FARM-LEVEL ECONOMIC AND ENVIRONMENTAL IMPACTS OF EASTERN CORN BELT CROPPING SYSTEMS

Output from two process simulation models (EPIC and GLEAMS) was combin ed with a farm level linear programming model to assess the economic a nd environmental implications of selected eastern Corn Belt farming sy stems. The farm level economic results suggest that an alfalfa (Medica go sativa L.)-based cropping system is generally less profitable than a corn-soybean (Zea mays L.-Glycine max L. [Merr.1) rotation produced under farm program prices or recent average market price conditions. N et returns are projected to decline by approximately 38% if alfalfa is included in an eastern Corn Belt cropping system. The adoption of a c orn-alfalfa cropping system could reduce annual soil erosion and the q uantity of nitrates in surface water runoff relative to a conventional corn-soybean rotation. The corn-alfalfa system, however, leads to an increase in atrazine and alachlor runoff in surface water and an incre ase in nitrate percolation. A more environmentally desirable outcome m ay be attained by continuing farm programs that reduce acreage planted to corn. Yet to maintain farm income and encourage voluntary farmer p articipation, taxpayer costs may be unacceptably high. Thus, there are significant trade-offs among environmental goals, federal budget redu ction efforts, and income and employment in farming and agribusiness.