Economic Impact of Drought- and Shade-tolerant Bermudagrass Varieties

This study estimates potential economic impacts of developing drought- and shade-tolerant bermudagrass ( Cynodon dactylon ) turf varieties in five southern states: Texas, Florida, Georgia, Oklahoma, and North Carolina. First, estimates are provided for the market-level crop values of the newly developed two varieties for each state. Then, an economic impact analysis is conducted using an input–output model to assess additional output values (direct, indirect, and induced impacts), value added, and employment due to the new varieties. Our results indicate that the two new varieties would offer significant economic impacts for the central and eastern regions of the United States. Under the assumption of full adoption, the two new products would generate $142.4 million of total output, $91.3 million of value added, and 1258 new jobs. When a lower adoption rate is assumed at 20%, the expected economic impacts would generate $28.5 million of output, $18.3 million of value added, and 252 jobs in the region. Our findings quantify the potential economic benefits of development and adoption of new turfgrass varieties with desirable attributes for residential use. The findings suggest that researchers, producers, and policymakers continue their efforts to meet consumers’ needs, and in doing so, they will also reduce municipal water consumption in regions suited to bermudagrass varieties.