Agricultural Economics Commons^™

Where Is Your Crop Insurance Agent? Understanding The Geographical Distribution Of Agents, Cory Walters, Nathan Delay

Cornhusker Economics

Following the modifications to the Standard Reinsurance Agreement (SRA) in 2010, there was limited understanding of the impact of policy changes on agent availability. Our objective is to construct a model of the equilibrium supply of crop insurance agents and to test hypotheses regarding the factors influencing agent concentration, such as commissions, competition, and risk. We developed a theoretical equilibrium model of the federal crop insurance market, which encompasses three tiers: insurance companies, agents, and farmers. The model incorporates key features of the federal program, including government-set premiums and the stipulation that agents cannot refuse coverage or modify premiums for …

Efficiency’S Role In Irrigation And Nitrogen Use, Matt Stockton, Shannon Sand

Cornhusker Economics

Summary

The WNIPI is a purely physical measure of I and N efficiency and was developed to determine efficiency winners in several TAPS contests. DRIN is a powerful tool in measuring the effectiveness of the dollars spent on I and N. It is a ratio of dollars returned as revenue in terms of dollars spent. The third measure, NRIN, is an overall measure of economic gain. It is the difference in money spent on I and N versus the revenue taken in and measures the volume of net returns. Both DRIN and the NRIN measure dollar effectiveness dependent on the …

Empowering Rural Communities: Unlocking Potential Through The Online Rural Economic & Community Vitality Graduate Certificate, Daniela Mattos

Cornhusker Economics

In today’s evolving economic landscape, rural Nebraska stands at a crossroads. While communities face challenges like population decline, job loss, and infrastructure needs, they also have enormous potential for growth, innovation, and resilience. The key to unlocking this potential lies in skilled, passionate leaders ready to shape the future.

The Rural Economic & Community Vitality (RECV) Graduate Certificate offered 100% online by the University of Nebraska–Lincoln’s Department of Agricultural Economics, provides a powerful platform to do just that. This 12-credit, no-prerequisite program is designed for individuals eager to create real, lasting impact in rural communities—whether you're already working in …

Economic Considerations For The Transition To Organic Farming: Insights From The 2023 Conference, Asa B. Stone, Katja Koehler-Cole, Ronald Christian Stephenson

Cornhusker Economics

Introduction

The Transition to Organic Farming Conference, led by Katja Koehler-Cole and sponsored by the Nebraska Extension and the USDA-TOPP (Transition to Organic Partnership Program), aimed to equip farmers with the essential knowledge for effective agronomic management. Focusing on overcoming challenges related to soil fertility and weed control, the conference served as a platform for both education and community building. It provided crucial insights into the economic considerations faced by farmers transitioning to organic practices, underscoring the economic complexities and benefits associated with this transition. The conference highlighted the need for comprehensive support systems to aid farmers in making informed …

Water Holding Capacity Of Soil And Resilience To Drought, Taro Mieno

Cornhusker Economics

For the past two years, I have been involved in an NSF-funded research project titled “RII Track-2 FEC: Supporting Rural Livelihoods in the Water-Stressed Central High Plains.” The overarching goal of this project is to evaluate the potential of microbials and biochar to enhance soil water holding capacity (hereafter, WHC), thereby improving drought resilience in crop production and reducing irrigation demand to slow aquifer depletion. Visit the project website for more details. A key component of this research is assessing the economic viability of these interventions, a task for which I am responsible.

To understand the economic benefits of increasing …

Nebraska Women In Agriculture Conference Marks 40 Years, Lindsey Mckeever, Sarah Sivits, Jessica J. Groskopf

Cornhusker Economics

The Nebraska Women in Agriculture program marked 40 years of educating and empowering females in farming, ranching, and agribusiness, with nearly 370 people attending its annual conference on February 20 and 21, 2025, in Kearney.

Nebraska Beef Cow Breeding Herd As Capital Stock, Richard Perrin, Margarida Noelia De Aguiar Cunha Souza, Lilyan E. Fulginiti

Cornhusker Economics

Throughout her lifetime, the capital stock value of a cow first rises as the size/quality of calves increase, then declines because there are fewer calves expected over her remaining lifetime. The value later in life begins to rise in anticipation of culling value.

We estimate the age distribution of the Nebraska cow herd every year, then we estimate the capital value of each cohort. Adding these values across ages and adjusting to 2015 prices, we obtain the series of capital values, measured in terms of 2015 dollars.

In addition, we calculate the value of the annual flow of services provided …

2025 Nebraska Farmland Values And Cash Rental Rates, Jim Jansen

Cornhusker Economics

The market value of agricultural land in Nebraska declined by 2% over the prior year to an average of $3,935 per acre, according to the 2025 Nebraska Farm Real Estate Market Survey. This marks the first decline in the market value of agricultural land in Nebraska since reaching the record non-inflation-adjusted statewide land value in the survey's 46-year history in 2024.

The University of Nebraska-Lincoln’s Department of Agricultural Economics annually surveys land industry professionals across Nebraska, including appraisers, farm and ranch managers, agricultural bankers, and related industry professionals. Results from the survey are divided by land class and summarized by …

Be Aware Of Basis Volatility When Using Price Risk Management For Calves And Feeder Cattle, Jay Parsons, Aaron Berger

Cornhusker Economics

Understanding basis volatility and the impact it has on the actual price received for calves or feeder cattle in relation to the CME Feeder Cattle Futures is important when considering price risk management opportunities. Currently, cattle markets are in a time frame where volatility appears to be like market conditions experienced in 2014 and 2015. These conditions should prompt producers to think through how basis volatility could impact the expected price they will receive for their calves or feeder cattle.

Consumer Acceptance Of Gene-Edited Food: The Role Of Knowledge, Trust, And Information, Anubrata Deka, Syed Imran Ali Meerza, Amalia Yiannaka

Cornhusker Economics

The research aims to assess consumer preferences and attitudes toward CRISPR applications in the food sector and estimate consumer willingness to pay for a food product developed using CRISPR technology to enhance food safety and confer health benefits. Additionally, the research assesses the impact of information provision on perceptions, attitudes and willingness to pay. Specifically, we consider the potential effect of both the nature of information provided (i.e., whether it emphasizes the differences between GM and CRISPR technology or not) and the delivery format (i.e., text versus video) used to present content-equivalent information. In this context, we also assess consumer …

The Employer/Employee Relationship: It’S More Than Just Hiring, Cheryl A. Burkhart-Kriesel

Cornhusker Economics

For some businesses this year, they may be thinking about hiring one or more new employees. This is a big decision. Initially, they may be thinking, “Can this business support another employee?” That could be the easy question. The harder questions could be, “How do I find a good employee, and then what do I need to do to retain them?”

These questions are at the top of the minds of businesses all across the country right now. The workplace environment is subtly changing with current trends impacting both employees and employers. In a recently published article by the …

Reconciling The Paradox Of Positive Profit And Negative Cash Flow, Timothy Meyer

Cornhusker Economics

One of the paradoxes of business that accrual accounting sorts out is the reconciliation between cash flow (liquidity) and profit. The rest of this article is a summary of a case study/example utilized in Farm and Ranch Management to explain how profits and cash flow can be opposite, how this can be analyzed, and how the concept of financial feasibility and investment analysis can be used to make strategic farm and ranch decisions.

Nebraska Crop Budgets Updated For 2025, Glennis Mcclure

Cornhusker Economics

For the 2025 production season, 83 crop budgets were developed for Nebraska. These budgets show slightly lower per-unit costs compared to 2023 and 2024. The primary factor behind the reduction in input costs is the lower estimated costs of fuel and fertilizer. In most cases, machinery depreciation and opportunity costs remained relatively stable, while land values and rental rates increased slightly. Additionally, seed and interest costs also rose in the 2025 budgets. Budget scenarios for individual producers may vary depending on the timing of their input purchases and fluctuations in prices.

The Nebraska crop budgets are updated annually to serve …

Understanding Market Outlooks, Elliott James Dennis

Cornhusker Economics

As 2024 has concluded, many industry analysts will reflect on the market trends and forces that shaped 2024 to make improved decision making in 2025. This is a pivotal time to evaluate the factors influencing commodity markets and plan for the future. Market outlooks play a vital role in this process, offering agricultural producers and industry stakeholders valuable insights into price trends, production forecasts, and market dynamics. By analyzing data from government agencies, universities, and private firms, these outlooks help users anticipate and navigate market fluctuations, whether through short-term forecasts or long-term projections spanning decades. With advances in technology and …

Community-Centered Climate Resilience Strategies For Agriculture In Chile's Los Lagos, Asa B. Stone, Cristián Kremer F., Mark C. Stone

Cornhusker Economics

Community-centered approaches using the SETS framework facilitate equitable community-academia partnerships that co-create climate resilience strategies. By integrating local insights with academic research ethically and equitably, PLL aims to develop evidence-based, culturally relevant, and technologically feasible strategies. This holistic approach not only enhances community resilience but also ensures the sustainable management of water resources in the Los Lagos Region.

Agri-Technology Transforming Farms And Ranches Across Nebraska, Shannon Sand

Cornhusker Economics

In summary, agri-tech is reducing the demand for traditional farm and ranch labor in Nebraska while creating new opportunities in technical, analytical, and management roles. As Nebraska maintains its leadership in agri-tech, there will be a growing need for a tech-savvy and versatile agricultural workforce.

Place Branding: More Than Just A Logo, Marilyn R. Schlake

Cornhusker Economics

Place branding can distinguish one community from another. In a landscape of locations that provide the same amenities, environments, and opportunities, branding can help a community “stand out.” However, what is usually missing is a place brand developed in association with the community’s history, values, social connections, and organization associations that have evolved.

Leveraging Within-Field Spatial Variability To Optimize Soybean Yield, Seed Quality, And Profitability, Marina Marly Dalla Betta

Department of Agronomy and Horticulture: Dissertations, Theses, and Student Research

Optimizing yield and seed quality in soybean production is critical for both profitability and meeting market demands. However, within-field variability in soil properties poses a challenge in determining optimal management strategies to maximize soybean yield, seed quality, and profitability. This work aimed to evaluate the spatial variability of soybean fields to optimize soybean seeding rates, seed quality, and profitability. Two case studies were used to carry over this research. The first study looked at the optimal economical site-specific soybean seeding rates using 11 on-farm precision experiments across Nebraska. The second study looked at the protein and oil variability within 22 …

Small Beef-Packer Resilience During The Covid-19 Pandemic: Evidence And Policy Implications, Azzeddine Azzam, Sunil P. Dhoubadel, Binod Khanal

Cornhusker Economics

As part of a larger research project on the economics of beef supply chain resilience to natural disasters, financed in part by a grant from the USDA National Institute of Food and Agriculture, we obtained information from 289 processing plants across the United States about their operations during the peak COVID-19 period of March to June 2020 via a telephone survey. We collected data on plant type (slaughter, processing, both), the dominant livestock processed by the plant (predominantly beef, pork, poultry, and sheep/goat), plant capacity (maximum and typical capacity in slaughter head/day), age of establishment, and, whether the plant ceased, …

Financial Analysis, Tina N. Barrett

Cornhusker Economics

The investment in a financial analysis can seem like a painful task of gathering information but the information it provides gives you invaluable information about your operation, especially when you don’t want to see it. I was once told a producer didn’t want to do the analysis anymore because the information made it hard to sleep at night. While not knowing maybe helped him sleep then, the problems that were being highlighted by the analysis didn’t go away and eventually caught up to him.

The Costs Of Ecosystem Disturbances, E. Wesley F. Peterson

Cornhusker Economics

Presents an illustration of the interdependencies inherent in natural ecosystems. An ecosystem may be defined as: “… a single environment and every living (biotic) organism and non-living (abiotic) factor that is contained within it or characterizes it. An ecosystem embodies every aspect of a single habitat, including all interactions between its different elements” (Knapp 2020). In such interdependent systems, removal of one or more of the essential “elements” can severely disrupt the functioning of the system and such disruptions can give rise to negative impacts on the environment and human health and well-being.

Trucks, Trains, And Barges: For Brazilian Soybeans, It’S Not Your Grandpa’S Infrastructure Anymore, Fabio Mattos

Cornhusker Economics

In the popular movie “Planes, Trains & Automobiles”, the tagline said, “Steve Martin had no reason to panic… until John Candy came along”. In the soybean market, we could say, “We had no reason to panic… until Brazil came along”. Brazil has been rapidly growing its soybean production for the last 30 years and has recently become the largest exporter in the world. In 2024/25, USDA estimates that Brazil will account for 58% of soybean exports worldwide, followed by the United States with 28%. These are roughly the numbers for 2023/24 and 2022/23 as well.

Still, despite the massive growth …

Your Sco/Eco Policy Under The Hood: What County Yield Is The Rma Using?, Cory Walters, Ken Harrison, Connor Whalen

Cornhusker Economics

Over the past decade, crop insurance has continued to expand contract offerings through new area-based policies. Supplemental Coverage Option (SCO) was introduced in the mid-2010s. Enhanced Coverage Option (ECO) was introduced in the early 2020s, and Margin Protection (MP) was introduced in the mid-to-late 2010s. The ECO premium subsidy was recently increased for the 2025 crop year to further encourage producer participation. Both the SCO and ECO programs have experienced increased participation for a variety of reasons.

How To Communicate Your Estate Plan To Family When Dividing Assets Unequally, Anastasia Meyer

Cornhusker Economics

Provides a guide on how to effectively approach estate planning conversations with family members.

Effectively communicating an estate plan with unequal division of assets can be challenging, but approaching it with honesty, clarity, and empathy can help prevent misunderstandings and family disputes. Open, respectful dialogue—paired with thoughtful explanations and transparent documentation—ensures that your family understands your intentions and feels valued, even when tough decisions are involved.

Ultimately, your goal isn’t just to pass down financial assets, but also to preserve family harmony and, where applicable, secure the future of a viable business. By fostering open communication, you can create a …

The Economics Of The ‘Buy Local’ Trend, Susweta Ray, Konstantinos Giannakas

Cornhusker Economics

The results of our study underline the significance of the explicit consideration of consumer and producer heterogeneity and the size and type of the locality when analyzing the market and welfare impacts of the ‘Buy Local’ trend. In addition to providing important new insights on the market and welfare impacts of the ‘Buy Local’ trend, our analysis can also provide a valuable theoretical grounding for empirical studies aimed at quantifying the economic impacts of the trend in different food product markets as well as the impact of current and emerging policies affecting the markets for local foods.

Why Tariffs Are A Tax On American Consumers, Timothy Meyer

Cornhusker Economics

Summary

The takeaway from this article should be that tariffs are a political tool, not an economic one. They do raise prices and revenue, but not as much as advertised (by either side).

At its core, Economics is the study of how scarcity is solved. That is, how limited resources are best utilized. Time and time again, Adam Smith’s idea that the invisible hand of markets would guide us to welfare-maximizing solutions, largely through specialization and trade. It’s why most of us specialize in one career and trade our hard-earned money for goods and services instead of producing them at …

Climate Smart Agriculture, J. David Aiken

Cornhusker Economics

There are several programs encouraging producers to reduce their carbon intensity, including United States Department of Agriculture climate-smart agriculture programs, the 2024 Nebraska Climate Action Plan, and the 2024 Nitrogen Reduction Incentive Act. The hope is that producers with lower carbon intensity (CI) scores will receive a premium for their products. Producers would be well advised to learn more about these programs, as reducing carbon intensity in agriculture seems to be an emerging agricultural policy trend that will be with us for some time to come.

Why Is Workforce Development Such A Big Deal Now?, Cheryl A. Burkhart-Kriesel

Cornhusker Economics

For those linked to agriculture or agri-business, you are not only dealing with the national constraints of the current workforce, but if you are involved specifically in production agriculture, you are also hit by the changing size and scope of on-farm workforce trends. These are just a few of the reasons why workforce development in general, and especially in the agricultural sector, is a big deal now.

Willingness To Pay And Market Potential For Biowrap: An Economic Study Of A New Biodegradable Mulch Product In Home Gardening, Gengchen Cai

Department of Agricultural Economics: Dissertations, Theses, and Student Research

This study explores the market potential of BioWRAP, a biodegradable sprayable weed suppression product, by assessing the willingness to pay (WTP) among American home gardeners. Traditional plastic mulch offers significant agronomic benefits but poses considerable environmental challenges, making BioWRAP a promising alternative due to its similar benefits and reduced environmental impact. Using a double-bounded contingent valuation method, we analyze the WTP for BioWRAP among different demographic groups and gardening practices. Our findings indicate that the highest WTP for BioWRAP is among home gardeners who currently use chemical sprays for weed suppression, followed by those using physical barriers, with the lowest …

How Much Green To Keep The Garden Clean? An Analysis Of The Willingness To Pay (Wtp) Of Home Gardeners For Biowrap Technology, Gengchen Cai, Kanij Fatema, Karina A. Schoengold

Cornhusker Economics

A research team from the University of Nebraska-Lincoln, Kansas State University, and South Dakota School of Mines are working on creating an alternative product that would use locally available materials to create a spray-on, biodegradable polymer that can suppress weeds and will biodegrade in a timeframe that is amenable to crop production. We broadly refer to this technology as BioWRAP (Bioplastics with Regenerative Agricultural Properties).

Our results show that the home garden market is potentially a significant one for a BioWRAP product. Continued work in the development of the BioWRAP technology is necessary to determine what the cost of a …