Economic value of greenhouse gases and nitrogen surpluses: Society vs farmers’ valuation
AbstractLivestock supply must challenge the growth of final demand in the developing countries. This challenge has to take into account its ecological effects since the dairy and livestock sectors are clearly pointed out as human activities which contribute significantly to environmental deterioration. Therefore, livestock activity models have to include desirable and undesirable outputs simultaneously. Using this perspective, we implement a Data Envelopment Analysis model to evaluate shadow prices of outputs under contradictory objectives between the society and the farmers. We show that farmers are able to reduce pollution significantly if society accepts to balance farmers’ opportunity cost. Finally, we observe that initial levels of the CO2 tax implemented in European countries are in line with farmers’ valuation while the current level of the CO2 tax tends to reach the value of pollution targeted by the society.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Elsevier in its journal European Journal of Operational Research.
Volume (Year): 226 (2013)
Issue (Month): 2 ()
Contact details of provider:
Web page: http://www.elsevier.com/locate/eor
Environment; Data envelopment analysis; Agriculture;
Other versions of this item:
- David Berre & Jean-Philippe Boussemart & Emmanuel Tillard, 2012. "Economic Value of Greenhouse Gases and Nitrogen Surpluses: Society vs Farmers’ Valuation," Working Papers 2012-ECO-02, IESEG School of Management.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Speck, Stefan, 1999. "Energy and carbon taxes and their distributional implications," Energy Policy, Elsevier, vol. 27(11), pages 659-667, October.
- Boussemart, Jean-Philippe & Leleu, Hervé & Ojo, Oluwaseun, 2011.
"Could society's willingness to reduce pesticide use be aligned with farmers' economic self-interest?,"
Elsevier, vol. 70(10), pages 1797-1804, August.
- Boussemart, Jean-Philippe & Leleu, Herve & Ojo, Oluwaseun, 2011. "Could Society’s willingness to reduce pesticide use be aligned with Farmers’ economic self-interest?," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 120402, European Association of Agricultural Economists.
- Jean-Philippe Boussemart & Hervé Leleu & Oluwaseun Ojo, 2010. "Could Society’s willingness to reduce pesticide use be aligned with Farmers’ economic self-interest?," Working Papers 2010-ECO-03, IESEG School of Management.
- Timo Kuosmanen, 2005. "Weak Disposability in Nonparametric Production Analysis with Undesirable Outputs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 87(4), pages 1077-1082.
- Gupta, Manish, 2005. "Estimation of marginal abatement costs for undesirable outputs in India's power generation sector: An output distance function approach," Working Papers 05/27, National Institute of Public Finance and Policy.
- Pittman, Russell W, 1983. "Multilateral Productivity Comparisons with Undesirable Outputs," Economic Journal, Royal Economic Society, vol. 93(372), pages 883-91, December.
- Li, Sung-Ko, 1995. "Relations between convexity and homogeneity in multioutput technologies," Journal of Mathematical Economics, Elsevier, vol. 24(4), pages 311-318.
- Atakelty Hailu & Terrence S. Veeman, 2001. "Non-parametric Productivity Analysis with Undesirable Outputs: An Application to the Canadian Pulp and Paper Industry," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 83(3), pages 605-616.
- Rolf F�re & Shawna Grosskopf, 2003. "Nonparametric Productivity Analysis with Undesirable Outputs: Comment," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 1070-1074.
- Charnes, A. & Cooper, W. W. & Rhodes, E., 1978. "Measuring the efficiency of decision making units," European Journal of Operational Research, Elsevier, vol. 2(6), pages 429-444, November.
- Andrés J. Picazo-Tadeo & José A. Gómez-Limón & Ernest Reig-Martínez, 2010. "Assessing farming eco-efficiency: A Data Envelopment Analysis approach," Working Papers 1004, Department of Applied Economics II, Universidad de Valencia.
- Rolf F�re & Shawna Grosskopf, 2007. "A Comment on Weak Disposability in Nonparametric Production Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 91(2), pages 535-538.
- Fare, Rolf, et al, 1989. "Multilateral Productivity Comparisons When Some Outputs Are Undesirable: A Nonparametric Approach," The Review of Economics and Statistics, MIT Press, vol. 71(1), pages 90-98, February.
- Kuosmanen, Timo & Kazemi Matin, Reza, 2011. "Duality of weakly disposable technology," Omega, Elsevier, vol. 39(5), pages 504-512, October.
- Scheel, Holger, 2001. "Undesirable outputs in efficiency valuations," European Journal of Operational Research, Elsevier, vol. 132(2), pages 400-410, July.
If references are entirely missing, you can add them using this form.