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Cost Effectiveness of Alternative Subsidy Strategies for Soil Erosion Control

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  • Park, William M.
  • Sawyer, David G.

Abstract

This article reports on analyses of the cost effectiveness of three soil erosion control policy alternatives, specifically 1) uniform-rate cost sharing, 2) variable-rate cost sharing, and 3) fixed subsidy payments per unit reduction in erosion. A brief discussion of the place of these alternative subsidy strategies within the context of the current policy environment is presented. Integer programming is employed to simulate adoption of “best management practices†(BMPs) on a set of representative farms in a case study water-shed in response to these alternative subsidy strategies. Conclusions and policy implications are outlined.

Suggested Citation

  • Park, William M. & Sawyer, David G., 1987. "Cost Effectiveness of Alternative Subsidy Strategies for Soil Erosion Control," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 19(2), pages 21-32, December.
    • Handle: RePEc:cup:jagaec:v:19:y:1987:i:02:p:21-32_02
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    Cited by:

    1. Young, Douglas L. & Walker, David J. & Kanjo, Paul L., 1989. "Farmer and Taxpayer Cost Effectiveness of the 1985 Conservation Provisions," WAEA/ WFEA Conference Archive (1929-1995) 244956, Western Agricultural Economics Association.
    2. Boxall, Peter C. & Weber, Marian & Perger, Orsolya & Cutlac, Marius & Samarawickrema, Antony, 2008. "Results from the Farm Behaviour Component of the Integrated Economic-Hydrologic Model for the Watershed Evaluation of Beneficial Management Practices Program," Project Report Series 116268, University of Alberta, Department of Resource Economics and Environmental Sociology.

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