||Economic Analysis of Water Use in Illinois Agriculture.
Swanso, Earl R. ;
||Illinois Univ., Urbana. Water Resources Center.
||WRC-RR-38; DI-14-01-0001-1497; OWRR-B-014-ILL; 04935,; B-014-ILL(6)
( Water supply ;
Economic analysis) ;
( Irrigation ;
Linear programming ;
Dynamic programming ;
Regression analysis ;
Mathematical models ;
Soil water ;
Farm management ;
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Approximately 28,000 acres of field and specialty crops were irrigated in Illinois in 1966. Supplemental irrigation of corn accounted for over one half of this acreage. Important elements in the decision to invest in irrigation equipment for corn include the expected effect of irrigation on year-to-year fluctuations in income and on average income. Regression models were used to estimate the influence of moisture variables on corn yield. A moderate gain in expected income from corn was obtained by employing the irrigation policy dictated by dynamic programming rather than the policy from a moisture-deficit model. In addition to the economic analysis of the irrigation of corn viewed as a single crop, it was necessary to examine its role in the context of the total farm business. The competitive position of corn in the rotation was evaluated. Labor distribution was an important factor in determining an optimal cropping pattern. General rules were developed for adjusting leases on rented farms to provide economic incentives for both landlord and tenant to adopt supplemental irrigation. The results of all of the analyses would have been substantially improved with crop-response data from experiments in which the range of variation of water and complementary cultural practices included economically optimal levels of these inputs. (Author)