment to the professional agricultural economists who attended. Cover crop economics and management guidance was passed to farmers interested in using cover crops in their crop production systems to improve crop productivity and environmental stewardship. Findings indicate that a sunn hemp cover crop can provide sufficient nitrogen to the cash crop and improvements in cash crop yield to economically justify the planting of the cover crop. Adoption of recommendations based on the numerous results of this project will increase farm profitability, limit risk exposure, and reduce nutrient and pesticide loadings in water resources.
Publications
- Burton, R. O. Jr., R. P. Smith, and A. J. Schlegel. 2009. Economics of Reduced-Till, No-Till and Opportunity Cropping in Western Kansas. J. Am. Soc Farm Man. and Rur. App. 72:164-176.
- Lagae, H., M. Langemeier, D.W. Lybecker, and K.A. Barbarick. 2009. Economic Value of Biosolids in a Semi-Arid Agroecosystem. Agronomy Journal. Volume 101, July-August, p. 933-939.
- Moyer, J.L., K.C. Dhuyvetter, and D. Shoup. 2009. Comparison of Returns from Legumes in Endophyte-Infected Tall Fescue for Hay. Online. Forage and Grazinglands, doi:10.1094/FG-2009-1041-01-RS.
- Bergtold, J.S., R.L. Raper and E.B. Schwab. 2009. The Economic Benefit of Improving the Proximity of Tillage and Planting Operations in Cotton Production with Automatic Steering. Applied Engineering in Agriculture. 25: 133-143.
- Dhuyvetter, K., T. Kastens, and D. Ruiz Diaz. 2009. Modifying Yield-Goal Based Fertilizer Recommendations to Varying Prices of Grains and Inputs. ASA, CSSA, SSSA Annual Meeting Abstracts, Nov 1-5, 2009. Pittsburg, PA. Abstr. 37-1.
- Dhuyvetter, K., T. Kastens, and D. Ruiz Diaz. 2009. Modifying Yield-Goal Based N and P Fertilizer Recommendations to Varying Input and Output Prices. ASA, CSSA, SSSA Annual Meeting Abstracts, Nov 1-5, 2009. Pittsburg, PA. Abstr. 237-6.
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Progress 01/01/08 to 12/31/08
Outputs
OUTPUTS: A selected paper titled, "An economic Analysis of Reduced-Till and No-Till Crop Rotations in Western Kansas With and Without Opportunity Cropping," was presented at the June 2008 annual meeting of the Western Agricultural Economics Association. Cover crop economic research and information that further enhance reduce and no tillage systems was presented at the 2008 Risk and Profit Conference in Manhattan, KS on August 14-15, 2008 to row crop producers, extension personal, KFMA economists and students. A copy of the .pdf slides of the presentation are available at: http://www.agmanager.info/events/risk_profit/2008/Papers.asp. Economic information concerning the potential for water markets in Kansas to benefit Kansas agricultural producers was presented in the form of an Oxford style debate to farmers, water planners, groundwater management district personnel, government officials, extension and other interested parties at the 2nd Annual Kansas Water Issues Forums on December 10-11, 2008 in Wichita and Hays, KS. PARTICIPANTS: Jason Bergtold, PI - Research is examining cover crop and conservation economics for reduced and no tillage systems in Kansas. In addition, reviewing the potential for water markets in Kansas between agricultural producers. Lucas Maddy, Graduate Student, Masters - Examining the economic potential of using summer legume cover crops in Kansas and their impact on commercial fertilizer use. Thesis to be completed in 2009. The graduate student who worked on this project developed analytical skills and knowledge of the relative profitability of alternative cropping systems. As a member of the student's graduate committee, an agronomist at the Southwest Research and Extension Center at Tribune, Kansas provided data and other input and shared authorship on the selected paper. TARGET AUDIENCES: The graduate student who worked on this project is a commercial farmer who will benefit; and other farmers will benefit from his example. The selected paper presentation provided knowledge of the relative profitability of alternative cropping system in an arid environment to the professional agricultural economics and graduate students who attended. Agricultural producers, extension agents, and natural resource/conservation professionals. Information was passed to the target audience via presentations at professional conferences and educational forums, as well as, posting of materials on www.agmanager.info. PROJECT MODIFICATIONS: Not relevant to this project.
Impacts
This study contributes information to producers and policy makers about opportunities and constraints associated with the various reduced-Till and No-Till cropping system analyzed. A project examining the economics of cover crop use in Kansas was initiated in 2008. The objective of the project is to examine the profitability and risk of alternative summer legume cover crops in a sorghum-wheat rotation and the resulting impact on determining optimal levels of nitrogen to apply to each cash crop. This research should provide increased knowledge about the effect of incorporating summer cover crops into cropping rotations with wheat and sorghum/corn. Findings indicate that a sunn hemp cover crop can provide sufficient nitrogen to the cash crop and improvements in cash crop yield to economically justify the planting of the cover crop.
Publications
- Bergtold, J. and L. Maddy. 2008. Cover crop economics: costs, risks, and adoption. 2008 Risk and Profit Conference Proceedings. Online. 2008 Risk and Profit Conference, Manhattan, KS, August 14 through 15, 2008, Available at: http://www.agmanager.info/events/risk_profit/2008/Papers/Program_2008 _Web.pdf.
- Burton, R.O., Smith, R.P., and Schlegel, A.J. 2008. An economic analysis of reduced-till and no-till crop production in western Kansas with and without opportunity cropping. J. Agricultural and Resource Economics 33(3) (in press).
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Progress 01/01/07 to 12/31/07
Outputs
OUTPUTS: A project examining the economic optimal levels of water in response to changing input prices and quantities is on-going. Continued research is being conducted looking at factors that impact crop profitability (e.g., tillage, machinery costs, seed costs, farm size). A study comparing profitability differences between producers for various crop enterprises was conducted and written up as a white paper. A spreadsheet was developed for comparing crop returns for different crop enterprises and tillage systems (KSU-Tillage.xls). Previously developed spreadsheets for examining the costs of tractors, combines, sprayers, and balers were revised based on updated data. Research is continuing in the area of land values and the impact various factors have on them (e.g., government payments, irrigation, and non-ag factors). Databases are maintained on crop prices, land values, and land rents that are shared with clientele and made available through the www.agmanager.info website.
Procedures for analyzing economic impacts of the elimination of a pesticide were developed and illustrated using Atrazine on a representative farm in Kansas as an example. Results indicate that increased costs of more expensive pesticides would reduce net income; but reduced yields caused by use of less effective pesticides could potentially reduce net income more than increased costs. An important outcome is that impacts on grain sorghum (a relatively minor crop in the U.S.) would likely be greater than impacts on corn (a relatively major crop in the U.S.) because more and more effective herbicides are available for corn. The greater likelihood of yield reductions with the elimination of Atrazine from sorghum production could eliminate sorghum production on some farms.
TARGET AUDIENCES: Agricultural producers, land owners, and policymakers.
PROJECT MODIFICATIONS: No changes.
Impacts
The findings of this research have been presented at numerous producer meetings, published in lay publications, and appear regularly in the www.agmanager.info website. This information will help producers and landowners identify optimal cropping system, input levels, land rental arrangements, and machinery investment decisions on their operations. Adoption of these recommendations will increase farm profitability and reduce risk. This information is also useful for policy-makers as they evaluate alternative policies. This study will help inform producers and policy makers of the economic impacts that reduced use of a pesticide could have on farm operations. It also helps identify where new agronomic research is needed and/or where registration of alternative pesticides is needed.
Publications
- Smith, C., K. Dhuyvetter, and J. Williams. 2007. KSU-Tillage.xls A spreadsheet program to estimate the costs and returns of alternative tillage management strategies. Posted to www.agmanager.info, November 5.
- Burton, R.O., Jr., Key, R.M., Schurle, B.W., and Regehr, D.L. 2007. Economic Analysis of Avoiding a Potential Health Hazard on an Individual Farm. J. of the Amer. Soc. of Farm Managers and Rural Appraisers. Vol. 70, No. 1, pp. 103-109.
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Progress 01/01/06 to 12/31/06
Outputs
A project examining the economic optimal levels of nitrogen fertilizer in response to changing fertilizer prices is on-going. Related to that, nitrogen fertilizer and diesel fuel prices are forecasted on a monthly basis and posted to www.agmanager.info. A study analyzing the impact rising energy prices have on the agriculture sector was conducted and written up as a white paper. Continued research is being conducted looking at factors that impact crop profitability (e.g., tillage, machinery costs, seed costs, farm size). A spreadsheet was developed for examining the economics of GPS-based machinery guidance systems. Previously developed spreadsheets for examining the costs of tractors, combines, sprayers, and balers were revised based on updated data. Research is continuing in the area of land values and the impact various factors have on them (e.g., government payments, irrigation, and non-ag factors). Databases are maintained on crop prices, land values, and land
rents that are shared with clientele and made available through the www.agmanager.info website.
Impacts
The findings of this research have been presented at numerous professional conferences, producer meetings, in lay publications, and appear regularly in the www.agmanager.info website. This information will help producers and landowners identify optimal cropping system, nutrient management, land rental arrangements, and machinery investment decisions on their operations. Adoption of these recommendations will increase farm profitability and reduce risk. This information is also useful for policy-makers as they evaluate alternative policies.
Publications
- Taylor, M.R., K. C. Dhuyvetter, and T.L. Kastens. 2006. Forecasting Crop Basis Using Historical Averages Supplemented with Current Market Information. Journal of Agricultural and Resource Economics. 31(3):549-567.
- Rider, T.W., J.W. Vogel, J.A. Dille, K.C. Dhuyvetter, and T.L. Kastens. 2006. An Economic Evaluation of Site-Specific Herbicide Application. Precision Agriculture, http://dx.doi.org/10.1007/s11119-006-9012-y, July.
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Progress 01/01/05 to 12/31/05
Outputs
Work continued on economic analysis of avoiding a potential health hazard on an individual farm. Preliminary results indicate negative economic consequences from the elimination of an important herbicide. Significant usages taxes would be required to discourage farmers from using an herbicide. A change of focus involved evaluation of ownership of Kansas non-irrigated cropland as a source of retirement income during the past 30 years. Preliminary results indicate that stocks provide more income and less risk than land for the 30-year time period while U.S. government bonds tended to provide more income and less risk than land for shorter time periods. A project examining the economic optimal levels of nitrogen fertilizer in response to changing fertilizer prices is on-going. Related to this project, a crop budget decision-making tool was developed that producers can use to compare the economic returns of alternative crops as well as to determine optimal levels of
nitrogen fertilizer and irrigation water. Continued research is being conducted looking at factors that impact crop profitability (e.g., tillage, machinery costs, seed costs, farm size). A white paper and corresponding spreadsheet were written pertaining to the costs of various types of balers. Similar previously developed spreadsheets for examining the costs of tractors, combines, and sprayers were revised based on updated data. Research is continuing in the area of land values and the impact various factors have on them (e.g., government payments, irrigation, and non-ag factors). Databases are maintained on crop prices, land values, and land rents that are shared with clientele and made available through the www.agmanager.info website.
Impacts
Better information on the economics of avoiding a potential health hazard will help farmers make better decisions on avoiding such inputs and/or production practices. Comparisons of cropland owners to alternative retirement strategies will aid farmers in deciding whether to buy or rent land. The findings of this research have been presented at numerous producer meetings, in lay publications, and appear regularly in the www.agmanager.info website. This information will help producers and landowners identify optimal cropping system, nutrient management, land rental arrangements, and machinery investment decisions on their operations. Adoption of these recommendations will increase farm profitability and reduce risk.
Publications
- Kalous, T.S., K.C. Dhuyvetter, and T.K. Kastens. 2005. A Case Study of an Ag Marketing Services Performance in Marketing Hard Red Winter Wheat in Kansas. Journal of Farm Managers and Appraisers, pg. 50-59.
- Beaton, A.J., K.C. Dhuyvetter, T.L. Kastens, and J.R. Williams. 2005. Per Unit Costs to Own and Operate Farm Machinery. Journal of Applied Agricultural Economics, 37(1):131-144.
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Progress 01/01/04 to 12/31/04
Outputs
An economic analysis of site-specific weed management programs was conducted based on agronomic research trials conducted in 2003. This research is ongoing in that agronomic studies are continuing such that we can re-estimate models with additional data. We also are initiating a project where this site-specific methodology can be incorporated into decision-making tools that will allow producers to make weed control decisions in a timely fashion. A project examining the economic implications of various soil sampling approaches is ongoing. The objective of this project is quantifying the costs and returns associated with different soil sampling strategies. Crop budgets for no-till versus conventional tillage for various regions of Kansas are being developed that can be used for presentation to producers and as the background for additional research related to cropping systems. A publication and corresponding spreadsheet was written pertaining to the economics of haying
or grazing CRP land. Land values databases that are used for land-related research and extension programs have been updated and shared with clientele as requested. Several white papers have been written examining land values and returns and the impact on nonagricultural factors and government payments. A project to estimate the value of irrigation water has been initiated and is ongoing. This research project is quantifying the impact irrigation has on land values such that a defendable value can be placed on water rights in the event proposed water right buyout programs come to fruition. There is evidence that farmers experience higher incidence of certain types of cancer than the rest of the population. Agricultural chemicals used on crops are a suspected cause. A study was initiated to develop procedures for analyzing the economic impacts of ceasing to use a pesticide on an individual farm. As an example, an analysis of the economic impacts of ceasing to use atrazine on a
representative crop farm in North Central Kansas was initiated. In addition, the possibilities of using taxation policies to reduce atrazine use are being explored. Over the last decade, there has been a noticeable decrease in the number of tillage operations performed in the production of crops in Kansas. However, there are still quite a few farms that have not materially reduced the number of tillage operations. Current research efforts are evaluating the impact of the adoption of less tillage practices, labor efficiency, and farm size on the overall efficiency of a sample of farms in Kansas. Preliminary research results suggest that farms that have adopted less tillage practices were relatively more overall efficient. In addition, overall efficiency was positively related to farm size and labor efficiency.
Impacts
The findings of this research have been presented at numerous producer meetings, in lay publications, and appear regularly in the www.agmanager.info web site. This information will help producers identify optimal soil sampling, nutrient management, production system, and machinery investment decisions on their operations. Adoption of these recommendations will increase farm profitability, limit risk exposure, and reduce nutrient and pesticide loadings in water resources.
Publications
- Beaton, A.J., K.C. Dhuyvetter, T.L. Kastens, and J.R. Williams. 2004. Per Unit Costs to Own and Operate Farm Machinery. Journal of Applied Agricultural Economics. In press.
- Valentin, L., D.J. Bernardo, and T.L. Kastens. 2004. Testing the Empirical Relationship Between BMP Adoption and Farm Profitability. Review of Agricultural Economics. 26: 1-16.
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