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Principles for the Provision of Public Goods from Agriculture: Modeling Moorland Conservation in Scotland

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Listed:
  • Nick Hanley
  • Hilary Kirkpatrick
  • Ian Simpson
  • David Oglethorpe

Abstract

This paper is concerned with policies for the supply of public, environmental goods from the farm sector. In particular, we characterize the buying of these goods by the public from farmers using the "Provider Gets Principle." This principle is well established in OECD countries, as we demonstrate. Results from ecological-economic modeling of the conservation of heather moorland in northern Scotland, using this principle, are described. This model enables us to identify spatially differentiated ecological targets, and to calculate the minimum necessary payments needed to achieve these targets.

Suggested Citation

  • Nick Hanley & Hilary Kirkpatrick & Ian Simpson & David Oglethorpe, 1998. "Principles for the Provision of Public Goods from Agriculture: Modeling Moorland Conservation in Scotland," Land Economics, University of Wisconsin Press, vol. 74(1), pages 102-113.
    • Handle: RePEc:uwp:landec:v:74:y:1998:i:1:p:102-113
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    Cited by:

    1. Ernst-August Nuppenau, 2018. "Eco-System Services in Agrarian Value Chains: Value Detection of Bio-Diversity as Public Good Provision, Problems, and Institutional Issues," Sustainability, MDPI, vol. 11(1), pages 1-20, December.
    2. Katherine Falconer & Pierre Dupraz & Martin Whitby, 2001. "An Investigation of Policy Administrative Costs Using Panel Data for the English Environmentally Sensitive Areas," Journal of Agricultural Economics, Wiley Blackwell, vol. 52(1), pages 83-103, January.
    3. Berthet, Alice & Vincent, Audrey & Fleury, Philippe, 2021. "Water quality issues and agriculture: An international review of innovative policy schemes," Land Use Policy, Elsevier, vol. 109(C).
    4. Salvatore Di Falco & Thomas M. van Rensburg, 2008. "Making the Commons Work: Conservation and Cooperation in Ireland," Land Economics, University of Wisconsin Press, vol. 84(4), pages 620-634.
    5. Atance Muniz, Ignacio & Bardaji, Isabel & Tio, Carlos, 2002. "Intervention in Agricultural Systems that Provide Positive Environmental Externalities: an Evaluation of Alternative Instruments," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24810, European Association of Agricultural Economists.
    6. Jana Poláková & Josef Soukup, 2020. "Results of Implementing Less-Favoured Area Subsidies in the 2014–2020 Time Frame: Are the Measures of Environmental Concern Complementary?," Sustainability, MDPI, vol. 12(24), pages 1-16, December.
    7. Pacini, Cesare & Wossink, Ada & Vazzana, Concetta & Omodei-Zorini, Luigi, 2000. "Environmental Accounting In Agriculture: A Theoretical Overview With Special Reference To Tuscany," 2000 Annual meeting, July 30-August 2, Tampa, FL 21870, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    8. Dr. Jadwiga Ziolkowska, 2009. "Environmental benefit, side effects and objective-oriented financing of agri-environmental measures: case study of Poland," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 2(1), pages 71-88, June.
    9. Drechsler, Martin & Watzold, Frank, 2007. "The optimal dynamic allocation of conservation funds under financial uncertainty," Ecological Economics, Elsevier, vol. 61(2-3), pages 255-266, March.
    10. Polman, Nico B.P. & Peerlings, Jack H.M., 2002. "The Role of Transaction Costs and Bargaining Power in Wildlife and Landscape Services Production: A Micro-Econometric Model for Dutch Dairy Farms," 2002 International Congress, August 28-31, 2002, Zaragoza, Spain 24948, European Association of Agricultural Economists.
    11. Doris Läpple & Osayanmon Wellington Osawe, 2023. "Concern for animals, other farmers, or oneself? Assessing farmers' support for a policy to improve animal welfare," American Journal of Agricultural Economics, John Wiley & Sons, vol. 105(3), pages 836-860, May.
    12. Eigner, Amanda E. & Nuppenau, Ernst-August, 2019. "Applied spatial approach of modelling field size changes based on a consideration of farm and landscape interrelations," Agricultural Systems, Elsevier, vol. 176(C).
    13. Banerjee, Simanti & Cason, Timothy N. & de Vries, Frans P. & Hanley, Nick, 2017. "Transaction costs, communication and spatial coordination in Payment for Ecosystem Services Schemes," Journal of Environmental Economics and Management, Elsevier, vol. 83(C), pages 68-89.
    14. Richard D. Horan & Roger Claassen, 2007. "Targeting Green Payments under a Budget Constraint," Land Economics, University of Wisconsin Press, vol. 83(3), pages 319-330.
    15. Nick Hanley & Felix Schlapfer, "undated". "What determines the demand for programmes providing local environmental public goods," Working Papers 2001_7, Business School - Economics, University of Glasgow.
    16. Hui Zhang & Shuang Wu & Yi Yu & Lei Lei, 2021. "Effects of payments for watershed services policy on economic growth: a case study based on the synthetic control method," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(2), pages 2739-2761, February.
    17. Colyer, Dale, 1998. "Farmland Preservation Programs," Conference Papers 19102, West Virginia University, Department of Agricultural Resource Economics.
    18. Wätzold, Frank & Drechsler, Martin, 2014. "Agglomeration payment, agglomeration bonus or homogeneous payment?," Resource and Energy Economics, Elsevier, vol. 37(C), pages 85-101.
    19. Simanti Banerjee & Timothy N. Cason & Frans P. de Vries & Nick Hanley, 2015. "Spatial Coordination in Agglomeration Bonus Schemes with Transaction Costs and Communication: An Experimental Study," Discussion Papers in Environment and Development Economics 2015-10, University of St. Andrews, School of Geography and Sustainable Development.
    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

    JEL classification:

    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land

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