We found a match
Your institution may have access to this item. Find your institution then sign in to continue.
- Title
Agri-Environmental Program Compliance in a Heterogeneous Landscape.
- Authors
Lankoski, Jussi; Lichtenberg, Erik; Ollikainen, Markku
- Abstract
Heterogeneity of agricultural landscapes may necessitate the use of spatially targeted instruments. But costly enforcement may be needed to ensure compliance with these policies. This paper examines the design of agri-environmental policies designed to achieve reductions in fertilizer application rates and installation of riparian buffers through the use of incentive-based instruments. We derive monitoring strategies capable of ensuring perfect compliance from risk neutral farmers given realistic limits on penalties for non-compliance. We then apply that framework empirically using a parametric model reflecting Finnish agricultural and environmental conditions. The results of our simulations indicate that subsidies for installing and maintaining buffer strips, used alone, are the most cost effective means of reducing nitrogen runoff from crop production. This policy is also the most attractive politically, in that it reduces farm income less than the alternatives considered.
- Subjects
HETEROGENEITY; FERTILIZER application; FINNISH agricultural assistance; BUFFER zones (Ecosystem management); COST effectiveness; FARM income
- Publication
Environmental & Resource Economics, 2010, Vol 47, Issue 1, p1
- ISSN
0924-6460
- Publication type
Article
- DOI
10.1007/s10640-010-9361-x