William F. Lazarus

Agricultural pests as common property: Control of the corn rootworm

Insecticide resistance is an increasingly widespread problem reducing effectiveness and necessitating a switch to more expensive controls. A common property resource model is used to describe potential gain from internalizing resistance externalities through regional coordination. A nonlinear programming model of an Illinois cash grain farm is used to estimate the gain for corn rootworm control where rotation to soybeans is an alternative to insecticide. Switching to rotation as resistance builds causes a relatively minor decrease in profits because soybeans are profitable. Gain from delaying resistance is slight. Co-states give price changes necessary to alter externality production.

Insecticide Use and Crop Rotation under Risk: Rootworm Control in Corn

The economic threshold concept is extended to a combination of two pest controls, insecticide and crop rotation, in a corn-soybean farm model. Effect of risk attitudes on the optimal combination of controls is explored, using a stochastic simulation with random crop prices, yields, and rootworn damage. Crop insurance may cause a risk-averse farmer to adopt a riskier cropping program. Reduced risk aversion causes the farmer to specialize in the more profitable corn crop. The insecticide and rotation thresholds both increase with reduced risk aversion. Depending on pest densities on individual fields, insecticide use may increase or decrease.

The impact of computer information systems on dairy farm management decisions

This study focuses on whether information systems improve farm management. Fifty New York dairy farms were selected based on their use of computerized information systems. Each computer user was matched with a non-computer-using farm. On-farm interviews and business summaries were analyzed. Information systems provided the ability to do sensitivity analysis on planning decisions. Their speed of processing and accuracy contributed to control functions. Farmers with information systems spent more time on management tasks, but were more likely to delegate routine decisions. Farmer perceptions were that the systems had produced benefits that were equal to or exceeded costs.

The Economics of Applying Nutrient-Dense Livestock Waste at Low Rates

The economics of applying swine manure is analyzed from the different perspectives of a producer and a custom manure applicator. The analysis shows that the fertilizer savings that result from lowering the application rate and covering more acres may cover the cost of the applicator investment. The role of the custom applicator needs to be considered in the design of policies for discouraging overapplication of manure. The model developed in this study would be useful in identifying combinations of per-gallon custom charges and per-acre application rates that allow both the producer and the custom applicator to prosper.

Financial implications of installing air filtration systems to prevent PRRSV infection in large sow herds

Air filtration systems implemented in large sow herds have been demonstrated to decrease the probability of having a porcine reproductive and respiratory syndrome virus (PRRSV) outbreak. However, implementation of air filtration represents a considerable capital investment, and does not eliminate the risk of new virus introductions. The specific objectives of the study were: 1) to determine productivity differences between a cohort of filtered and non-filtered sow farms; and 2) to employ those productivity differences to model the profitability of filtration system investments in a hypothetical 3000 sow farm. Variables included in the study were production variables (quarterly) from respective herds; air filtration status; number of pig sites within 4.7 km of the farm; occurrence of a PRRSV outbreak in a quarter, and season. For the investment analyses, three Scenarios were compared in a deterministic spreadsheet model of weaned pig cost: (1) control, (2) filtered conventional attic, and (3) filtered tunnel ventilation. Model outputs indicated that a filtered farm produced 5927 more pigs than unfiltered farms. The payback periods for the investments, were estimated to be 5.35 years for Scenario 2 and 7.13 years for Scenario 3 based solely on sow herd productivity. Payback period sensitivity analyses were performed for both biological and financial inputs. The payback period was most influenced by the premium for weaned pig sales price for PRRSV-negative pigs, and the relative proportions of time that filtered vs. unfiltered farms produced PRRSV-negative pigs. A premium of

Evaluating the Economic Impacts of an Evolving Swine Industry: The Importance of Regional Size and Structure

5 per pig for PRRS-negative weaned pigs reduced the estimated payback periods to 2.1 years for Scenario 2 and 2.8 years for Scenario 3.

Round-bale feeder design affects hay waste and economics during horse feeding

This paper analyzes the economic impacts of swine operations at the county and state level, with attention to how those impacts are affected by the underlying economic structure of the region. Two sizes of farrow-to-finish operations and finishing-only operations were analyzed using IMPLAN. The relative impacts were compared to the effects of recent changes in industry structure. The larger operations provide less in economic benefits to the local county than a larger number of smaller operations. The differences were comparable to the impacts of the small unit exits over the past 4 years.

An Analysis of Anaerobic Digestion System Costs on U.S. Livestock Production Systems

Many horse owners find round bales convenient, less labor intensive, and more affordable than other hay types, but report an inability to control horse BW gain and excessive hay waste. The objectives were to compare hay waste, hay intake, and payback of 9 round-bale feeders and a no-feeder control when used during horse feeding. Nine round-bale feeders were tested: Cinch Net, Cone, Covered Cradle, Hayhut, Hay Sleigh, Ring, Tombstone, Tombstone Saver, and Waste Less. Each feeder design was placed on the ground in a dirt paddock. Five groups of 5 horses were fed in rotation for a 4-d period with each feeder. Every fourth day, groups were rotated among paddocks and a new round bale was placed in each feeder. In the 5 paddocks used, 5 feeders were installed for d 1 through 20, and the remaining 4 feeders and no-feeder control were installed for d 21 through 40. Groups of horses were sequentially assigned to feeders using two 5 × 5 Latin squares, the first for d 1 through 20, the second for d 21 through 40. Horse groups of similar age, BW, breed, and sex were formed from 25 Quarter Horse and Thoroughbred geldings and open mares (means: 11 yr; 541 kg of BW). Hay on the ground surrounding the feeder was collected daily, dried, and weighed. The total amount of hay removed around each feeder for a 4-d period was considered waste. Dry matter intake was estimated as the difference between hay disappearance and waste. Number of months for the reduction in waste to repay feeder cost (payback) were calculated using hay valued at

ECONOMICS OF SUCCESSFUL STALL BARN MODERNIZATION

110/t, and improved feeder efficiency over the control. Feeder design did not affect hay intake (P > 0.05); all feeders resulted in an estimated hay intake of 2.0 to 2.4% BW; the no-feeder control resulted in a reduced intake of 1.3% BW (P = 0.001). Mean percentage of hay waste differed among feeders (P < 0.001): Waste Less, 5%; Cinch Net, 6%; Hayhut, 9%; Covered Cradle, 11%; Tombstone Saver, 13%; Tombstone, Cone, and Ring, 19%; Hay Sleigh, 33%; and no-feeder control, 57%. Feeder design also affected payback (P < 0.01). The Cinch Net paid for itself in less than 1 mo; Tombstone and Ring, 2 mo; Hayhut and Tombstone Saver, 4 mo; Hay Sleigh, 5 mo; Waste Less, 8 mo; Cone, 9 mo; and Covered Cradle, 20 mo. Round-bale feeder design affected hay waste and payback, but not estimated hay intake or BW change during horse feeding.

Reducing the Environmental Footprint of Pig Finishing Barns

Most manure anaerobic digestion systems built to date in the United States have included electrical generation capacity with the intent of enabling the producer to directly sell electricity to a utility company. An analysis of 38 existing US manure anaerobic digestion systems indicates that the omission of electrical generation equipment would lower the initial digester capital cost by approximately 36%. Given the increase in natural gas prices over the past five years, the direct use of biogas as a replacement for natural gas or propane for on-site heating purposes (e.g. heating water, heating animal housing, etc.) would provide economic benefits to animal producers with a consistent year-round requirement for the biogas. When generator sets are removed from the digester system design, costs as well as maintenance measures are reduced. The cost analysis conducted suggest that the lower cost anaerobic digestion systems currently employed on US farms can provide biogas that is competitive or lower in cost than the current