Assessing the returns to an on-farm computer

Abstract

The last decade has seen remarkable advances in microcomputer technology, and many farmers in Britain are now asking whether it is time for them to purchase an on-farm system. The costs and benefits of owning a microcomputer are difficult to estimate, especially the latter. A variety of methods have been adopted to analyse these costs and returns, most of which has been suspect or inadequate. A more reliable method for determining whether a farmer should purchase a microcomputer system, based on recognised investment evaluation procedures, is presented here.