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On the Choice of Cost and Effectiveness Indicators in the Context of the European Water Policy

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Author Info
Sinabell, Franz
Schmid, Erwin

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Abstract

The Water Framework Directive requires EU Member States to analyse economic impacts of the Directive's implementation. To reach a "good status", instruments have to be judged according to their cost-effectiveness. We evaluate costs and effects of measures to reduce nitrate emission of Austrian agriculture. Results are based on a model that integrates production decisions with stochastic environmental outcomes. The Directive's requirement to involve stakeholders may make it necessary to take a large number of indicators into consideration. We find that alternative calculations of the effectiveness criterion give different rankings of the most effective combination of measures.

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Paper provided by International Association of Agricultural Economists in its series 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia with number 25394.

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Date of creation: 2006
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Handle: RePEc:ags:iaae06:25394

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Related research
Keywords: sustainable water management; environmental policy; cost-effectiveness analysis; eco-eco-modelling; Resource /Energy Economics and Policy; Q25; Q28; Q18;

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  1. L. Harrison-Mayfield & J. Dwyer & G. Brookes, 1998. "The Socio-Economic Effects of the Countryside Stewardship Scheme," Journal of Agricultural Economics, Blackwell Publishing, vol. 49(2), pages 157-170. [Downloadable!] (restricted)
  2. Ollikainen, Markku & Lankoski, Jussi, 2005. "Multifunctional Agriculture: The Effect of Non-Public Goods on Socially Optimal Policies," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24611, European Association of Agricultural Economists. [Downloadable!]
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