farming is shown to depend on the prices of pesticide and grain. It is either optimal to use no pesticide or a moderate amount … of pesticide or to apply a chattering control. Pest eradication is never optimal. On the other hand, if the farmer takes … pesticide depending on prices as well as on the shape of the grain production function which is determined by micro parameters …

seed. If she maximizes her present-value profits, optimal farming is shown to depend on the prices of pesticide or to apply … state mice populations only, it may be optimal to eradicate mice or to use no or a moderate amount of pesticide depending on …