An economic analysis of alternative cropping systems for east-central Nebraska

Abstract

Thirteen cropping systems were analyzed with respect to profitability and risk for east-central Nebraska. The systems were developed from 1) a four-year rotation containing a small grain, 2) two row crop rotations, 3) three continuous cropped alternatives, and 4) combinations of continuous cropped alternatives. Three systems were developed from the four-year rotation including two alternative treatments of inorganic chemicals as well as an organic alternative. Eight years of experimental yields, historical prices, and estimated costs were combined to estimate net returns for each of the thirteen systems. Risk was analyzed as net return variability using statistical characteristics of the net return series. The stability component of rotation risk was separated from the diversification component. We found rotations to have higher average net returns than continuously cropped systems. Different chemical treatments (including organic) had little impact on profitability. Rotations had lower return variability than most continuous crops. The organic treatment did not decrease variability of returns compared to other chemical systems.

Factors influencing the economic potential for alternative farming systems: Case analyses in South Dakota

“…Since our budgets were based on assumed conditions after the yield transition stage has passed, the estimates of alternative system yields may be conservative. However, our assumed differences between alternative and conventional system yields are generally consistent with reports by such authors as Helmers et al (1986) and Lockeretz et al (1981). Some other reports indicate that alternative system yields eventually equal conventional system yields, after the transition phase has passed (e.g., U.S. Department of Agriculture, 1980).…”

“…However, a few such studies have been reported in this journal (e.g., Helmers et al, 1986;Domanico et al, 1986; Dabbert and Madden, 1986; and Goldstein and Young, 1987) and elsewhere (e.g., Shearer et al, 1981;Duffy, 1987;. These reflect an important initial effort to build an information base on the economics of alternative farming systems.…”

Nitrogen Use as a Component of Sustainable Crop Systems

“…Crop rotations reduce the risk of disease, insect attack, weeds, and crop failure risk associated with monoculture (Helmers et al, 1986;Karlen et al, 1994), with resulting improvements in crop yield (Pierce and Rice, 1988). The use of N fertilizers changed the natural cycling of C and N in the field, which was previously managed by the legume rotations, fallow periods, and applications of manure.…”

Implications of low-input farming systems for the U.S. position in world agriculture

“…A review of recent studies (Daberkow, et al, 1988;Domanico, et al, 1986;Helmers, et al, 1986;Dabbert and Madden, 1986; and Goldstein and Young, 1987) involving a variety of commodities and locations reveals a wide range of results on profitability of and, hence, incentives to adopt, low-input, environmentally sustainable agriculture. With the exception of oilseeds, these same commodities are among the major beneficiaries of the highly distortive subsidies and acreage reduction programs.…”