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Reflecting Productivity Losses due to Erosion in Physical and Financial Accounts for Agricultural Soils

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  • Watson, David
  • Lerohl, Mel

Abstract

The paper describes an approach to estimating the long-term impact of soil erosion, and applies that approach to data from the Province of Alberta, Canada. This paper relies upon a soil classification system established in Canada, known as the Canada Land Inventory (CLI). It also employs available evidence relating yields to various classes of soils, and relating erosion to its effect on crop production. The approach is employed to develop both a set of physical accounts for agricultural soils, classified by soil type, as well as a set of financial accounts for agricultural soils, since the value of those soils is influenced by yield potential. The results provide a long-term indication of the sustainability of the soil resource in the province, and permit developing estimates of future natural resource accounts for land in (1) physical accounts classified by soil type, and (2) in capital accounts by value of soil class.

Suggested Citation

  • Watson, David & Lerohl, Mel, 1994. "Reflecting Productivity Losses due to Erosion in Physical and Financial Accounts for Agricultural Soils," Staff Paper Series 232554, University of Alberta, Department of Resource Economics and Environmental Sociology.
    • Handle: RePEc:ags:ualbsp:232554
    DOI: 10.22004/ag.econ.232554
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    References listed on IDEAS

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    4. Eisner, Robert, 1988. "Extended Accounts for National Income and Product," Journal of Economic Literature, American Economic Association, vol. 26(4), pages 1611-1684, December.
    5. M.L. Lerohl, 1991. "The Sustainability of Selected Prairie Crop Rotations," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 39(4), pages 667-676, December.
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