ECONOMIC AND FINANCIAL VIABILITY OF RESIDUE MANAGEMENT - AN APPLICATION TO THE TEXAS HIGH-PLAINS

Costs and benefits of no-tillage (NT) were analyzed and compared with conventional tillage (CT) for irrigated corn (Zea mays L.) in the nort hern Texas High Plains, Research results, from a 4-yr wheat (Triticum aestivum L.)/corn/fallow rotation, were used to validate the Erosion P roductivity Impact Calculator (EPIC), a widely used daily time-step hy drologic and crop growth simulator. The yields generated by EPIC were used in the Farm Level Income and Policy Simulation Model (FLIPSIM), t o analyze the long-term (10 yr) economies of NT and CT corn production on a whole farm basis under various irrigation strategies, The result s indicated that NT increased the probability of survival for the low water irrigation strategy while increasing net cash farm income by 8.5 % on the more frequent irrigations strategy, NT resulted in higher pre sent values of ending net worth for all irrigation strategies, NT's ab ility to reduce water needs, decrease yield variability, and reduce ma chinery use (fuel, replacement, and repair costs) more than offset the increase in chemical costs associated with NT compared with CT.