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Farm Profits and Adoption of Precision Agriculture
Farm Profits and Adoption of Precision Agriculture

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By David Schimmelpfennig (au)
Year: 2016
Pages: 46
Binding Paperback
ISBN 978-1-4578-6314-1

Product Code: 1457863146

Precision agriculture (PA) and its suite of information technologies -- such as soil and yield mapping using a global positioning system (GPS), GPS tractor guidance systems, and variable-rate input application -- allow farm operators to fine-tune their production practices. Access to detailed, within-field information can decrease input costs and increase yields. These PA technologies were used on 30-50% of U.S. corn and soybean acres in 2010-12. In this report, a treatment-effects model is developed to estimate factors associated with PA technology adoption rates and the impacts of adoption on profits. Labor and machinery used in production and certain farm characteristics, like farm size, are associated with adoption as well as with two profit measures, net returns and operating profits. The impact of these PA technologies on profits for U.S. corn producers is positive, but small. Figures and tables. This is a print on demand report.

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