Irrigation in Humid Regions an Annotated

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United States Department of Agriculture Economic Research Service https://www.ers.usda.gov A 93.44 ited States AGES partment of 820218 lculture NRE Staff —cnomie Research Service Report Natural Resource Economics Division

IRRIGATION IN HUMID REGIONS

AN ANNOTATED INTERDISCIPLINARY BIBLIOGRAPHY

ERS STAFF REPORT NO. AGES820218

Rajinder S. Bajwa

WAITE MEMORIAL BOOK COLLECTION DEPARTMENT OF AGRICULTURAL AND APPLIED ECONOMICS 232 CLASSROOM OFFICE BLDG. 1994 BUFORD AVENUE, UNIVERSITY GI' MINNESOTA at. PAUL MINNESOTA 55108

Natural Resource Economics Division Economic Research Service U.S. Department of Agriculture Washington, D.C. 20250

March 1982 IRRIGATION IN HUMID REGIONS

AN ANNOTATED INTERDISCIPLINARY BIBLIOGRAPHY

ERS STAFF REPORT NO. AGES820218

Rajinder S. Bajwa

WAITE MEMORIAL BOOK COLLECTION DEPARTMENT OF AGRICULTURAL AND APPLIED ECONOMICS 232 CLASSROOM OFFICE BLDG. 1094 BUEORD AVENUE, UNIVERSITY OF MINNESOTA at PAUL. MINNESOTA 5.103

Natural Resource Economics Division Economic Research Service U.S. Department of Agriculture Washington, D.C. 20250

March 1982 IRRIGATION IN HUMID REGIONS--AN ANNOTATED INTERDISCIPLINARY BIBLIOGRAPHY. By Rajinder Singh Bajwa, Natural Resource Economics Division, Economic Research Service, U.S. Department of Agriculture, Washington, D.C. 20250, ERS Staff Report No. AGES820218. March 1982.

ABSTRACT

This bibliography identifies some of the important literature on the economic and related aspects of irrigation, with special but not exclusive reference to the humid regions of the Eastern United States. The bibliography is categorized under three main headings: on-farm irrigation planning; state, regional, geographic, and economic assessments; and national irrigation and selected policy assessments. To account for distinctive climatic variations reflected in irrigated cropland patterns in the Eastern States, four specific agricultural areas are given intensive treatment, including Florida, the Delmarva Peninsula, southern New Jersey, and Minnesota.

Key Words: Irrigation planning; state, regional geographic, and economic assessments; national irrigation policy; climatic regions; drought frequencies and growth models.

* * * * * * * * * * * * * * * * * * * * * * * * * * * * * This report was developed for limited distribution to * the research community outside the U.S. Department of * Agriculture.

* * * * * * * * * * * * * * * * * * * * * * * * * * * * CONTENTS

Page

Foreword and Introduction ...... 1

On-Farm Irrigation Planning...... 5

Anderson, Raymond L...... 5 Bruce, R. R., et al...... 6 Christian, D. M., et al...... 7 Dhillon, Pritam S...... 8 Flinn, J. C. and W. F. Musgrave...... 9 Mackert, John R., Bill R. Miller and Charles D. Whitely ...... 10 Reuss, L. A...... 11 Reutlinger, Shlomo and James Seagraves ...... 12 Sanghi, Ajay K. and Robert Klepper ...... 13 Sanghi, Ajay K...... 14

Stemmler, S. .... 000000000000000000004,0000000000000000004100000 15 Tew, Bernard V., Ivery D. Clifton, James E. Epperson and Wesley N. Musser 16

University of Minnesota 00004100000000000000000000000011000000000 17

State, Regional, Geographic, and Economic Assessments ...... 19 _ Bajwa, Rajinder Singh ...... 19 Crosswhite, W. M...... 20 Funt, R. C., D. S. Ross and H. L. Brodie ...... 21 German, Carl L...... 22 Harvey, David W...... 22 Headley, Jos 23 Long, Roger B...... 25.••••• Lynn, Gary D. and Clyde F. Kiker ...... 25 Maki, Wilbur R., et al...... 26 Oak Ridge National Laboratory ...... 27 Reynolds, John E...... , 29

Taylor, Harold H. and John E. Hostetler ... 0000 00000000000000 00 30

National Irrigation and Selected Policy Assessments ...... 32

Libby, Lawrence W...... 32 Martin, William E...... 33 Pavelis, George A...... 34

00000000000000000000000000090 0 000000000000000041 35 Schramm, Gunter Sloggett, Gordon and Arthur Daugherty ...... 36 U. S. Water Resources Council ...... 37 IRRIGATION IN HUMID REGIONS

An Annotated Interdisciplinary Bibliography

FOREWORD AND INTRODUCTION

The purpose of this digest is to identify some of the more important literature on the economic and related aspects of irrigation, with special, but not exclusive, reference to the humid regions of the Eastern United

States, where irrigation is expanding at a greater rate than in arid regions.

Some studies on the methodology of research related to irrigated land use are also included. Decisions to adopt irrigation and other intensive methods of cultivation are influenced by capital availability, farm size, market orientation, and numerous other variables. Drought conditions may trigger irrigation adoption, but its sustained growth depends on other factors, such as capital availability, crop type, soils, etc.

The bibliography is arranged in three sections and alphabetically by author, as shown in the Contents. Furthermore, it is organized to include seminal papers dealing with or relevant to humid area irrigation, rather than to provide an exhaustive and indiscriminate compendium of references or a complete digest of their substance. The first section encompasses the cost of irrigation adoption, yield responses of crops, and the seasonality of irrigation water use--all considered at a farm level. Farm budgeting methods to measure the profitability and cost of irrigation have been developed by Dhillon; Mackert, et al.; and Maki, et al. These recent works apply to the states of New Jersey, Georgia, and Minnesota. The costs of each agricultural operation and net returns of some crops are calculated.

To account for distinctive climatic variations reflected in the land use patterns in the humid east, four specific agericultural areas are 2

reflecting sub-tropical represented. There four regions are: (1) Florida, depicting mid-latitude climatic conditions; (2) Maryland; (3) New Jersey, relatively cold climatic temperate climates; and (4) Minnesota, representing continents and along the regions, usually found in the interior parts of a variety of spatial higher latitudes. This sample of areas provides some important distributions of irrigated land use, it also illustrates of these regions. distinctions between the agricultural economies and Analysis of Flinn and Musgrave's important paper, "Development is included for methodological Input-Output Relations for Irrigation Water," methods as applied to purposes. Anderson develops and applies simulation work was later extended identify optimum crop patterns in Colorado. This of the World, espe- by Arthur Maass and Raymond Anderson to other regions It is applicable to arid as well cially to Spain, California, and China.

as humid regions. 1/ with state, regional, The second section of the Bibliography deals Harvey's research elab- geographic, and economic aspects of irrigation. costs are viewed orates on normative land use models where transportation irrigation and other indicators as having a major determining influence on Von Thunen model a of land use intensity. From the original descriptive been reviewed, such as static wide variety of other, normative models have decisionmaking, and or partial equilibrium, dynamic economic function, irrigation growth models based behavioral models. Bajwa outlines selected based on the theoretical in part on extensive field work and in part

Anderson, . . . . and The Desert Shall 1/ See Arthur Maass, and Raymond L. Arid Environments. M.I.T. Press, Rejoice: Conflict, Growth and Justice in See also by same authors, A Cambridge, Mass., and London, England, 1978. Bulletin No. 1431, Economics, Simulation of Irrigation Systems, Technical University, revised August Statistics, and Cooperatives Service, and Harvard 1978, pp. 82. concepts reviewed by Harvey. The statistical models in this study are at

the regional scale, wherein data on some variables associated with irriga-

tion are used in the regression models. The relationships of certain variables were identified during initial field surveys conducted in New Jersey,

the Delmarva region, and North Carolina. Headley's paper also uses regres-

sion models to identify the significance of certain variables in explaining

irrigated land use.

Lynn and Kiker discuss increases in water use in Southwest Florida

(SWF), and also point out that during the period (1949-1969) the (SWF)

region witnessed a decline of 1 million acres of cropland. The data indi-

cate an increase of 143,000 acres in irrigation during the same period.

Thus, for each acre reduction in farmland during the 20-year period, an

accompanying increase of 1/8 acre in irrigated cropland is recorded.

Reynolds applies a linear programming model to assess the economic or

institutional consequences of broad policy alternatives or both for the

water management system. The model is designed to maximize the economic

benefits. The Kissimmee River Basin in Florida was chosen as the study

area because detailed hydrologic data were available for the analysis.

While on-farm and state considerations are important, other factors

are relevant to understanding the growth of irrigation levels. Some of

these aspects are covered in the third section--on national assessments.

For example, Pavelist paper is a fundamental benchmark, as it provides a

good exposure to the overall Capital investment picture for the U.S. with reference to irrigation, drainage and conservation activities. Various research papers on land use policy contiguous to urban centers are also considered to depict the land use policy being formulated by resource managers. For example, Professor Libby's work on "Land Use Policy: 4

Implications for Commercial Agriculture," discusses some current policy issues that have emerged due to rapid urban expansions, irrigation, and other environmental concerns.

Detailed annotations of 33 papers or other research reports follow. logical self-explanatory three-way classification is used to conform with the perceived emphasis in each paper summarized. Readers are encouraged to consult the references directly for more detailed information, to form their own interpretations, and draw their own conclusions. It is not a purpose of this bibliographic contribution to duplicate the published work of the various authors cited. The purpose is to highlight the contents, not the entire substance and detailed findings of their work. 2/

This bibliography was initiated in February 1981. It was basically completed in this form in June 1981, although some minor refinements were made to accommodate reviews.

Rajinder S. Bajwa, Ph.D. Washington, D.C.

2/ A more extensive but unannotated interdisciplinary bibliography on irrigation in humid regions is available on request to author. 5

On-Farm Irrigation Planning

Anderson, Raymond L., "A Simulation Program to Establish Optimum Crop Pat- terns on Irrigated Farms Based on Preseason Estimates of Water Supply," American Journal of Agricultural Economics, Vol. No. 5, Dec. 1968, pp. 1586- 1590.

The plan outlined in this paper determines the optimum crop pattern to

be grown on each farm based on the water supply of the individual farm and its seasonal availability. Typical irrigation sequences for selected crops,

based on two-week intervals during the crop growing season, are illustrated in tabular form. The levels of yield reductions of different crops that are likely to occur from water shortages or missing the sequence of irrigation are specified. A cool humid period would not result in excessive evapotranspiration by crops and the surrounding soil, whereas hot and dry periods

with low humid conditions result in rapid soil moisture stress conditions.

Furthermore, four different situations with different water supplies

are analyzed. Farms are also divided into categories, arranged by their acreage. Basic data on size of farms, crops grown, maximum and minimum

acreages of crops on each farm, potential yields, cost and gross returns for each crop, and water requirements for each crop are specified. The simulation technique is designed to take into consideration the seasonal variation in irrigation water supply on individual crops and individual farms within an irrigation supply system.

This article describes a technique for determining how to plan for the optimum use of limited water'supplies. This technique designed for arid to semiarid situations and surface water supplies. The relevance of this pa-

per pertains to the method of developing an optimum irrigation schedule, which may be adopted in certain regions, in this case in humid environments. Bruce, R. R., et al., Irrigation of Crops in the Southeastern United States, Principles and Practices, U.S. Department of Agriculture, Science and Educa- tion Administration, Agricultural Reviews and Manuals, ARM-S-9, May 1980, pp. 54.

This manuscript outlines some plant- and soil-water principles applicable to irrigation of crops in the Southeastern United States. The regions where these relationships are observed are those with soils classified as udalfs and udults existing in the udic water regime and thermic temperature conditions.

The introductory chapter contains resource characteristics with special emphasis on land resource areas, climate, and water availability. Major aquifers in Georgia and the underlying geological stratigraphy are presented in a tabular as well as in spatial dimension form for Georgia.

The next section contains information on soils, water retention of the soils, nutrient management, and the relationships between soil and water.

Irrigation response data for selected crops are given to indicate the yields likely to occur under specific water applications and the density of plant population. The yield response of snap beans, peanuts, corn, soybeans, and cotton is given under experimental conditions. The variation in sensitivity to soil moisture stress is also discussed, because certain crops are apparently more sensitive to water deficiency than others are. For example, the variation in sensitivity of peanuts (6 percent yield reduction) and snap beans (58 percent yield reduction) to similar changes in soil-water content reflects differences in plant characteristics.

The final section presents information on the irrigation practices, timing the irrigation, fertilization through irrigation, and the types of irrigation systems.

The emphasis of this study is more on the physical relationships of soils, water, and crops than on the economic potential of irrigated cropland. Christian, D. M., et al., The Marketing of Fresh and Processed Specialty Crops, Develo ment of Irrigation and Specialt Crops, Agricultural Experi- ment Station, University of Minnesota, Misc. Report No. 145, 1977, pp. 66.

The main purpose of this report is to present information on the marketing aspects of irrigated fruits and vegetable production. Also included

are analyses of crop production costs. These analyses are presented in the crop budget form, where the production unit is considered to be 10 acres.

The total cost of irrigating one acre from a 6" well with (100 gpm) delivery from 100 feet deep is estimated to be $112.14, where the ownership cost

(fixed) amounted to $66.42 and the operating cost (variable) was $45.72 per acre. The water application per acre varies for different crops.

The crop budgets for sweet corn, cabbage, muskmelon, tomatoes, winter squash, and some other vegetable crops are given. The highest net returns

per acre of $1,459 are registered for second-year raspberries, $1,095 for strawberries and $505 for cauliflower. The lowest net return of $138 is for cabbage.

This research also indicates that processing of truck crops appears to be gaining strength in Minnesota. In the United States the total value of processed food was $11.6 billion in 1929, but rose sharply to $73.4 billion in 1967, and is expected to reach $96.3 billion mark in 1983.

Based on the recent estimates of carloads of fruits and vegetables coming into Minnesota, the individual crops with the largest potential acreage are apples (3,000 acres), muskmelons (469 acres), and blueberries

(340 acres). Next would be sweet Spanish onions (181 acres), and strawberries (154 acres). Total potential acreage for fruits and vegetables is estimated to be 4,790 acres. Dhillon, Pritam S., Cost of Producing Selected Fresh Market Vegetables in South Jersey, Rutgers, The State University of New Jersey, Bulletin-B-853, pp. 56.

The purpose of this study was to estimate average costs of production, including irrigation, for selected fresh vegetables grown in Cumberland

County, New Jersey. A representative sample of six growers from the Cedar- ville area was selected with the aid of a county agricultural agent. The

cropland on surveyed farms ranged from 350 acres to 450 acres with one farm of 750 acres. This information was used as the basis for a model farm of

400 acres--250 owned and 150 acres rented. Then a hypothetical cropping

pattern was assigned to this model farm.

Detailed costs of inputs per acre were calculated for six major vegeta-

ble crops. The costs of cultivation, fertilizer and herbicide applications,

machinery and labor, and rent were also calculated.

Most of the surveyed farmers reported irrigation from wells using

turbines powered by stationary diesel engines or electric motors. Main

irrigation pipes were permanently installed while lateral pipes were moved

by hand. The turbine was assumed to be powered by a 90 horsepower diesel

engine, yielding an output of about 600 gallons of water per minute.

The estimated cost of applying an inch of water on an acre of ground

was $10.82, which included the cost of the well, engine, pump, pipes, and

tractor and wagon for moving pipes. The cost of well and turbine was

$15,500 in 1979, while the cost of 6-inch main layout was $28;000, and of

2-inch movable laterals was $63,000.

This report also included data on interest paid on loans and data on

hired labor. Flinn, J. C. and W. F. Musgrave, "Development and Analysis of Input-Output Relations for Irrigation Water," The Australian Journal of Agricultural Economics, Vol. 11, No. 1, June 1967, p. 1-19.

The paper focuses attention on the marginal value product of water.

The authors suggest that marginal values are needed to assess the benefits from potential projects to supply irrigation water. To take account of the

stages of growth, the irrigation season was subdivided into eight thirty-

day time periods (or stages). The 30-day stage was chosen for the following

reasons: [1] the variance of the index of relative growth and irrigation

water was sufficiently low to make statistical analysis of results meaning-

ful; [2] eight irrigation frequencies were adequate to allow logical economic

and biological interpretations of the results obtained; and [3] a 30-day

stage covers two irrigation cycles (the usual roster in the irrigation area

being a 15-day cycle) in Southern Australia.

In estimating the soil moisture production function for a single crop,

the following general specification was applied within each stage:

di = F ()cu.)

where di is days of growth in stage ; and xli is terminal soil

moisture level in stage i.

The production function generated is deterministic and neglects the

main fact that crop production is stochastic in nature. Furthermore, the

analysis assumes all inputs (except irrigation water) are held constant.

No allowance is made for substitution between irrigation water and other

inputs.

The analysis outlined in this paper is important methodologically,

and it may be useful in understanding irrigated land use in humid regions. 10

Mackert, John R., Bill R. Miller, and Charles D. Whitely, Peanut Production Costs and Returns in Seven Southwest Georgia Counties, Farm Economics Infor- mation Center, Publication No. 1, Faculty Series, FS 78-2, August 1978, pp. 15.

The purpose of this paper is to develop costs and returns data for the production of peanuts in seven sampled counties located in the southwest region of Georgia. In all, 32 farms were contacted to develop this information. The total peanut acreage in the sample was 4,999 acres, with 57 per-

cent of the acreage irrigated.

The operating costs per acre for dryland peanuts were $293, compared to $362 for irrigated peanuts. This is expected because the farmers use

more inputs for irrigated crops. This greater intensity of input (including water) raised the average yield of peanuts from 1.49 tons per acre on

dryland to 1.74 tons on irrigated cropland. Farmers producing dryland pea-

nuts averaged $351 per acre in net returns while farmers with irrigated

peanuts averaged $399. However, irrigated peanut crop acreage required

greater capital costs, which cancelled out much of the higher net returns

for irrigated peanuts.

This research raises the question of whether farmers of irrigated enter-

prises are making the best management decisions, a question which can be

answered only if one conducts additional field research with a larger sample

of farms.

Mackert, John R., Bill R. Miller, and Charles D. Whitely, Peanut, Corn, and Soybean Production Costs and Returns in Selected Georgia Counties, 1978, Farm Economics Information Center, Publication No. 3, Faculty Series, FS 79-2, June 1979, pp. 30.

The purpose of this publication is to analyze the relevant annual data

to determine the costs of farming in Georgia. Both dryland and irrigated

farming are analyzed. 11

In 1978, farmers with irrigated acres averaged $33 per acre more in variable costs ($283) than did farmers with non-irrigated cropland ($250).

This higher intensity of input (including irrigation water) raised the average yield of peanuts from 1.66 tons per acre on non-irrigated peanut crops to 1.90 tons per acre on irrigated land. Farmers with non-irrigated peanuts averaged $464 in net returns in 1978 while farmers with irrigated peanuts averaged $529.

The corn yield on irrigated acres was 146.56 bushels in 1978, as compared to 49.83 bushels per acre on non-irrigated cropland. This marked increase in yield was reflected in the average net return per acre over variable cost. The calculated net return for irrigated corn was $153 per acre, whereas the average net return for non-irrigated corn was only $8 per acre.

The average variable cost per acre of soybeans was $92 and provided the farmer a net return over variable costs of $54. This result apparently applies to non-irrigated soybeans, because only two out of a sample of 24 enterprises had irrigated cropland in 1978.

Reuss, L. A., Yield Response and Economic Feasibility of Sprinkler Irriga- tion of Citrus, Central Florida, Dept. of Agricultural Economics, Florida Agricultural Experiment Station (in cooperation with Natural Resource Economics Division), Economics Mimeo Report EC 69-10, June 1969.

This report summarizes results of 6 years of irrigation practices for oranges and grapefruit crops grown at the Citrus Experiment Station, Lake

Alfred, Florida. These experiments were conducted between 1960-1967, and the effects on yields of varying level of water applications were considered.

The average yield response was highest for Marsh grapefruit (up to 374 boxes per acre) followed by Hamlin, Valencia, and Pineapple oranges. The rate of yield response decreased with added frequency of irrigations. Yield 12 responses included the interaction of irrigation with fertilizers and other inputs.

Investment cost data are representative of 60 acres of citrus crop grown under prescribed conditions. The initial investments per acre ranged from $247 for the perforated pipe system to $519 for the permanent overhead system. The range in per acre annual costs of irrigation by system and by frequency of irrigation per season was from $37.00 to $92.26. Annual costs include depreciation and amortization of the initial capital outlay.

Highest net returns of $494 were recorded for grapefruit at 9 irrigation frequencies per season with an average application of 2 inches, $373 for Hamlin oranges, $181 for Valencia, and only $93 for Pineapple oranges.

These net returns were achieved with the permanent over-tree irrigation system. They are compared with returns obtained using other systems. The other irrigation systems were self-propelled high pressure gun, portable high-pressure gun, and perforated pipe. The perforated pipe system yielded the lowest returns for each variety of of citrus crop.

These data are about 15 years old and should be interpreted in the light of inflation, especially rising energy costs.

Reutlinger, Shlomo, and James Seagraves, "A Method of Appraising Irrigation Returns, Journal of Farm Economics, Vol. 44, No. 3, Aug. 1962, pp. 837-850.

The paper analyzes basic data pertaining to average yields for non- irrigated and irrigated tobacco obtained in experiments at Oxford, McCuller, and Clayton, North Carolina. Yield data for 13 years were analyzed. First of all, from the available data amounts of irrigation and rainfall are recorded, and from these data an index which represents soil moisture deficiency for each treatment during the crop season was computed. Approx- imately 20 different moisture deficiency indices were computed before one 13

was selected. These indices differed in three respects: 1) by the method of computating soil moisture (the Van Bavel, Thornthwaite, and Wiser methods were tried before the Wiser method was selected), (2) by whether drought

days or daily moisture deficits were used as the method indicating the detrimental effect of soil dryness, and (3) by the weights attached to the

days in different parts of the season.

The growing season was divided into two periods, May 15 - June 14 and

June 15 to July 14, for purposes of separate weighting as well as aggrega-

tion. Yield of tobacco is estimated to increase 71.44 pounds per acre for

a unit decrease in the deficiency index. The standard deviation of this

estimate, Sb, is 6.61.

The selected soil moisture deficiency index was computed by aggregating

daily, deficits of soil moisture during any growing season. Daily deficits

are the amounts by which soil moisture content falls below the half-way

point from zero soil moisture to .the moisture storage capacity. Specifical-

ly, daily moisture deficiency index is derived by tabulating initial soil

moisture capacity, potential evapotranspiration, and actual evapotranspira-

tion. Potential evapotranspiration actually occurs only when the soil is

at its storage capacity and depends on temperature.

Sanghi, Ajay K., and Robert Klepper, "Economic Impact of Diminishing Ground Water Reserves On Corn Production Under Center-Pivot Irrigation, Journal of Soil and Water Conservation, Volume 32, No. 6, Nov.-Dec. 1977, pp. 282-285.

This paper proposes a method of analysis that incorporates some important

hydrologic and agronomic relationships. For a specific site or location,

hydraulic conductivity and specific yield are parameters not influenced by

policy decision. The assumption is that geologic, and hydrologic conditions

are uniform over an area under study. Furthermore, this study assumed a 14

crop water shortage during July and August to be the sole factor influencing

yields in this instance corn grown on O'Neill Sandy Loams in Holt County,

Nebraska.

The research developed a representative budget for raising irrigated

corn on 132 acres, assuming a well depth of 300 feet and a lift of 100 feet.

Prices for all components were in 1975 dollars. Total revenue, less harvest- ing and storage costs, generated by irrigated farming on the 132 acres was

$53,224. Estimated costs incurred amounted to $35,108, providing a net

return of $18,116, or $137 per acre. In this case estimated corn yield was

168 bushels per acre.

Now under the conditions of lowering water table due to excessive

irrigation the well water table would decline by 14 feet in the year 1985.

Under this situation the water cost would rise, and net revenue would dimin-

ish. In this study net revenue declined t $11,145, giving a net return of

only $84 per acre. Thus a 14-foot decline in the water table, when no fur-

ther saturated thickness remained to be exploited, reduced net returns of

a representative farm raising corn by nearly $7,000 from $18,116.

Sanghi, Ajay K., "Role of Irrigation Water in Agricultural Production: Some Resource Use Issues," Water Resources Bulletin, Vol. 15, No. 3, June 1979, pp. 812-825.

This paper discusses a method to measure the marginal physical product

of irrigation water for nine sites, where site specific data on weather and

soil parameters were given. This required an accounting procedure to meas-

ure the effect of water applied to the soil profile and its effect on the

evapotranspiration deficits at different stages of the growth period of

corn. The irrigation requirements for growing corn on the nine selected 15

sites were calculated along with the effect on net returns for various levels of irrigation.

A model was developed to examine three relevant parameters: (1) water holding capacity, (2) rainfall or irrigation applied, and (3) Class A pan- evapotranspiration. The analyses indicated that soils with a low moisture holding capacity require more water and energy in raising crops, and are thus more vulnerable to variations in net returns due to declining water tables or higher energy costs.

The analysis conducted was for 132 acres of corn, where approximately

$3,000 was attributed to direct energy costs for pumping water. Net returns ranged from $12,278 to $16,052 on different sites. These results were attained with an average of 89 percent of the maximum achievable crop output even in the absence of rainfall. Sites were selected to represent various combinations of soil water holding capacity, pan-evapotranspiration, and average rainfall because these conditions vary considerably over an area as large as the Great Plains Regions.

Stemmler, S., "Assessment of Alternative Measures for Influencing the Use of Nitrogen Fertilizers in Agriculture Under Economical and Ecological Aspects: Outline of a Cost-Benefit Analysis," Discussion Paper, presented at the NRED Seminar Meetings, April 22, 1981, pp. 18.

The analysis in this paper focuses on the effects of mineral nitrogen fertilizers applied for crop production that have increased 137.9 percent in Western Germany over the Period between 1960-61 and 1978-79. Recent emergence of nitrate pollution of the ground water has been caused by the increased heavy doses of the fertilizer applications, some of which pen- etrate down to the underground water sources, while some is washed into surface streams. Nitrates pose a health danger because they can induce

Methemoglobinemia when they are converted into nitrites by bacteria in the 16

then convert hemoglobin stomach of both humans and livestocks. Nitrates carrying oxygen, in the blood to methemoglobin preventing the blood from causing suffocation. being labeled respon- Agricultural production methods are increasingly drinking water. The sible for such nitrate/nitrite concentrations in causes eutrophication presence of these elements in the surface waters the surface water. A which ultimately leads to lower oxygen levels in increasing overloading high level of mineral fertilizers will add to the of the soil. Another of the alkaline reserves and thus to an acidification -fertilizers is the activity negative effect of intensive use of mineral N on soil productivity. of soil micro-organisms which have a great influence usually associated with The increased use of synthetic fertilizers is Some areas, where intensive agricultural practices including irrigation. leaching of nitrates, high irrigation frequency has contributed to excessive polluted. may soon find their underground water resources

Epperson, and Wesley N. Musser, Tew, Bernard V., Ivery D. Clifton, James E. Production of Corn Grain, Grain Costs and Returns of Irrigated Multiple-Crop Plains, Faculty Series, Divi- Sorghum and Corn Silage in the Georgia Coastal University of sion of Agricultural Economics, College of Agriculture, Georgia, undated publication, pp. 89. are located in Tifton The irrigated croplands reported in this study of the Atlantic Coast County, Georgia, where lakeland soils, a component purposes a series of four Flatwoods Soil group, predominate. For analysis tillage methods was generated detailed budgets incorporating the various In general, irrigated double-crop for each multiple-crop production system. were analyzed. systems, particularly corn-grain combinations, tables indicate the prof- The budgeting results presented in various whereas the results of double itability of irrigated corn as a single crop, 17

crop systems are less promising, except for corn silage, which has a limited market.

The results of the tillage treatments appear to be more significant.

In general, the rip-hip and rip-plant treatments are more profitable than either the disc treatment or deep-turn treatment.

If multiple-cropping systems based on corn as a main crop and grain sorghum as a second crop are to become generally profitable, the yields or price of the grain sorghum must increase considerably. A second crop of corn is not profitable using any tillage method; therefore, under present market prices, grain sorghum appears to be the most promising.

University of Minnesota, Agricultural Experiment Station, Water Sources and Irrigation Economics: Development of Irrigation and Speciality Crops, Misc. Report 150, 1978 (multiple authors), pp. 76.

This report updates the earlier information published in 1976 on the potential of irrigated crop production in Minnesota. Specifically, this

•report discusses water sources, sprinkler irrigation costs, crop costs, and other detailed information on cash flows and the profitability of irrigation investments.

Estimates of costs and returns per acre are included for both irrigated and non-irrigated production. The potential yields of crops vary from the northern to the southern part of central Minnesota because of climatic variations and the length of the growing season. The central part of Minnesota is divided into three zones to account for the climatic influence on corn,

soybean, and alfalfa production.

The corn yield per irrigated acre was 160 bushels in the South Central

Zone, and yields a return of $23.88 per acre. In the North Central Zone and

Central Zone, irrigated corn is not profitable. Again, soybeans production 18 was most profitable in the South Central Zone, where a yield of 50 bushels was registered, giving a return of $54.79 per acre. The most profitable crop was early potatoes, yielding a return of $362 per acre, while the full season potato crop produced a return of $283. All these returns were above the operating costs, and were for irrigated crops only. 19

State, Regional, Geographic, and Economic Assessments

Bajwa, Rajinder, S., Irrigation Potentials in Humid Regions of Eastern United States Based on Drought and Market Conditions, Ph.D. dissertation, University of Michigan, Ann Arbor, 1980, pp. 215.

This study analyzes three important aspects of irrigated land use. The first is the temporal and spatial spread of irrigation at the county level.

This includes the occurrence of droughts with accompanying lower crop yields

Drought conditions are not unusual in the humid regions, and pose uncertain- ties for crop production and for the established agricultural economies.

The second land use aspect is the location of irrigation, encompassing

the dimensions of market orientation and how food processing plants influence land use patterns. The analysis of this aspect is presented at the farm,

county, and regional levels.

The third and final section presents a regional analysis which develops

models explaining the presence or absence of irrigation. In this section,

factors associated with the irrigation of crops are identified and measured

to assess the importance of each. Regions within the humid East differ in

agroclimatic conditions and economic specialization. Therefore, the unique-

ness of each region is recognized.

The variables considered in this study and found to be important in

the instigation of humid irrigation practices often appear in different

combinations at regional, county, and individual farm levels. At the

regional level, farm size as a proxy variable for capital availability is

found to be important in Florida, whereas the occurrence and severity of

drought is important in the Eastern Shore of Maryland as well as in Florida. the Specialty crop acreage is important in the Middle Atlantic Region. In bearing case of the Northeast region, food processing plants have a strong

on the intensity of land use, including irrigation. 20

Crosswhite, W. M., Use of Water for Supplemental Irrigation in Delaware, University of Delaware. Agricultural Experiment Station, Newark, Delaware, Dec. 1968, pp. 24.

This study suggests that many agricultural specialists in Delaware consider supplemental water an important requirement for maximum economic returns from many high valued crops. According to calculated drought proba- bilities, droughts over a prolonged period are more likely in Delaware than in most northeast States.

Crosswhite's data indicate that irrigation investment per acre declined rapidly with increases in number of acres irrigated. Specifically, the cost

per acre declined from an average of $336 for 25 acres irrigated farm to $88 per acre for a farm size of 150 acres and over. Labor efficiency is also important in reducing variable costs as the number of acres irrigated is increased.

The average investment in sprinkler irrigation systems in 1956-1958

ranged from $6,281 (on those farms irrigating less than 25 acres) to $21,096

(on farms irrigating 150 or more acres). Investment in 1965 followed the

same pattern as found in 1956-1958. Also, there is a tendency for the farm-

ers using streams as their water source to irrigate more land. This is

expected because the surface sources of water are usually less expensive,

as they allow savings in pumping costs.

The yield response of asparagus to irrigation is estimated using a

production function analysis. This model is used in two ways with equations

derived for irrigated and non-irrigated plots and an equation in which irri-

gation is treated as an independent variable.

The primary results observed in this study indicate that irrigation

without proper fertilization does not produce significantly higher yields. 21

It is only when the level of fertilization reached 800 pounds of 5-10-15 per acre that irrigation seems to produce a marked increase in yield.

Funt, R. C., D. S. Ross, and H. L. Brodie, Economic Comparison of Trickle and Sprinkler Irrigation of Six Fruit Crops in Maryland, Maryland Agricul- tural Experiment Station, University of Maryland, MD, July 1980, pp. 16.

This study deals with the costs of trickle irrigation and compares it with the overhead sprinkling irrigation applied to six fruit crops: apples, peaches, grapes, raspberries, blueberries, and strawberries. Two irrigation and fruit crop model layouts were developed, and irrigation was provided by overhead sprinklers in one and by trickle irrigation in the other.

In both models, water was applied at a rate of 0.2 inches per day to the areas covered from June 1 to September 1 (92 days). The application rate did not account for any rainfall that occurred. The area planted by each crop was also kept the same (7.5 acres).

In this study, the trickle irrigation system is found to be less expensive than the sprinkler system, although the labor cost remained the same.

Water usage is 54 percent less with the trickle irrigation system; this is expected because less area in the field is wetted. Initial costs for trickle irrigation ranged from $332 to $1,094 per acre. The highest cost was for strawberries, where the crop rows were closely spaced and the surface system was replaced every 5 years. These costs are based on 1978 prices obtained from equipment dealers. The profitability of these systems is not discussed in this report. The study only considers the irrigation costs pertaining to fruit crops. 22

German, Carl L., The Economics of Irrigating Corn in Delaware; A Three Year Summary; Extension Bulletin 116, Nov. 1979, pp. 16.

During 1976-1978 in Delaware, average corn yields without irrigation were 73 bushels, whereas with irrigation the yields increased 112 percent to 155 bushels. Also, during the same 3 years the acreage of irrigated

cropland increased from 20,000 acres to over 40,000 acres. Irrigated corn acreage alone increased from 3,200 acres to 18,000 acres.

Non-irrigated corn production costs increased about 5 percent over the 3-year period, while the production costs for irrigated corn increased approximately 16 percent during the same period. The increase in production costs due to irrigation was $82 per acre.

On the average, 7 inches of water per acre was applied. The range was

4.5 to 11.9 inches. These data include the irrigation period that lasted from June 15 to the end of August or a period of 2 1/2 months.

For non-irrigated corn, average profit per acre was only $15, while on the irrigated corn fields the average profit was $111 per acre. The profit potential per acre rises at a faster rate with increasing corn prices when irrigation is introduced and yields are increased considerably. The non- irrigated corn showed a net loss for 1977, a very dry year. Indeed, one should expect extensive crop losses in periods of soil moisture stress.

Harvey, David W., "Theoretical Concepts and the Analysis of Agricultural Land-Use Patterns in Geography," Annals of the Association of American Geographers, Vol. 56, No. 2, June 1966, pp. 361-374.

This author reviews the various land-use models that have been applied by geographers to understand the intensity of cropping patterns. Previous- ly the studies were mostly micro-analytical in the sense that they have attempted to examine the unique causes of patterns within specific spatial 23 settings. The main aim of this paper is to outline theories developed in other disciplines and to evaluate their utility for geographic explanation.

Furthermore, these models are grouped according to whether they place emphasis on economic aspects of the problem, or upon the behavioral aspects.

These are further subdivided according to whether the framework is normative or positive. In practice the economic models so far developed tend to be normative, whereas the behavioral models tend to be descriptive.

As an example, the normative model explains how a land-use pattern will develop over a flat plain surface of uniform fertility and equal transport facility, given that only one market exists. The main input variable in the model is transport cost, which is assumed to increase with distance from market and which is assumed, therefore, to determine a pattern of "local price" for each commodity. This type of model has been applied by Hoover,

Losch, Dunn, and Isard.

The normative relationship in the model assumes that farmers will choose to maximize economic rent. This relationship is used to demonstrate how concentric zones of land use will emerge under certain assumptions.

There are many other normative models that are discussed in this paper.

The relevance of this paper lies in understanding the intensity of land use around a market center, where irrigation development forms. one important factor that may explain the nature of agricultural activity.

Headley, Joseph, C., "Factors Associated with the Location of Supplemental Irrigation in the Humid Area," Land Economics, Vol. 37, No. 2, May 1961, pp. 187-190.

This paper discusses the main factors associated with irrigation in humid areas of the United States. The term humid area refers to the 31

Eastern States which lie wholly east of the 97th meridian west longitude. 24

The discussion is an attempt to identify relationships that explain the irrigated cropland in some regions with the hope that some clues to future development can be found. The assumptions are that the irrigated acreage in a humid area will be positively associated with: (1) large deficits in moisture which occur during the growing season on a drought frequency; (2) local climatic conditions that favor the production of high water requirements crops such as rice; (3) limitations imposed by public policy on such crops as cotton or tobacco; and (4) concentration of high value per acre, market oriented, perishable crops and produce such as fruits, vegetables, and dairy products.

As expected, different variables in each region were found to be associated with irrigated cropland. For example, in Florida the variables expressing the effect of moisture deficit or surplus showed some explanatory value. In the Northeast, the Lake States and in Florida the value of crops sold per acre was found to be the most important explanatory variable associated with irrigated cropland. In the Corn Belt the percentage of cropland in specialty crops was the most important variable. The percentage of population in nonfarm activities had the greatest explanatory value in the

Southeast, which might suggest more readily available water supplies near

urban areas in this region as a contributing factor to adoption of irriga-

tion.

Percentage of cropland in rice showed strong association with irriga-

tion in the Delta area, and completely overshadowed other factors. The

effect of dairying was most noticeable in the Corn Belt and had the least

value in the Delta region. 25

Irrigation in Long, Roger B. and Philip M. Raup, Economics of Supplemental Experiment Station, Central Minnesota, University of Minnesota, Agricultural Station Bulletin 475, 1965, pp. 32. and The study region includes three counties -- Sherburne, Stearns, were interviewed Todd -- where truck farming predominates. Forty irrigators Average farm size to generate primary data for the analysis of this report. The 1959 included in the sample was relatively large, 324 acres in size. 187 acres as Census of Agriculture data for the three counties showed about

the average size of all farms. invest- Simple regression analysis was used to relate total irrigation irrigators had ment and total acres of corn irrigated. Twenty-three corn investment of an average of about $7,200 in equipment, whereas average figures were potato growers was calculated at about $21,000. These cost

estimated for 1961 -- a year in which rainfall was irregular. only per- These data are about 20 years old. Therefore their relevance

tains to the method of analysis. develop- The conclusions drawn from this study show that the irrigation in one crop ment leads to limited crop alternatives, because specialization and reduce was considered essential in order to increase scale of operations increased com- costs. Another important conclusion appears to be farmers' of capital in mitment to farming because they have invested large sums

irrigation equipment.

Florida--An Economic Lynn, Gary, D., and Clyde Kiker, Water Use in Southwest of Food and Agricul- Perspective, Agricultural Experiment Station, Institute Economica Report 82, tural Sciences, University of Florida, November 1976, pp. 70. use within the This report documents some important aspects of water The region covers 13 economic framework of the southwest Florida area. state. This analysis counties that lie in the southwest section of the 26 concentrates on three main water use activities: (1) agricultural production,

(2) commercial industrial production, and (3) direct consumption or "people oriented" consumption of water.

In 1969, almost one-third of all farms in the region had irrigated cropland of 274,000 acres that used 58 billion gallons of water. Citrus was the main irrigated crop, followed by vegetables of various types. About 8 inches of water was applied per acre.

Nearly 80 percent of sales from crops was generated by citrus in 1969.

"Vegetables ranked second with 11 percent. During the same year livestock products generated over $124 million, with equal shares from among the major classes of livestock (dairy, other cattle, and poultry).

Average dollar sales per acre were $85 for the entire region, whereas the average input requirements per acre were $18 in machinery-equipment investment, 20.30 labor, and $52.78 per acre for other operating expenses.

In absolute terms the sales value of agriculture in 1969 was $300 million compared to at least $180 million in mining and $3,532 million in manufacturing. The amount of sales from agricultural enterprises and mining

was found to be highly correlated with the total amount of water used in

production activities. Correlation coefficients were estimated at 0.88 for

agriculture and 0.98 for mining.

Maki, Wilbur R., et al., Economic Impact of Irrigated Agriculture in West Minnesota, Development of Irrigation and Speciality Crops, Agricultural Experiment Station, University of Minnesota, Miscellaneous Report 151, 1978, pp. 40.

This study documents the direct, indirect, and induced economic impact

of irrigation growth in west Minnesota. Total gross economic impact was

projected at $106.13 million (in 1970 dollars) for 1985. In 1978 dollars, 27

the equivalent value is $175 million (using the relative 1978 Consumer

Price Index as an inflation multiplier).

The region is comprised of 14 counties, with a projected population of

265,000 in 1985. The total gross regional impact of $106.13 million induced by irrigation development converts to per person benefits of $400 in 1970 dollars and $660 in 1978 dollars. The 1985 baseline gross regional product per person is projected at $5,608, which compares with a 1970 estimate of

$3,874--all in 1970 dollars.

Measurements of the regional economic impact of irrigation development for this region were sought for several reasons. This 14 county region is the leading area of sprinkling irrigation in the state. It has light sandy soils and access to abundant water supplies, and it has a high potential for rapid growth in irrigated cropland, given favorable price and production

conditions.

For the regional impact analysis four principal sets of statistical

series were examined: population, industry employment, personal income,

and agricultural production. The main irrigated crops in 1975 were corn for grain, hay, alfalfa, dry beans, and potatoes. A similar pattern of

irrigated cropland is projected for year 1980 and 1985. The estimated

92,377 acres of cropland under sprinkler irrigation in 1976 is projected

to exceed 831,885 acres by 1985.

Related Oak Ridge National Laboratory, State Water Use and Socioeconomic Data to the Second National Water Assessment, Consultant Reports prepared for the U.S. Water Resources Council, Oct. 1980.

This report provides detailed data by states on irrigated acreage,

consumptive use of water by agricultural activities, and industrial and water commercial water use requirements. It also includes data on domestic 28 use. Suitable methodologies are developed to transform data pertaining to hydrologically oriented Assessment Sub-Regions (ASRS) as given in Water

Resources Council (WRC) reports to state level areal units.

These 106 ASRS (99 in conterminous U.S.) or their county approximations, termed Assessment Sub-Areas (ASAS), were used exclusively in the

Second National Water Assessment as the basic data collection and analysis units for identification and definition of water resource problems.

Specifically this report presents the converted Second Assessment projections of water use and related socioeconomic data by state rather than by ASR, and documents the data sources conversion techniques, and assumptions.

The quinquennial agricultural census reports data were supplemented with data from the USDA Crop Reporting Board. The economic and demographic

projections for the years 1985 and 2000 as presented in the Second National

Water Assessment's National Future data are based primarily on the 1972

OBERS Series E projections. The OBERS projections were developed as a

nationally consistent set of data on population and economic growth. These

projections were prepared by the Bureau of Economic Analysis of the U.S.

Department of Commerce and the Economics, Statistics, and Cooperatives

Service of the U.S. Department of Agriculture.

As indicated above, the state data are given by economic activity, such

as irrigation acreage, irrigation water use, water use in food processing,

etc. No comparison between state and ASAS regions is possible because the

area units are based on different criteria. 29

Reynolds, John E., Economic Evaluation of Water Management Policies, In Legal, Institutional, and Social Aspects of Irrigation and Drainage and Water Resource Planning and Management, American Society of Civil Engineers, New York, 1979, pp. 457-472.

The model described in this study allocated water over four time pe-

riods and four sub-basins in such a manner that the total net returns to

society were maximized. The Kissimmee River Basin was chosen as the study

area because it was an area for which the South Florida Water Management

District had detailed hydrological data available in a convenient form.

The basin stretches from Orlando in the north to Lake Okeechobee in

the south. This region had many shallow lakes and swamps connected through

a system of small streams. Water flowed south in a broad path into the

Kissimmee River. This was a major source of water for Lake Okeechobee and

south Florida.

For purposes of this study the basin was divided into four sub-basins,

and four time periods, so that the locational and seasonal flow of water

could be estimated with greater precision. The following four time periods

were used in the model: (1) June-September, (2) October-November, (3)

December-January, and (4) February-May. The selection of these periods was

based on precipitation regimes in the region and on the seasonal aspects of

the demands for irrigation and recreational purposes.

Six different crop-irrigation activities and the net returns per acre

from each activity were specified. The amount of water required by each

activity and the acreage of each crop were estimated.

In a comparison of the "low irrigation-low release" of water with the

"high irrigation-high release" alternatives, the total benefits to the basin

changed very little ($39,700), but the irrigation benefits increased from 30

$1.37 million to $4.05 million. In the concluding section the usefulness of this model and its limitations were carefully presented.

Taylor, Harold, H., and John E. Hostetler, "Irrigated Agriculture in the Delaware River Basin, Historic and Projected," presented at the International Symposium on Rainfall-Runoff Modeling, May 18-21, 1981, Mississippi State, Mississippi.

The purpose of this paper is to estimate the future needs for irrigation water in the Delaware River Basin. Based on the existing stream flows and demands on ground water, projections for irrigated cropland in 1980, 1990 and 2000 are presented. Specifically, hectares irrigated and volume of water required by crop type and by geographic areas, such as states, sub-basins, and watersheds are computed.

In preparing these projections, a Markov regression model is applied to estimate how a particular state share of irrigated acreage changed relative to the changes experienced basin-wide and between basin and states.

A Spillman model is used to estimate hectares of irrigated cropland. Infor- mation derived from these models is based on the expected population, import-export policies, consumptive use patterns, etc. Authors claim that this information is consistent with the OBERS projections (U.S. Department of Agriculture, and Bureau of Economic Analysis, Department of Commerce).

Water requirements for each crop, as determined from nearby weather stations, are computed using the familiar methodology developed by the Soil

Conservation Service in its Technical Report No. 21, 1971. To estimate the missing data for temperature and precipitation based solely on latitude and longitude is completely out of line with modern climatic theories that depict temperature and precipitation to be a function of air masses and many other factors, such as nearness to water bodies, elevation, the orientation of topography, etc. The maps included in the paper could have been 31

more effective if they had included the captions, explaining the meaning of each line shown on these maps. Outside readers may find it difficult to interpret the information portrayed on these maps, although it may be quite understandable to the authors.

According to this paper the future demand of irrigation water would be

concentrated in southern New Jersey and the Delaware portion of the basin.

Furthermore, the study suggests that most of the irrigation water in south-

ern New Jersey utilizes the same aquifer which supplies water to Camden

municipal and industrial needs. Therefore, there is a risk of over use of

this aquifer. Salt water may intrude by moving upward through the Delaware

estuary to degrade the quality of this underground aquifer. 32

National Irrigation and Selected Policy Assessments

Libby, Lawrence W., "Land Use Policy: Implications for Commercial Agricul- ture," American Journal of Agricultural Economics, Vol. 56, No. 5, Dec. 1974, pp. 1143-1152.

This study discusses agricultural programs designed to intensify food production on lands physically, economically, and politically capable of sustaining production in the long run. Specifically, these programs have been instituted in areas where agricultural production is under pressure from other legitimate uses such as urban, aesthetic, environmental, and recreational.

At the national level the Land Use Planning Act of 1974 defines areas of environmental concern to include "renewable resource lands where uncon- trolled or incompatible development could endanger future water, food, and fiber requirements of more than local concern . . . . to include agricultural, grazing, and forest lands." Different states define critical environmental concerns in various ways, but one element that emerges consistently in all these proposals relates to the preservation of productive agricultural lands.

The most important element that needs consideration in land use control and planning is who will pay for the benefits perceived from altering the pace and patterns of land use. In some areas such as New Jersey, and Suffolk

Co., N.Y., intensive irrigated agriculture is found near large urban centers which may be described as "critical areas of concern." From the viewpoint of community goals these areas may be best suited for environmental resources, while from the agricultural productivity viewpoint these areas represent prime agricultural land. How we reconcile these conflicting interests is a 33 major policy issue which should be considered individually for each specific area.

Martin, William E., "Returns to Public Irrigation Development and the Con- Comitant Costs of Commodity Programs," American Journal of Agricultural Economics, Vol. 61, No. 5, Dec., 1979, pp. 1107-1114.

In this paper Martin contends that irrigation is not the major culprit in oversupply of cereal crops, and that the problem of overproduction would still exist without extensive public investments in irrigation. Probably of more significance has been technological change resulting from mechaniza- tion, hpbrid seeds, and chemicals. This paper suggests that Bureau of

Reclamation projects in total can be evaluated in the context of a land- saving technological innovation. Proper assessments of the benefits and costs attributable to a single "innovation" are complex, as the literature will show. Empirical approximations presented are rough and conclusions appear tentative.

Some scholars have been critical of the future development of government irrigation projects planned and built in the humid East by the Corps

of Engineers. These analysts believe that the subsidized irrigated agricul-

ture exacerbates the problem of overproduction of some crops. However,

this study presents a view which is contrary to the above mentioned argument and gives an alternative explanation of the agricultural surpluses, which

may be the result of technological change, and the development of synthetic fertilizers. 34

Pavelis, George A., Natural Resource Capital Stocks, Measurement and Signif- icance for U.S. Agriculture Since 1900. Reproduced paper given at the Annual Meeting of the American Association for the Advancement of Science, February 12-17, 1978, Washington, D.C., pp. 27.

This paper discusses the real or constant-dollar gross and net stocks of capital (both private and public) investments associated with agricultural irrigation, drainage, and soil conservation activities (IDC) in the United

States. Gross stocks are defined as accumulated gross annual investments, less accumulated abandonments or retirements. Net stocks are defined as the existing assets reduced in value by the amount that they have depreciated.

The total (IDC) facilities and associated equipment in 1975 had a real net (or depreciated value) of $27.5 billion in constant 1972 dollars. This represented about one-fourth of all fixed nonland capital in agriculture.

The $27.5 billion net IDC capital value was comprised of about $12.3 billion for irrigation (45%), $9.7 billion for conservation (35%) and $5.5 billion for drainage purposes (20%).

This study aids in understanding the magnitude of total capital invested in IDC in both humid as well as dry regions. Since comparable regional data are not considered or perhaps not readily available, the application of this study only pertains to the United States as a whole.

Pavelis, George A., Agricultural, Natural Resources, and Capital Growth, A Bibliography, Natural Resource Economics Division, ESS, NRE Working Paper Series No. 45, April 1978, pp. 36.

This work represents two complete bibliographies on natural resources

capital in agriculture. One outlines the general aspects and the other the

U.S. Department of Agriculture's specific contributions toward understanding

the main elements of natural resource capital investments. Internal USDA

publications include cooperative state or other research bulletins, journal

articles and conference papers, books, dissertations, and other materials. 35

Irrigation, drainage and conservation assets are the main components of natural resource capital investments, but may include some key references on flood protections, environment-aspects, energy topics, and agricultural research. These subjects along with policy issues also impinge on agricultural growth and development. For a comprehensive analysis the natural resource capital must be considered in the context of agricultural growth and the capital accumulation in general.

The bibliography includes 350 different formal publications or research bulletins, and does not deal with the detailed information on the actual investment data. The idea behind this paper appears to be to familiarize the researcher with the expanding literature on the various aspects of irrigation.

Schramm, Gunter, "The Design of a Resource Allocation Function," The Canadian Journal of Economics, V. No. 4, November 1972, pp. 515-530.

The paper primarily addresses the issue of alternative resource allocation decisions in the natural resource field. The evaluation model itself is general and can be readily applied for the economic consequences of government decision in any other area. A benefit-cost approach has been employed for this purpose. The framework of the analysis has been designed to include a comprehensive program approach which makes it possible to assess the relative merits of widely different policy alternatives.

Basically, the objective function has been developed in terms of the usual income maximization objective. It is considered essential to develop an income maximization planning function even if it is realized from the experience that there are other important goals such as environmental quality or income distributional objectives. 36

This paper emphasizes, at least initially, efficiency as the main cri- terion for the choice among alternatives of investments. Efficiency here is defined as those benefits measured in terms of the present--value excess of all social benefits over all discounted social costs. A crucial aspect of an objective function that maximizes the net social benefits resulting from a series of interdependent public and private activities is that it has to account for the opportunity costs of the foregone alternatives in all sectors of the relevant economy.

The relevance of this paper lies in understanding the development of a resource base, such as a river basin irrigation project that may have wider economic consequences. The paper also suggests alternative policies and investment decisions that, over time, should maximize the net benefits to society.

Sloggett, Gordon, and Arthur Daugherty, Irrigation Investment and Disinvest- ment, 1975-77--A Report on a Landownership Follow-On Survey, ESS Staff Report No. AGESS 810601, June 1981, pp. 33.

The purpose of this report is to provide data and related information on investment and disinvestment in irrigation cropland for the year 1975-77.

The factors considered for data enumeration include acres irrigated for the first time, sources of irrigation water, type of irrigation systems used, types of power sources used for pumping, and the new cropland developed for irrigation cropland.

This report is based on a portion of the Resource Economics Survey, conducted by Natural Resource Economics Division of the Economics and Sta- tistics Service, USDA. This survey was designed to obtain a wide variety of data related to use and the quality of land, land ownership, land 37

transactions, capital expenditures, land use changes, and other associated

land management practices.

These data are essential for resource managers to formulate enlightened

land use policy, and also to discern land use trends that have a bearing on

the growing agricultural economy.

According to this report, nearly 3.9 million acres of land irrigated

for the first time were already used for cropland, while another 1 million

acres were added to irrigated cropland from other uses, such as timber,

pasture, or dryland farming. Landowners invested $1.7 billion dollars in

irrigation during the period of 1975-77, or an average of $377 per acre.

During the same period, an estimated 7,292 landowners abandoned irrigation

practices, and 1.15 million acres were removed from the previously irrigated farmland.

U.S. Water Resources Council, The Nation's Water Resources, 1975-2000, Volume 3: Analytical Data Summary, December 1978, pp. 89.

This volume presents baseline and projected information on data developed for the Second National Water Assessment under the direction of the

U.S. Water Resources Council. It contains national and regional data for social, economic, environmental, water supply, and water use. Specifically,

Volume 3, Analytical Data, consists of six separately published parts--a summary volume and five appendices.

This volume also describes the methods and procedures used to collect, analyze, and describe the data on irrigated land use by regions and also

contains the summary tables for national and regional estimates of water use.

Ths first level of classification divides the Nation into 21 major geographic areas--18 in the conterminous United States and one each for 38

Alaska, Hawaii, and the Caribbean. Most of the boundaries delineating these regions follow hydrological orientation (based on surface topography) except where intervened by international boundaries. These hydrologic areas are defined as including a drainage basin of a major river system, such as the Ohio Region, or the combined drainage areas of a series of river systems, such as the South Atlantic-Gulf Region, where a number of rivers flow directly into the Atlantic Ocean, or the Gulf of Mexico. It may also include a region where the flow of water is restricted by the intervening topography, or where due to insufficient rainfall, a well defined river system has not developed. Such a river system usually flows into a land locked playa. The Great Basin Region is a typical example of this type of hydrologic basin.

This report provides another set of irrigated land use data that are arranged by 18 first level regional divisions of the conterminous United

States and one each for Alaska, Hawaii, and the Caribbean. I