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Utility-Consistent Discrete-Continuous Choices in Soil Conservation

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  • Luanne Lohr
  • Timothy A. Park

Abstract

A utility-consistent model of participation and participation intensity choices for a voluntary soil conservation program is developed. A modified form of Roy's Identity is used to derive a two-equation system that links the discrete, dichotomous choice (participation) and the continuous choice (intensity) to the same utility function. The model corrects for selectivity bias that arises in single-equation approaches. An application to a filter strip program in two counties in Illinois and Michigan demonstrates that different factors affect responses to the program across the sample regions. Estimated willingness-to-accept payments for participation in the program suggest policy impacts are not uniform across locations.

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Bibliographic Info

Article provided by University of Wisconsin Press in its journal Land Economics.

Volume (Year): 71 (1995)
Issue (Month): 4 ()
Pages: 474-490

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Handle: RePEc:uwp:landec:v:71:y:1995:i:4:p:474-490

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Web page: http://le.uwpress.org/

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Cited by:
  1. Lichtenberg, Erik, 2004. "Cost-Responsiveness of Conservation Practice Adoption: A Revealed Preference Approach," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 29(03), December.
  2. Shively, Gerald E., 1997. "Consumption risk, farm characteristics, and soil conservation adoption among low-income farmers in the Philippines," Agricultural Economics: The Journal of the International Association of Agricultural Economists, International Association of Agricultural Economists, vol. 17(2-3), December.
  3. Lynch, Lori & Hardie, Ian W. & Parker, Douglas D., 2002. "Analyzing Agricultural Landowners' Willingness To Install Streamside Buffers," Working Papers 28570, University of Maryland, Department of Agricultural and Resource Economics.
  4. Isamu Matsukawa, 2005. "The Benefits of Information on the Efficient Usage of Consumer Durables," Others 0501005, EconWPA.
  5. Lambert, Dayton M. & Sullivan, Patrick, 2006. "Conservation Reserve Program Participation and Acreage Enrollment of Working Farms," 2006 Annual meeting, July 23-26, Long Beach, CA 21361, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  6. Greiner, Romy & Bliemer, Michiel & Ballweg, Julie, 2014. "Design considerations of a choice experiment to estimate likely participation by north Australian pastoralists in contractual biodiversity conservation," Journal of choice modelling, Elsevier, vol. 10(C), pages 34-45.
  7. Lichtenberg, Erik, 2001. "Adoption Of Soil Conservation Practices: A Revealed Preference Approach," Working Papers 28609, University of Maryland, Department of Agricultural and Resource Economics.
  8. Calatrava-Leyva, Javier & Franco, Juan Agustin & Gonzalez-Roa, Maria del Carmen, 2005. "Adoption of Soil Conservation Practices in Olive Groves: The Case of Spanish Mountainous Areas," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24661, European Association of Agricultural Economists.
  9. Anna Alberini & Kathleen Segerson, 2002. "Assessing Voluntary Programs to Improve Environmental Quality," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 22(1), pages 157-184, June.
  10. Hand, Michael S. & Nickerson, Cynthia J., 2009. "The Role of Cost-Share Rates and Prices on the Size of Conservation Investments in EQIP," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49257, Agricultural and Applied Economics Association.
  11. Fuwa, Nobuhiko & Sajise, Asa, 2008. "Exploring Environmental Services Incentive Policies for the Philippine Rice Sector: The Case of Intra-Species Agro Biodiversity Conservation," MPRA Paper 23691, University Library of Munich, Germany.
  12. Kathleen Segerson & JunJie Wu, 2003. "Nonpoint Pollution Control: Inducing First-best Outcomes through the Use of Threats," Working papers 2003-03, University of Connecticut, Department of Economics, revised Aug 2004.
  13. Shively, Gerald E., 1997. "Consumption risk, farm characteristics, and soil conservation adoption among low-income farmers in the Philippines," Agricultural Economics, Blackwell, vol. 17(2-3), pages 165-177, December.
  14. Franco, Juan Agustin & Calatrava-Leyva, Javier, 2006. "Adoption of Soil Erosion Control Practices in Southern Spain Olive Groves," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25787, International Association of Agricultural Economists.
  15. Thurow, Amy P. & Conner, J. Richard & Thurow, Thomas L. & Garriga, Matthew D., 2001. "A preliminary analysis of Texas ranchers' willingness to participate in a brush control cost-sharing program to improve off-site water yields," Ecological Economics, Elsevier, vol. 37(1), pages 139-152, April.
  16. Lambert, Dayton M. & Schaible, Glenn D. & Johansson, Robert C. & Daberkow, Stan G., 2006. "Working-Land Conservation Structures: Evidence on Program and Non-Program Participants," 2006 Annual meeting, July 23-26, Long Beach, CA 21438, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  17. Segerson, Kathleen & Miceli, Thomas J., 1998. "Voluntary Environmental Agreements: Good or Bad News for Environmental Protection?," Journal of Environmental Economics and Management, Elsevier, vol. 36(2), pages 109-130, September.
  18. Jaroszewski, Laura & Poe, Gregory L. & Boisvert, Richard N., 2000. "Allocating Land To New York'S Conservation Reserve Enhancement Program To Maximize Net Environmental Benefits," 2000 Annual meeting, July 30-August 2, Tampa, FL 21882, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  19. Poe, Gregory L. & Bills, Nelson L. & Bellows, Barbara & Crosscombe, Patricia & Koelsch, Rick & Kreher, Michael & Wright, Peter, 1999. "Documenting the Status of Dairy Manure Management in New York: Current Practices and Willingness to Participate in Voluntary Programs," Staff Papers 121154, Cornell University, Department of Applied Economics and Management.
  20. David Layton & Juha Siikamäki, 2009. "Payments for Ecosystem Services Programs: Predicting Landowner Enrollment and Opportunity Cost Using a Beta-Binomial Model," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 44(3), pages 415-439, November.
  21. Suter, Jordan F. & Bills, Nelson L. & Poe, Gregory L., 2004. "The Importance Of Spatial Data In Modeling Actual Enrollment In The Conservation Reserve Enhancement Program (Crep)," 2004 Annual meeting, August 1-4, Denver, CO 20151, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
  22. Siikamäki, Juha & Layton, David, 2005. "Incentive Payment Programs for Environmental Protection: A Framework for Eliciting and Estimating Landowners' Willingness to Participate," Discussion Papers dp-05-57, Resources For the Future.

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