NATIONAL BUREAU OF ECONOMIC RESEARCH
NATIONAL BUREAU OF ECONOMIC RESEARCH
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Guilherme Rosa

University of Wisconsin-Madison
1675 Observatory Dr
Department of Animal Science
Madison, WI 53706

E-Mail: EmailAddress: hidden: you can email any NBER-related person as first underscore last at nber dot org
Institutional Affiliation: University of Wisconsin-Madison

NBER Working Papers and Publications

November 2019Quantifying Heterogeneous Returns to Genetic Selection: Evidence from Wisconsin Dairies
with Jared P. Hutchins, Brent Hueth: w26417
Estimates of productivity growth in the dairy sector attribute as much as half of observed growth to genetic improvement. Unobserved match quality is an important determinate of genetic selection by dairy farmers that confounds attribution to genetic improvement alone. Using data from a large sample of Wisconsin dairy farms, and national-level data on sire rankings, we develop and estimate a model that accounts for selection behavior, and decompose total productivity change into separate effects for genetic improvement and endogenous selection. We find that selection accounts for as much as 75 percent of the total productivity improvement in our sample. Our results provide evidence for positive assortative matching, whereby farmers who adopt above-average yield genetics also perform better...
May 2019Quantifying Heterogeneous Returns to Genetic Selection: Evidence from Wisconsin Dairies
with Jared Hutchins, Brent Hueth
in Economics of Research and Innovation in Agriculture, Petra Moser, editor
Estimates of productivity growth in the dairy sector attribute as much as half of observedgrowth to genetic improvement. However, productivity can be over-attributed to the quality ofthe genetics instead of the skill of the farmer in selecting them when models ignore selectionbias in the dairy cow production function. Our work decomposes total productivity changeon Wisconsin dairy farms due to genetics into separate effects for genetic improvement andendogenous selection. Using data from a large sample of Wisconsin dairy farms and national-level data on dairy sire rankings, we develop and estimate a model that accounts for selectionbehavior in the animal’s production function. We find that selection accounts for as much as 75percent of the total productivity improvement in our sample. Our...
 
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