Bayesian econometrics in agricultural and resource economics

Abstract The Computer Age has enabled an explosion in Bayesian inference. Historically, agricultural and resource economists have contributed to the development and application of Bayesian econometrics. This article describes Bayesian econometrics in agricultural and resource economics and highlights its use. We detail the basics of Bayesian methodology and computation, and provide an accompanying empirical example. We then examine the strengths and weaknesses of the Bayesian approach, particularly for applications in agricultural and resource economics. Lastly, we consider frontier Bayesian methods and how they might be used to obtain improved inference, make more accurate predictions, or solve computational challenges.