Understanding farmer heterogeneity regarding nutrient management decisions is crucial for the success of any nonpoint source pollution prevention programs. Data from a farm- level experiment of cover crops in corn production were used in the Stochastic Efficiency with Respect to a Function framework to examine preference for nitrogen strategies over a range of risk aversion levels. We show the highest net return and certainty equivalent to the consideration of N supplied by cover crops. The results provide insights into policy discussions about the level of conservation incentives and plans that offer solutions to mitigate nonpoint source pollution.
Wang, Hua; Adusumilli, Naveen; Fromme, Daniel; and Shannon, Keith
"The Role of Farmer Heterogeneity in Nutrient Management: A Farm-Level Analysis,"
Journal of Applied Farm Economics: Vol. 4
Available at: https://docs.lib.purdue.edu/jafe/vol4/iss1/1