Plant Nutrient Demand Functions for Tennessee with Prices of Jointly Applied Nutrients

Roland K. Roberts

Journal of Agricultural and Applied Economics, 1986, vol. 18, issue 2, 107-112

Abstract: Several studies have estimated plant nutrient demand functions for nitrogen, phosphate, and potash. All included own-price effects but excluded prices of jointly applied nutrients. In this study, nutrient demand functions, which include prices of all three nutrients, are estimated for Tennessee by seemingly unrelated regression. Results suggest that cross-price eflfects are important in determining plant nutrient demand, at least in the case of Tennessee, and that multicollinearity need not be a hindrance in all cases to including cross-price eflfects in plant nutrient demand models.

Date: 1986
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