A Joint-Product Analysis of the Adoption of Modern Cereal Varieties in Developing Countries

Semi-dwarf wheat varieties have been slow to diffuse in some regions despite their superior grain yield. We analyze varietal differences in yields of the joint products of grain and straw, the decision to adopt new varieties, and nitrogen demand. The low straw yield of semi-dwarf varieties under low input conditions is shown to be a plausible explanation for their slow adoption in some regions. First generation modern varieties induced a large increase in the derived demand for nitrogen, but subsequent varietal development appears to have had little impact on nitrogen demand.

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