Pests and pesticides, risk and risk aversion

Pannell, David J.

doi:10.1016/0169-5150(91)90028-j

Cited by 74 publications

(35 citation statements)

References 75 publications

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“…We included a covariate describing net farm income per hectare of harvested cropland (Fig. 1C) to account for the possibility that producers in simplified landscapes have larger incomes, increasing the likelihood that they will use preventative insecticide treatments to manage risk and ensure strong economic returns (20). We also included the proportion of cropland in corn (Fig.…”

Section: Resultsmentioning

confidence: 99%

Agricultural landscape simplification and insecticide use in the Midwestern United States

Meehan

Werling

Landis

et al. 2011

Proc. Natl. Acad. Sci. U.S.A.

349

291

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Agronomic intensification has transformed many agricultural landscapes into expansive monocultures with little natural habitat. A pervasive concern is that such landscape simplification results in an increase in insect pest pressure, and thus an increased need for insecticides. We tested this hypothesis across a range of cropping systems in the Midwestern United States, using remotely sensed land cover data, data from a national census of farm management practices, and data from a regional crop pest monitoring network. We found that, independent of several other factors, the proportion of harvested cropland treated with insecticides increased with the proportion and patch size of cropland and decreased with the proportion of seminatural habitat in a county. We also found a positive relationship between the proportion of harvested cropland treated with insecticides and crop pest abundance, and a positive relationship between crop pest abundance and the proportion cropland in a county. These results provide broad correlative support for the hypothesized link between landscape simplification, pest pressure, and insecticide use. Using regression coefficients from our analysis, we estimate that, across the seven-state region in 2007, landscape simplification was associated with insecticide application to 1.4 million hectares and an increase in direct costs totaling between $34 and $103 million. Both the direct and indirect environmental costs of landscape simplification should be considered in design of land use policy that balances multiple ecosystem goods and services.agriculture | biocontrol | crop pests | land cover change | pesticides

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Section: Resultsmentioning

confidence: 99%

Agricultural landscape simplification and insecticide use in the Midwestern United States

Meehan

Werling

Landis

et al. 2011

Proc. Natl. Acad. Sci. U.S.A.

349

291

View full text Add to dashboard Cite

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“…While there is intuitive appeal on the surface to suggest that pesticides should decrease risk, Pannell (1991) suggests that this is misleading, and several empirical studies instead find a risk-increasing effect (eg. Antle (1988); Horowitz and Lichtenberg (1993)).…”

Section: Analytical Backgroundmentioning

confidence: 99%

Production risk, pesticide use and GM crop technology in South Africa

2008

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Technology involving genetic modification of crops has the potential to make a contribution to rural poverty reduction in many developing countries. Thus far, pesticide-producing Bacillus thuringensis (Bt) varieties of cotton have been the main GM crops under cultivation in developing nations. Several studies have evaluated the farm-level performance of Bt varieties in comparison to conventional ones by estimating production technology, and have mostly found Bt technology to be very successful in raising output and/or reducing pesticide input. However, the production risk properties of this technology have not been studied, although they are likely to be important to risk-averse smallholders. This study investigates the output risk aspects of Bt technology by estimating two 'flexible risk' production function models allowing technology to independently affect the mean and higher moments of output. The first is the popular Just-Pope model and the second is a more general 'damage control' flexible risk model. The models are applied to cross-sectional data on South African smallholders, some of whom used Bt varieties. The results show no evidence that a 'risk-reduction' claim can be made for Bt technology. Indeed, there is some evidence to support the notion that the technology increases output risk, implying that simple (expected) profit computations used in past evaluations may overstate true benefits.

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“…In this context, the use of chemical inputs appears to be an additional risk factor, thereby justifying the decision to take out insurance (Horowitz and Lichtenberg, 1993). Measuring the farmer's level of risk aversion helps to clarify the situation (Pannell, 1991). A farmer who is highly risk averse will increase consumption of inputs.…”

Section: (4) Crop Insurance Strategymentioning

confidence: 98%

The Determinants of Chemical Input Use in Agriculture: A Dynamic Analysis of the Wine Grape–Growing Sector in France

Aubert¹,

Enjolras

2014

J Wine Econ

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This article examines the determinants of chemical consumption by French winegrowers on an individual basis. We introduce criteria relating to the structure of vineyards and the financial situation of the winegrowers. Using data from the Farm Accountancy Data Network (FADN-RICA) for the period 2002-2007 from an annual sample of 607 winegrowers, we study the different factors that encourage winegrowers to use chemical inputs to protect or increase the yield of their vines. Drawing on transversal and longitudinal analyses, we illustrate the benefits derived from differentiating the demand for inputs according to their classification: pesticides or fertilizers. Climatic variables, physical size, and turnover all act as driving forces in the decision to use chemical inputs. We show that taking out crop insurance functions as a substitute for inputs and observe a double moral hazard effect: Winegrowers who increase their insurance coverage reduce their consumption of inputs the most and receive greater compensation; among insured winegrowers, those who use the most inputs make the most claims. As wine grape growing is a consistent activity conducted over a long period, we observe permanence in patterns of use of chemical inputs. (JEL Classifications: Q12, Q13, Q14)

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Pests and pesticides, risk and risk aversion

Cited by 74 publications

References 75 publications

Agricultural landscape simplification and insecticide use in the Midwestern United States

Agricultural landscape simplification and insecticide use in the Midwestern United States

Production risk, pesticide use and GM crop technology in South Africa

The Determinants of Chemical Input Use in Agriculture: A Dynamic Analysis of the Wine Grape–Growing Sector in France

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