The Role of Information and Prices in the Nitrogen Fertilizer Management Decision: New Evidence from the Agricultural Resource Management Survey

This article investigates the impact of agronomic and price information on nitrogen fertilizer management. Excessive nitrogen applications can cause environmental degradation, and it is important to understand how information influences the application decision in order to develop effective conservation policies. The impact of soil N-tests on the rate of applied nitrogen is estimated. Farmers who use a soil test reduce their use of commercial nitrogen by up to 83 lbs/acre relative to non-testers. New evidence indicates that rising fertilizer prices encourage farmers to manage nitrogen more carefully. Estimated price elasticities of quantity demanded range from -1.67 to -1.87.

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Journal Article
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Journal of Agricultural and Resource Economics, Volume 36, Number 3
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 Record created 2017-04-01, last modified 2018-01-22

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