EFFICIENT POLICIES FOR ENVIRONMENTAL PROTECTION: AN ECONOMETRIC ANALYSIS OF INCENTIVES FOR LAND CONVERSION AND RETENTION

This study investigates the costs of subsidies for land retention and conversion, in addition to a policy that combines the incentives. A Markov model of forest and agricultural land use is estimated for the U.S. South Central region and used to simulate retention and conversion policies. Results suggest a conversion policy is less costly for increasing forest area, and a retention policy is less costly for increasing agricultural land area. The costs of separate subsidies can be up to 300% higher than the costs of combined incentives. However, when administrative costs are taken into account, conversion policies are likely to be less costly.


Issue Date:
2002-07
Publication Type:
Journal Article
Record Identifier:
http://ageconsearch.umn.edu/record/31086
PURL Identifier:
http://purl.umn.edu/31086
Published in:
Journal of Agricultural and Resource Economics, Volume 27, Number 1
Page range:
128-145
Total Pages:
18




 Record created 2017-04-01, last modified 2018-01-22

Fulltext:
Download fulltext
PDF

Rate this document:

Rate this document:
1
2
3
 
(Not yet reviewed)