REDUCING YIELD VARIATION IN PEACH ORCHARDS BY GEOGRAPHIC SCATTERING

Assuming a declining correlation in yields as distance between pairs o f orchards increases, yield variability in peach production may be red uced by increasing distances among orchards. As a measure of yield var iability that avoids possible bias resulting from orchard-specific eff ects, a stochastic production function is estimated. Results support t he assumption that a declining correlation between yields exists as di stance increases. For every mile further apart, the correlation in yie ld declines 2.28%.