The number of insecticide applications made by an apple grower to control an insect infestation is modeled as a geometric random variable. Insecticide efficacy, rate per application, month of treatment, and method of application all have significant impacts on the expected number of applications. The number of applications to control a given insect population is dependent on the probability of achieving successful control with a given application. Results suggest that northeastern growers have the highest and mid-Atlantic growers the lowest probability of controlling an infestation with a given application. Results also indicate that scales require the least and moths the most number of applications. Growers are not responsive to per unit insecticide prices, but respond negatively to insecticide toxicity, supporting findings from previous pesticide demand analyses.

Public support for integrated pest management (IPM) is derived in part from concerns over food safety and the environment, yet few studies have assessed the economic value of health and environmental benefits of IPM. An approach is suggested for such an assessment and applied to the Virginia peanut IPM program. Effects of IPM on environmental risks posed by pesticides are assessed and society's willingness to pay to reduce those risks is estimated. The annual environmental benefits of the peanut IPM program are estimated at $844,000. The estimates of pesticide risks and willingness to pay can be applied elsewhere in economic assessments of IPM.

Requiring that crop applications of manure be based on phosphorus content (P-standard) could increase poultry litter disposal costs. Microbial phytase reduces litter P content and could reduce litter disposal costs under a P-standard. For a representative Virginia turkey farm, phytase costs $2,500 and could increase value of litter used for fertilizer on the turkey farm by $390 and reduce supplemental P feed costs by $1,431. Based on assumed litter demand and supply, estimated litter export prices with phytase could exceed export prices without phytase by $3.81 per ton. Phytase net returns to the farm are an estimated $1,435.

Actual performance records of production contract farmers are used to assess the extent to which contract production reduces the risk borne by pork producers. Comparisons of contracting relative to independent market production reveal that farmers who enter into production contracts based on absolute performance measures reduce risks associated with variable income. Weak evidence is found that relative performance contracts, similar to those used in the broiler chicken industry, further reduce income variability. The effectiveness of such relative performance contracts will rely on several factors; among these are increased contract production and a more uniform pork production and processing system.

Indonesia is a rapidly growing and competitive market for U.S. fruit. A restricted, source-differentiated, almost ideal demand system is estimated for apples, oranges, grapes, and other fruit in Indonesia. The Marshallian expenditure elasticities for U.S. fruit are estimated to be between 1.01 and 1.21. For grapes and oranges, competition with other fruits appears to be more important than competition with other supply sources. For apples, strong sourcedifferentiated substitution relationships are found.

Using IRI Infoscan data pertaining to six types of spaghetti sauces and employing an extension of the demand systems framework developed by Duffy, estimates are obtained of own-price, cross-price, and total expenditure elasticities as well as own- and crossproduct advertising elasticities. We augment the Duffy model through the use of a polynomial inverse lag mechanism to deal with the carryover effects of advertising. We also account for the impacts of features in newspaper fliers, in-store displays, and coupons. Advertising efforts by industry leaders in spaghetti sauce produce positive own-advertising elasticities (ranging from .000058 to .0168) and negative cross-advertising elasticities (ranging from –.000003 to –.0094). Own-price elasticities are in the elastic range, and nearly all compensated cross-price effects are positive, indicative of Hicksian substitutes.

The impacts of generic dairy advertising on retail, wholesale, and farm dairy markets are estimated in this study at the national level. The results indicate that generic dairy advertising had a major impact on retail, wholesale, and farm markets for the dairy industry. The main conclusion of the study is that farmers are receiving a high return on their investment in generic dairy advertising, i.e., an average rate of return of $3.40 for every dollar invested over the period 1984–95. Moreover, the return on investment in advertising was higher in the most recent year, almost double the average for the previous 11 years.

This article examines whether the assumption of perfect competition in the U.S. dairy industry biases the findings of economic impacts of generic dairy advertising. An imperfect competition model based on an approach similar to that of Appelbaum is developed and used to evaluate generic milk advertising. The results are compared with a perfect competition model. The findings indicate positive price and quantity impacts due to generic advertising. The differences in magnitude of impacts between the two models are small, suggesting that the assumption of perfect competition for U.S. dairy models is plausible.

Laboratory experiments are used to generate data that facilitate investigation of pricing behavior in forward and spot markets. Results suggest a tendency for prices in a spot market to converge to levels higher than those in a forward market. The difference in these market environments is the supply schedule. Buyers in a spot market are aware that supply is inelastic and become relatively aggressive bidders. Forward markets have a relatively elastic supply schedule and buyers fare better. This may motivate firms to promote forward markets and/or vertically integrate in the procurement of inputs.

Forecasts of economic time series are often evaluated according to their accuracy as measured by either quantitative precision or qualitative reliability. We argue that consumers purchase forecasts for the potential utility gains from utilizing them, not for their accuracy. Using Monte Carlo techniques to incorporate the temporal heteroskedasticity inherent in asset returns, the expected utility of a set of qualitative forecasts is simulated for corn and soybean futures prices. Monetary values for forecasts of various reliability levels are derived. The method goes beyond statistical forecast evaluation, allowing individuals to incorporate their own utility function and trading system into valuing a set of asset price forecasts.

Delineation of geographic markets for fed cattle is essential in monitoring price behavior and determining geographic markets. This study uses transactions data from 28 U.S. fed cattle slaughter plants to determine the extent of the geographic market for fed cattle. Results indicate a national market for fed cattle with prices across most plants cointegrated. In addition, price discovery originates predominantly at plants located in Nebraska, and typically one-third of the total price adjustment to spatial integration occurs in one day.

This study focuses on least-cost farm-to-mill cotton cleaning configurations employing survey, regression, and simulation techniques. The resulting least-cost cotton cleaning configurations, employing standard textile technology, included the use of one lint cleaning in the ginning stage. The use of a field cleaner in the harvesting stage was also found to be optimal with some variation based on the desired yarn quality. Results of the study indicated that the optimal cleaning configurations were distinctly different from currently used practices, such that appropriate changes could save the cotton industry between $0.30 and $0.60 per bale of cotton, depending on the desired yarn quality.

Research has developed empirical models and procedures for analyzing factors which influence rural land markets; however, there have been limited efforts in developing procedures for identifying rural land submarkets. Principal component analysis is used here to detect the presence of multiple rural land submarkets. Cluster analysis is then used as a basis for identifying eight contiguous rural land submarkets in Louisiana. As opposed to single-attribute procedures that have been based largely on subjective judgment, multivariate procedures illustrated in this analysis provide a means for capturing the combined effects of physical and socioeconomic influences in delineating rural land submarkets.

On-farm research (OFR) has increased in popularity in the U.S. in recent years due to heightened interest in sustainability issues, the likely decline in resources available for agricultural research, and increasing pressures for accountability and responsiveness to state and local needs. Information relating to OFR was obtained from 431 commercial Kansas farmers. Data were analyzed to determine the degree of OFR being implemented, and three models were estimated to identify which farmer/farm characteristics influenced its implementation. The results indicate that OFR is commonly implemented, and that several farm/farmer characteristics are related to the degree of OFR initiated. It is proposed that to maximize the return from externally initiated OFR, there would be merit in focusing attention on farms/farmers with those characteristics.

The purpose of this study is to empirically investigate Taiwanese married women's grocery shopping behavior in relation to their labor force participation status. In this study, focus is limited to their grocery shopping frequency which is meant to be a proxy for an input to household production, i.e., food at home. A Poisson switching regression model is developed to estimate parameters of married women's shopping behavior. The results show that the labor force participation status does have a great impact on time allocation behavior.

Technical efficiency measures are calculated for ratite producers using data envelopment analysis. Regression analysis is then used to determine producer characteristics that are likely to lead to higher technical efficiencies. Results indicate that the most technically efficient ratite producers in Louisiana are not producing at the benchmark efficiency level advocated by the industry. Producer experience with other livestock, specialization, and labor are factors likely to lead to higher technical efficiency. These results are expected to hold for most new, alternative livestock enterprises.

Limited information is available concerning price determination in the thoroughbred yearling market. A recursive model incorporating price expectations and biological constraints is used to estimate supply and demand functions for thoroughbred horses. Empirical results characterize a market with inelastic supply and elastic demand that converges to equilibrium under static conditions. Purses were identified as the most influential variable impacting price. Comparative statics illustrate the effectiveness of purses as a policy instrument for the thoroughbred industry. Federal tax policy also was found to have a significant impact on the decisions to breed or invest in thoroughbred yearlings.