Using Spatial Analysis to Study the Values of Variable Rate Technology and Information

For adoption of variable rate technology to increase, more knowledge of how crop yields respond to inputs is needed. As the necessary agronomic research involves approximating site-specific yield response functions, data used inherently lend themselves to spatial analysis. We discuss the different types of spatial analyses that may be appropriate. Then we present a taxonomy for the discussion of the economics of technology and information, and use it to review studies that have contributed significantly to the literature over the past few years. We contend that longer-term, multilocation agronomic experiments are needed for the estimation of site-specific <roman>ex ante</roman> optimal variable input rates, and of expected profitability of variable rate technology and information. Copyright 2007 The Agricultural Economics Society.