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Modeling farmer participation in agri-environmental nitrate pollution reducing schemes

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  • Giovanopoulou, Eirini
  • Nastis, Stefanos A.
  • Papanagiotou, Evagelos

Abstract

Why do farmers choose to participate in agri-environmental programmes and how do they choose the amount of land they allocate to such programmes? This paper examines the determinant factors influencing farmers' adoption of the EU-financed agri-environmental Nitrate Reduction Programme (NRP) in Greece and the extent of the programme's adoption, in terms of land allocation. The decision to adopt the NRP is modeled as a two-step procedure. First, farmers decide whether to participate in the agri-environmental programme and second, the extent of participation is determined. We employ Heckman's self-selection bias correction model to derive unbiased estimates. Based on farm level data, we develop the profile of farmers who choose to adopt the agri-environmental programme and the characteristics of their farms. The results of the analysis provide valuable policy insights decomposed into the main factors determining first, the adoption of the agri-environmental programme and second, the extent of adoption. By decomposing the determining factors, policy makers can employ this information to design effective agri-environmental programmes, desirable to farmers and more targeted towards specific environmental and agricultural development goals.

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Bibliographic Info

Article provided by Elsevier in its journal Ecological Economics.

Volume (Year): 70 (2011)
Issue (Month): 11 (September)
Pages: 2175-2180

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Handle: RePEc:eee:ecolec:v:70:y:2011:i:11:p:2175-2180

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Web page: http://www.elsevier.com/locate/ecolecon

Related research

Keywords: Nitrate Reduction Programme Adoption Agri-environmental programmes Self-selection bias;

References

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  1. Allen M. Featherstone & Barry K. Goodwin, 1993. "Factors Influencing a Farmer's Decision to Invest in Long-Term Conservation Improvements," Land Economics, University of Wisconsin Press, vol. 69(1), pages 67-81.
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  9. Lapar, Ma. Lucila A. & Pandey, Sushil, 1999. "Adoption of soil conservation: the case of the Philippine uplands," Agricultural Economics, Blackwell, vol. 21(3), pages 241-256, December.
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  12. Bekele, Wagayehu & Drake, Lars, 2003. "Soil and water conservation decision behavior of subsistence farmers in the Eastern Highlands of Ethiopia: a case study of the Hunde-Lafto area," Ecological Economics, Elsevier, vol. 46(3), pages 437-451, October.
  13. Feder, Gershon & Just, Richard E & Zilberman, David, 1985. "Adoption of Agricultural Innovations in Developing Countries: A Survey," Economic Development and Cultural Change, University of Chicago Press, vol. 33(2), pages 255-98, January.
  14. Caswell, Margriet & Fuglie, Keith O. & Ingram, Cassandra & Jans, Sharon & Kascak, Catherine, 2001. "Adoption of Agricultural Production Practices: Lessons Learned from the U.S. Department of Agriculture Area Studies Project," Agricultural Economics Reports 33985, United States Department of Agriculture, Economic Research Service.
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Cited by:
  1. Sophie Clot & Charlotte Stanton, 2014. "Present Bias in Payments for Ecosystem Services: Insights from a Behavioural Experiment in Uganda," Working Papers 14-03, LAMETA, Universtiy of Montpellier, revised Jan 2014.
  2. Fabio Bartolini & Gianluca Brunori & Laura Fastelli & Massimo Rovai, 2013. "Understanding the participation in agri-environmental schemes: evidence from Tuscany Region," ERSA conference papers ersa13p1084, European Regional Science Association.

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