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Targeting Incentives to Reduce Habitat Fragmentation

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  • David J. Lewis
  • Andrew J. Plantinga
  • JunJie Wu
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    Abstract

    This article develops a theoretical model to analyze the spatial targeting of incentives for the restoration of forested landscapes when wildlife habitat can be enhanced by reducing fragmentation. The key theoretical result is that the marginal net benefits of increasing forest can be convex, in which case corner solutions—converting either none or all of the agricultural land in a section to forest—may be optimal. Corner solutions are directly linked to the spatial process determining habitat benefits and the regulator’s incomplete information regarding landowner opportunity costs. We present findings from large-scale empirical landscape simulations that support our key theoretical results. Copyright 2009, Oxford University Press.

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    File URL: http://hdl.handle.net/10.1111/j.1467-8276.2009.01310.x
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    Bibliographic Info

    Article provided by Agricultural and Applied Economics Association in its journal American Journal of Agricultural Economics.

    Volume (Year): 91 (2009)
    Issue (Month): 4 ()
    Pages: 1080-1096

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    Handle: RePEc:oup:ajagec:v:91:y:2009:i:4:p:1080-1096

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    Cited by:
    1. Zhang, Wendong, 2013. "From Farmer Management Decisions to Watershed Environmental Quality: A Spatial Economic Model of Land Management Choices," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150729, Agricultural and Applied Economics Association.
    2. Ambec, Stefan & Langinier, Corinne & Marcoul, Philippe, 2011. "Spatial Efficiency of Genetically Modified and Organic Crops," LERNA Working Papers 11.18.352, LERNA, University of Toulouse.
    3. Bamière, Laure & Havlík, Petr & Jacquet, Florence & Lherm, Michel & Millet, Guy & Bretagnolle, Vincent, 2011. "Farming system modelling for agri-environmental policy design: The case of a spatially non-aggregated allocation of conservation measures," Ecological Economics, Elsevier, vol. 70(5), pages 891-899, March.
    4. Gren, Ing-Marie & Baxter, Peter & Mikusinski, Grzegorz & Possingham, Hugh, 2014. "Cost-effective biodiversity restoration with uncertain growth in forest habitat quality," Journal of Forest Economics, Elsevier, vol. 20(1), pages 77-92.
    5. KURKALOVA, Lyubov A. & WADE, Tara R., 2013. "Aggregated Choice Data And Logit Models: Application To Environmental Benign Practices Of Conservation Tillage By Farmers In The State Of Iowa," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 13(2), pages 119-128.
    6. Lewis, David J. & Alig, Ralph J., 2009. "Empirical Methods for Modeling Landscape Change, Ecosystem Services, and Biodiversity," Western Economics Forum, Western Agricultural Economics Association, vol. 8(01).
    7. Gren, Ing-Marie & Carlsson, Mattias, 2011. "Estimation of cost functions for preserving biodiversity in Swedish forests," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114596, European Association of Agricultural Economists.
    8. Swallow, Stephen K., 2013. "Demand-side Value for Ecosystem Services and Implications for Innovative Markets: Experimental Perspectives on the Possibility of Private Markets for Public Goods," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 42(1), April.
    9. Lewis, David J. & Plantinga, Andrew J. & Nelson, Erik & Polasky, Stephen, 2011. "The efficiency of voluntary incentive policies for preventing biodiversity loss," Resource and Energy Economics, Elsevier, vol. 33(1), pages 192-211, January.
    10. Bamiere, Laure & David, Maia & Vermont, Bruno, 2011. "Agri-Environmental Policies When the Spatial Pattern of Biodiversity Reserves Matters," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114239, European Association of Agricultural Economists.
    11. Katharine Sims, 2014. "Do Protected Areas Reduce Forest Fragmentation? A Microlandscapes Approach," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 58(2), pages 303-333, June.

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