DYNAMIC ECONOMIC ANALYSIS OF A RESIDUE MANAGEMENT SYSTEM IN COTTON

Krishna Paudel and Luanne Lohr

No 16677, Faculty Series from University of Georgia, Department of Agricultural and Applied Economics

Abstract: Residue management system (RMS), comprised of no till cultivation, a winter cover crop, and poultry litter, could be an alternative to existing management system in cotton production in the Georgian Piedmont. We compare the productivity and profitability of RMS with the current system over time, focusing on the role of organic matter. Using dynamic bioeconomic modelling technique, we show that the net return and land value difference between these two systems increase as the terminal period increases. We conclude that if financial and capital markets based on organic matter work efficiently, farmers will choose RMS in cotton production.

Keywords: Crop; Production/Industries (search for similar items in EconPapers)
Pages: 16
Date: 1998
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Persistent link: https://EconPapers.repec.org/RePEc:ags:ugeofs:16677

DOI: 10.22004/ag.econ.16677

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