Effects of Manure Use and Use Restrictions on Variable Production Costs and Net Incomes for United States Corn Producers

Abstract

We utilize a treatment effects model to examine if there are differences in costs/profits for manure-using corn producers versus non-users. We find that manure users have lower peracre operating costs via reductions in fertilizer and soil conditioner costs; however, the use of manure reduces grain yields and ultimately leads to no difference in profit. Separate results indicate that manure-use restrictions do not affect costs or profits; thus policies could be in place to regulate manure usage without impacting the costs/profit structure of the farm.