The value of soil-test information in planning fertilizer application levels is determined by using agricultural field-plot data to estimate the posterior distribution of mean soil-nitrate concentrations at a given location. Optimal decisions concerning fertilizer application levels are made with respect to this posterior distribution. Average reductions in fertilizer application rates range from 15 to 41 percent, depending on the form of prior information that is available.
Babcock, Bruce A.; Carriquiry, Alicia L.; and Stern, Hal S., "An Evaluation of Soil Test Information in Agricultural Decision Making" (1996). CARD Working Papers. 206.