Abstract
Yearly weather variability has an impact on agricultural supply and farmer welfare. More accurate weather predictions may increase net returns for farmers but the indirect environmental impact of forecasts has not been examined. A bioeconomic model including weather information examines the impact of agricultural activities on water quality in Lawrence County, Alabama. This study reveals that if farmers would adopt accurate weather predictions, their net returns may increase by 21% while the nitrogen loss associated with the agricultural activities would reduce by 1.96% in the entire area.
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