The value of information on the response function of crops to soil salinity

The expected profitability to farmers from acquiring additional information on the biological response function of crop yield to soil salinity is investigated. First, a switching regression approach to estimate piecewise linear response function with critical threshold level is presented. Then, an optimization irrigation model is developed, aimed at determining the optimal use of irrigation water for soil leaching. Finally, a loss function is defined, the expected value of sample information is calculated and the optimal number of additional needed observations is determined. At each stage, an empirical analysis, using data from potato field experiments in Israel, is presented.