IDEAS home Printed from https://ideas.repec.org/a/oup/ajagec/v86y2004i2p332-344.html
   My bibliography  Save this article

A Composed-Error Model for Estimating Pest-Damage Functions and the Impact of the Western Corn Rootworm Soybean Variant in Illinois

Author

Listed:
  • Michael E. Gray
  • Kevin L. Steffey

Abstract

We describe a composed-error model for estimating pest-damage functions. The composed-error model, originally developed to account for statistical noise when estimating technical efficiency, removes the effect of experimental errors when estimating the variance of yield loss from pest damage. As a result, the estimated variance of yield loss is often less than for a conventional model, which has economic implications when the analysis incorporates risk aversion. We find that, depending on the level of risk aversion, the western corn rootworm soybean variant reduces farmer certainty-equivalent returns 16–26% more with a conventional model than with the composed-error model. Copyright 2004, Oxford University Press.

Suggested Citation

  • Michael E. Gray & Kevin L. Steffey, 2004. "A Composed-Error Model for Estimating Pest-Damage Functions and the Impact of the Western Corn Rootworm Soybean Variant in Illinois," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(2), pages 332-344.
    • Handle: RePEc:oup:ajagec:v:86:y:2004:i:2:p:332-344
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1111/j.0092-5853.2004.00582.x
    Download Restriction: Access to full text is restricted to subscribers.
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Graziano Ceddia, Michele & Heikkilä, Jaakko & Peltola, Jukka, 2008. "Biosecurity in agriculture: an economic analysis of coexistence of professional and hobby production," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 54(4), pages 1-18.
    2. Yang, Juan & Mitchell, Paul D. & Gray, Michael E. & Steffey, Kevin L., 2007. "Unbalanced Nested Component Error Model and the Value of Soil Insecticide and Bt Corn for Controlling Western Corn Rootworm," Staff Papers 92127, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    3. Mitchell, Paul D. & Knight, Thomas O., 2008. "Economic Analysis of Supplemental Deductible Coverage as Recommended in the USDA's 2007 Farm Bill Proposal," Agricultural and Resource Economics Review, Cambridge University Press, vol. 37(1), pages 117-131, April.
    4. Mitchell, Paul D. & Knight, Thomas O., 2007. "Economic Analysis of Supplemental Deductible Coverage as Recommended in the USDA’s 2007 Farm Bill Proposal," Staff Papers 92125, University of Wisconsin-Madison, Department of Agricultural and Applied Economics.
    5. van Mellor, Thuy & Alexander, Corinne E. & Bledsoe, Larry & Krupke, Christian, 2006. "An Economic Analysis of Control of the Western Corn Rootworm Variant across Indiana," 2006 Annual meeting, July 23-26, Long Beach, CA 21264, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Yang, Juan & Mitchell, Paul D. & Gray, Michael & Steffey, Kevin, 2007. "Unbalanced Nested Component Error Model and the Value of Soil Insecticide and Bt Corn for Controlling Western Corn Rootworm," Staff Paper Series 510, University of Wisconsin, Agricultural and Applied Economics.
    7. Cobourn, Kelly M. & Goodhue, Rachael E. & Williams, Jeffrey C. & Zalom, Frank, 2008. "Pests and Agricultural Commodity Losses: Evaluating Alternative Approaches to Damage Function Estimation," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 6530, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    8. Grove, Bennie & Oosthuizen, Lukas Klopper, 2010. "Stochastic efficiency analysis of deficit irrigation with standard risk aversion," Agricultural Water Management, Elsevier, vol. 97(6), pages 792-800, June.
    9. Ceddia, M.G. & Heikkil, J. & Peltola, J., 2009. "Managing invasive alien species with professional and hobby farmers: Insights from ecological-economic modelling," Ecological Economics, Elsevier, vol. 68(5), pages 1366-1374, March.
    10. Yang, Juan & Mitchell, Paul D., 2004. "Unbalanced Nested Component Error Model For Estimating Pest Damage Functions," 2004 Annual meeting, August 1-4, Denver, CO 20002, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Cobourn, Kelly & Goodhue, Rachael & Williams, Jeffrey & Zalom, Frank, 2008. "Pests and Agricultural Commodity Losses: Evaluating Alternative Approaches to Damage Function Estimation," 2008 Annual Meeting, July 27-29, 2008, Orlando, Florida 271508, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    12. Seo, Sangtaek & Mitchell, Paul D. & Leatham, David J., 2004. "Effects Of Federal Risk Management Programs On Land Allocation And Input Use," 2004 Annual meeting, August 1-4, Denver, CO 20160, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:oup:ajagec:v:86:y:2004:i:2:p:332-344. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Oxford University Press (email available below). General contact details of provider: https://edirc.repec.org/data/aaeaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.