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  4. AGRICULTURAL PRODUCTION, SYNTHETIC COMPOUNDS, AND SOIL HEALTH: A DYNAMIC BIOECONOMIC ANALYSIS

AGRICULTURAL PRODUCTION, SYNTHETIC COMPOUNDS, AND SOIL HEALTH: A DYNAMIC BIOECONOMIC ANALYSIS

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File(s)
Meneses_cornellgrad_0058F_15023.pdf (1.99 MB)
No Access Until
2027-09-09
Permanent Link(s)
https://doi.org/10.7298/nvy8-dn12
https://hdl.handle.net/1813/120751
Collections
Cornell Theses and Dissertations
Author
Meneses, Michael
Abstract

This dissertation examines how interdisciplinary findings about the role of soilmicrobiomes in agricultural production can reshape farmers’ production input choices, decisions around the adoption of organic management, and contributions to climate mitigation. Across three chapters, I develop and apply dynamic economic models to evaluate how farmers respond to new information about the relationships between synthetic chemical use, soil health, and crop yields. The first chapter introduces a dynamic bioeconomic model of a farmer’s decision-making around synthetic input use and the transition to organic farming. The model incorporates recent findings from soil science indicating that synthetic compounds can harm beneficial soil microbes, which in turn affect yields through their influence on plant nutrient uptake, stress tolerance, and pest resistance. Comparing the behavior of ”fully informed” versus ”misinformed” farmers, I identify conditions under which greater awareness of soil-microbe dynamics leads to reduced synthetic input use and transitions to organic management. The second chapter develops and estimates a dynamic structural econometric model using micro-level data to test whether real-world farmers internalize these soil health dynamics in their pesticide use and adoption choices. Results suggest that many farmers act as if soil microbial health has little effect on crop yields, despite evidence to the contrary. Simulations show that correcting these beliefs-bringing them in line with contemporary soil science-would reduce pesticide use, increase organic adoption, and improve farmer welfare in both the short and long term. The final chapter explores the climate implications of farmers’ soil health awareness. Using simulations based on the estimated model, I compare the effects of two policy approaches: (1) an informational intervention that improves farmer understanding of the agronomic consequences of chemical use, and (2) a direct organic farming subsidy. I find that improving farmer knowledge results in larger increases in organic adoption, agricultural carbon sequestration, and farmer welfare than the subsidy alternative. Taken together, these chapters demonstrate that integrating insights from soil and plant sciences into economic models of farmer behavior can uncover pathways to promoting production practices that have both private and public benefits. In particular, they highlight the potential for programs and policies that improve farmers’ understanding of soil microbes – such as targeted extension outreach initiatives – to realign agricultural decision-making with both productivity and sustainability goals.

Description
489 pages
Date Issued
2025-08
Keywords
carbon sequestration
•
dynamic bioeconomic model
•
dynamic structural econometric model
•
organic farming
•
regenerative agriculture
•
soil health
Committee Chair
Lin, Ceen-Yenn
Committee Member
Gomez, Miguel
Lee, David
Just, David
Kanbur, Sanjiv
Degree Discipline
Applied Economics and Management
Degree Name
Ph. D., Applied Economics and Management
Degree Level
Doctor of Philosophy
Type
dissertation or thesis

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