TY - JOUR
T1 - Fungicide use under risk in Swiss wheat production
AU - Gotsch, Nikolaus
AU - Regev, Uri
N1 - Funding Information:
This project was funded by ETH Zurich, Switzerland and supported by the Institute of Economics, Monaster Center, Ben-Gurion University, Beer-Sheva, Israel.
PY - 1996/1/1
Y1 - 1996/1/1
N2 - The short run effects of fungicide application on economic risk, and the effects of risk on fungicide use in Swiss wheat production are empirically explored. A quadratic production function model is developed. With the help of the moment-based approach, marginal contributions of fungicides (representing controlled inputs) and of rain (representing uncontrolled inputs) to the variances of yield and revenue are analyzed. It is not possible to show risk-reducing effects of fungicides on yield or revenue. At low rain quantities during the vegetation period fungicides have a statistically significant risk-increasing effect on revenue. Increasing risk leads Swiss wheat growers to use more fungicide. This increase is statically significant at higher levels of revenue. For example, when risk is doubled fungicide inputs are raised by 44% at the highest revenue quartile.
AB - The short run effects of fungicide application on economic risk, and the effects of risk on fungicide use in Swiss wheat production are empirically explored. A quadratic production function model is developed. With the help of the moment-based approach, marginal contributions of fungicides (representing controlled inputs) and of rain (representing uncontrolled inputs) to the variances of yield and revenue are analyzed. It is not possible to show risk-reducing effects of fungicides on yield or revenue. At low rain quantities during the vegetation period fungicides have a statistically significant risk-increasing effect on revenue. Increasing risk leads Swiss wheat growers to use more fungicide. This increase is statically significant at higher levels of revenue. For example, when risk is doubled fungicide inputs are raised by 44% at the highest revenue quartile.
UR - http://www.scopus.com/inward/record.url?scp=0030130517&partnerID=8YFLogxK
U2 - 10.1016/0169-5150(96)01177-2
DO - 10.1016/0169-5150(96)01177-2
M3 - Article
AN - SCOPUS:0030130517
SN - 0169-5150
VL - 14
SP - 1
EP - 9
JO - Agricultural Economics (United Kingdom)
JF - Agricultural Economics (United Kingdom)
IS - 1
ER -