We establish the relation between optimal subsidy rates and spillovers from the sequential adoption of a new technology, we find that they evolve in the same direction over time. We show that spillovers, hence the subsidy rates, need not be monotonic. We show that when subsidy rates are...

Mississippi cotton farmers are adjusting to the current problem of low cotton price and high cotton production cost by modifying the way(s) they have traditionally grown cotton. This paper compares seven alternative production systems to the costs and returns associated with the conventional or...

This paper examines the economics of introducing conservation tillage into maize cropping systems in the state of Jalisco, in the western part of Mexico. A stochastic cost-benefit analysis (SCBA) of introducing conservation tillage in two contrasting agro-climatic zones in the four main maize...

In this study, we estimate empirically the multiple benefits of a subsidy policy that would offer payments to farmers in return for the adoption of conservation tillage and compare the outcomes of alternative targeting designs for such a policy. Using data for roughly 12,000 National Resource...

Adoption of conservation tillage can lead to substantial environmental benefits from reduced soil erosion. But benefits may be partially offset if adoption increases reliance on agricultural chemicals. Using area study data from the Cornbelt, this study examines factors affecting adoption of...

If adoption of herbicide-resistant seed and adoption of conservation-tillage practices are determined simultaneously, adoption of herbicide-resistance seed could indirectly reduce soil erosion and adoption of conservation-tillage practices could indirectly reduce residual herbicide use and...

While a carbon market offers substantial opportunities for US agriculture, regional differences in such a market are often ignored. This paper focuses on the advantages and challenges for agriculture in the South. The potential of two promising options are analyzed: conversion from cropland to...

This paper is a micro-level investigation into the farm-level productivity and efficiency impacts of zero tillage (ZT), a prominent resource conservation technology in agriculture. Often heralded as more sustainable than its conventional tillage alternatives, ZT has a number of positive...

We develop a real option model of the irreversible native grassland conversion decision. Upon plowing, native grassland can be followed by either a permanent cropping system or a system in which land is put under cropping (respectively, grazing) whenever crop prices are high (respectively, low)....

In order to combat adverse effects of farmland degradation it is necessary for farmers to adopt sustainable land management and conservation strategies like intercropping and conservation tillage. However, efforts to adopt these strategies are very minimal in Ethiopia. In an attempt to address...