IDEAS home Printed from https://ideas.repec.org/a/cup/jagaec/v46y2014i04p409-437_02.html
   My bibliography  Save this article

Optimal Spatial-Dynamic Management of Groundwater Conservation and Surface Water Quality with On-Farm Reservoirs

Author

Listed:
  • Kovacs, Kent
  • Wailes, Eric
  • West, Grant
  • Popp, Jennie
  • Bektemirov, Kuatbay

Abstract

We examine how much on-farm reservoirs can increase groundwater quantity and improve surface water quality using a spatial-dynamic model of farm profit maximization in the Arkansas Delta. Sensitivity analysis of the farm profit objective by including the value of surface water quality and the groundwater buffer value evaluates how accounting for environmental value affects the optimal crop mix, water use, and farm profits. The best policy for a critical water resource area is to have the government cost share construction of on-farm reservoirs because groundwater conservation and surface water quality goals are achieved efficiently for a modest redistribution of income.

Suggested Citation

  • Kovacs, Kent & Wailes, Eric & West, Grant & Popp, Jennie & Bektemirov, Kuatbay, 2014. "Optimal Spatial-Dynamic Management of Groundwater Conservation and Surface Water Quality with On-Farm Reservoirs," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 46(4), pages 409-437, November.
    • Handle: RePEc:cup:jagaec:v:46:y:2014:i:04:p:409-437_02
    as

    Download full text from publisher

    File URL: https://www.cambridge.org/core/product/identifier/S1074070800029035/type/journal_article
    File Function: link to article abstract page
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Roseta-Palma, Catarina, 2002. "Groundwater Management When Water Quality Is Endogenous," Journal of Environmental Economics and Management, Elsevier, vol. 44(1), pages 93-105, July.
    2. Marca Weinberg & Catherine L. Kling, 1996. "Uncoordinated Agricultural and Environmental Policy Making: An Application to Irrigated Agriculture in the West," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 65-78.
    3. Young, Kenneth B. & Wailes, Eric J. & Popp, Jennie H. & Smartt, James, 2004. "Value of Water Conservation Improvements on Arkansas Rice Farms," Journal of the ASFMRA, American Society of Farm Managers and Rural Appraisers, vol. 2004, pages 1-8.
    4. Zhang, Wei & Ricketts, Taylor H. & Kremen, Claire & Carney, Karen & Swinton, Scott M., 2007. "Ecosystem services and dis-services to agriculture," Ecological Economics, Elsevier, vol. 64(2), pages 253-260, December.
    5. Huffaker, Ray G. & Whittlesey, Norman K., 1995. "Agricultural Water Conservation Legislation: Will It Save Water?," Choices: The Magazine of Food, Farm, and Resource Issues, Agricultural and Applied Economics Association, vol. 10(4), pages 1-5.
    6. Hite, Diane & Hudson, Darren & Intarapapong, Walaiporn, 2002. "Willingness To Pay For Water Quality Improvements: The Case Of Precision Application Technology," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 27(2), pages 1-17, December.
    7. Knapp, Keith C. & Baerenklau, Kenneth A., 2006. "Ground Water Quantity and Quality Management: Agricultural Production and Aquifer Salinization over Long Time Scales," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 31(3), pages 1-26, December.
    8. Popp, Jennie S. Hughes & Wailes, Eric J. & Young, Kenneth B. & Smartt, Jim & Intarapapong, Walaiporn, 2003. "Use of On-Farm Reservoirs in Rice Production: Results from the MARORA Model," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 35(2), pages 1-9, August.
    9. Schaible, Glenn D. & Aillery, Marcel P., 2012. "Water Conservation in Irrigated Agriculture: Trends and Challenges in the Face of Emerging Demands," Economic Information Bulletin 134692, United States Department of Agriculture, Economic Research Service.
    10. Douglas M. Larson & Gloria E. Helfand & Brett W. House, 1996. "Second-Best Tax Policies to Reduce Nonpoint Source Pollution," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(4), pages 1108-1117.
    11. Gloria E. Helfand & Brett W. House, 1995. "Regulating Nonpoint Source Pollution Under Heterogeneous Conditions," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(4), pages 1024-1032.
    12. Robert J. Johnston & Elena Y. Besedin & Richard Iovanna & Christopher J. Miller & Ryan F. Wardwell & Matthew H. Ranson, 2005. "Systematic Variation in Willingness to Pay for Aquatic Resource Improvements and Implications for Benefit Transfer: A Meta‐Analysis," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 53(2‐3), pages 221-248, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Kovacs, Kent & Popp, Michael & Xu, Ying & West, Grant, 2016. "Tradeoffs among multiple ecosystem services and economic returns from groundwater depletion on a farm landscape," 2016 Annual Meeting, July 31-August 2, Boston, Massachusetts 235357, Agricultural and Applied Economics Association.
    2. Tran, Dat Q. & Kovacs, Kent & Wallander, Steven, 2020. "Optimal groundwater augmentation through managed aquifer recharge and on-farm reservoir under uncertainty and risk," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304295, Agricultural and Applied Economics Association.
    3. Kovacs, Kent & Tran, Dat Q., 2023. "Irrigation choice through water supply augmentation in the presence of climate risk and uncertainty," 2023 Annual Meeting, July 23-25, Washington D.C. 335432, Agricultural and Applied Economics Association.
    4. Kent Kovacs & Grant West, 2016. "The Influence of Groundwater Depletion from Irrigated Agriculture on the Tradeoffs between Ecosystem Services and Economic Returns," PLOS ONE, Public Library of Science, vol. 11(12), pages 1-22, December.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Xu, Ying & Kovacs, Kent & Nalley, Lanier & Popp, Michael, 2015. "Investment in on-farm reservoirs to align economic returns and ecosystem services," 2015 Annual Meeting, January 31-February 3, 2015, Atlanta, Georgia 196778, Southern Agricultural Economics Association.
    2. Kent Kovacs & Grant West, 2016. "The Influence of Groundwater Depletion from Irrigated Agriculture on the Tradeoffs between Ecosystem Services and Economic Returns," PLOS ONE, Public Library of Science, vol. 11(12), pages 1-22, December.
    3. Philippe Bontems & Gilles Rotillon & Nadine Turpin, 2008. "Acceptable reforms of agri-environmental policies," Revue d'économie politique, Dalloz, vol. 118(6), pages 847-883.
    4. P. Bontems & N. Turpin & Gilles Rotillon, 2003. "Acceptibility constraints and self-selecting agri-environmental policies," THEMA Working Papers 2003-14, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
    5. Horan, Richard D. & Claassen, Roger & Cooper, Joseph C., 2000. "Environmental Risk And Agri-Environmental Policy Design," 2000 Annual meeting, July 30-August 2, Tampa, FL 21827, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    6. Roger Claassen & Richard Horan, 2001. "Uniform and Non-Uniform Second-Best Input Taxes," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(1), pages 1-22, May.
    7. Lichtenberg, Erik, 2002. "Agriculture and the environment," Handbook of Agricultural Economics, in: B. L. Gardner & G. C. Rausser (ed.), Handbook of Agricultural Economics, edition 1, volume 2, chapter 23, pages 1249-1313, Elsevier.
    8. Athukorala, Wasantha & Wilson, Clevo & Managi, Shunsuke, 2017. "Social welfare losses from groundwater over-extraction for small-scale agriculture in Sri Lanka: Environmental concern for land use," Journal of Forest Economics, Elsevier, vol. 29(PA), pages 47-55.
    9. Kovacs, Kent & Popp, Michael & Bryce, Kristofer & West, Grant, 2015. "On-Farm Reservoir Adoption in the Presence of Spatially Explicit Groundwater Use and Recharge," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 40(1), pages 1-27.
    10. Qiu, Zeyuan & Prato, Anthony A., 1999. "Accounting For Spatial Characteristics Of Watersheds In Evaluating Water Pollution Abatement Policies," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 31(1), pages 1-15, April.
    11. Alain Ayong Le Kama & Agnès Tomini, 2012. "Water Conservation versus Soil Salinity Control," EconomiX Working Papers 2012-8, University of Paris Nanterre, EconomiX.
    12. José Albiac, 2006. "The Case of the Water Framework Directive and Irrigation in Mediterranean Agriculture," Human Development Occasional Papers (1992-2007) HDOCPA-2006-34, Human Development Report Office (HDRO), United Nations Development Programme (UNDP).
    13. James Roumasset & Christopher Wada, 2012. "The Economics of Groundwater," Working Papers 201211, University of Hawaii at Manoa, Department of Economics.
    14. Hongxing Liu & Wendong Zhang & Elena Irwin & Jeffrey Kast & Noel Aloysius & Jay Martin & Margaret Kalcic, 2020. "Best Management Practices and Nutrient Reduction: An Integrated Economic-Hydrologic Model of the Western Lake Erie Basin," Land Economics, University of Wisconsin Press, vol. 96(4), pages 510-530.
    15. Brady, Mark, 2003. "The relative cost-efficiency of arable nitrogen management in Sweden," Ecological Economics, Elsevier, vol. 47(1), pages 53-70, November.
    16. Fleming, R. A. & Adams, R. M., 1997. "The Importance of Site-Specific Information in the Design of Policies to Control Pollution," Journal of Environmental Economics and Management, Elsevier, vol. 33(3), pages 347-358, July.
    17. Elsa Martin & Hubert Stahn, 2013. "Potential Conflict and Inefficiencies Arising in Agri-environmental Management," Journal of Agricultural Economics, Wiley Blackwell, vol. 64(2), pages 423-445, June.
    18. Phoebe Koundouri, 2004. "Current Issues in the Economics of Groundwater Resource Management," Journal of Economic Surveys, Wiley Blackwell, vol. 18(5), pages 703-740, December.
    19. Encarna Esteban & José Albiac, 2016. "Salinity Pollution Control in the Presence of Farm Heterogeneity — An Empirical Analysis," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 2(02), pages 1-20, June.
    20. James Shortle & Richard D. Horan, 2013. "Policy Instruments for Water Quality Protection," Annual Review of Resource Economics, Annual Reviews, vol. 5(1), pages 111-138, June.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cup:jagaec:v:46:y:2014:i:04:p:409-437_02. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Kirk Stebbing (email available below). General contact details of provider: https://www.cambridge.org/aae .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.