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Bio-economics of Conservation Agriculture and Soil Carbon Sequestration in Developing Countries

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Author Info

  • Akpalu, Wisdom

    ()
    (Department of History, Economics and Politics (HEP), State University of New York-Farmingdale)

  • Anders, Ekbom

    ()
    (Department of Economics, School of Business, Economics and Law, Göteborg University)

Abstract

Improvement in soil carbon through conservation agriculture in developing countries may generate some private benefits to farmers as well as sequester carbon emissions, which is a positive externality to society. Leaving crop residue on the farm has become an important option in conservation agriculture practice. However, in developing countries, using crop residue for conservation agriculture has the opportunity cost of say feed for livestock. In this paper, we model and develop an expression for an optimum economic incentive that is necessary to internalize the positive externality. A crude value of the tax is calculated using data from Kenya. We also empirically investigated the determinants of the crop residue left on the farm and found that it depends on cation exchange capacity (CEC) of the soil, the prices of maize, whether extension officers visit the plot or not, household size, the level of education of the household head and alternative cost of soil conservation.

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File URL: http://hdl.handle.net/2077/21976
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Bibliographic Info

Paper provided by University of Gothenburg, Department of Economics in its series Working Papers in Economics with number 431.

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Length: 21 pages
Date of creation: 15 Feb 2010
Date of revision:
Handle: RePEc:hhs:gunwpe:0431

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Postal: Department of Economics, School of Business, Economics and Law, University of Gothenburg, Box 640, SE 405 30 GÖTEBORG, Sweden
Phone: 031-773 10 00
Web page: http://www.handels.gu.se/econ/
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Keywords: conservation agriculture; soil carbon; climate change; bioeconomics; Kenya;

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  1. Hartell, Jason G., 2004. "Pricing Benefit Externalities of Soil Carbon Sequestration in Multifunctional Agriculture," Journal of Agricultural and Applied Economics, Southern Agricultural Economics Association, vol. 36(02), August.
  2. Akpalu, Wisdom & Parks, Peter J., 2005. "Natural Resource use Conflict: Gold Mining in Tropical Rainforest in Ghana," Working Papers in Economics 182, University of Gothenburg, Department of Economics.
  3. Panayotou, Theodore & Sachs, Jeffrey D. & Zwane, Alix Peterson, 2002. "Compensation for "Meaningful Participation" in Climate Change Control: A Modest Proposal and Empirical Analysis," Journal of Environmental Economics and Management, Elsevier, vol. 43(3), pages 437-454, May.
  4. John M. Antle & Bocar Diagana, 2003. "Creating Incentives for the Adoption of Sustainable Agricultural Practices in Developing Countries: The Role of Soil Carbon Sequestration," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(5), pages 1178-1184.
  5. Graff-Zivin, Joshua & Lipper, Leslie, 2008. "Poverty, risk, and the supply of soil carbon sequestration," Environment and Development Economics, Cambridge University Press, vol. 13(03), pages 353-373, June.
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