IDEAS home Printed from https://ideas.repec.org/p/nst/samfok/16915.html
   My bibliography  Save this paper

The Silence of the Lambs: Payment for Carnivore Conservation and Sheep Farming

Author

Listed:
  • Anders Skonhoft

    (Department of Economics, Norwegian University of Science and Technology)

Abstract

During the last few decades, the number of large carnivores (wolf, bear, lynx and wolverines) has increased significantly in Scandinavia. As a result of more predation of livestock, conflicts with livestock farmers have deepened. We model this conflict using sheep farming as an example, and in instances in which farmers are given compensation for the predation loss. The compensation scheme is composed of a fixed per animal loss value (ex-post), but also a compensation just for the presence of the carnivores (ex-ante). Ex-post compensation payment is practiced in many countries where farmers are affected by killed and injured livestock, but also damages to crops. Ex-ante payment implies payment for environmental services (PES) and is also widely practiced. In the first part of the paper, the stocking decision of a group of farmers is analyzed. In a next step, the Directorate for Natural Resource Management (DNRM), managing the carnivores and compensation scheme, is introduced. The strategic interaction between the sheep farmers and DNRM is modelled as a Stackelberg game with DNRM as the leader. We find that it is not beneficial for DNRM to use ex-post, but only ex-ante compensation. The solution to the game is compared to the social planner solution, and numerical illustrations indicate that the efficiency loss of the ex-ante compensation scheme to be small.

Suggested Citation

  • Anders Skonhoft, 2015. "The Silence of the Lambs: Payment for Carnivore Conservation and Sheep Farming," Working Paper Series 16915, Department of Economics, Norwegian University of Science and Technology.
    • Handle: RePEc:nst:samfok:16915
    as

    Download full text from publisher

    File URL: http://www.svt.ntnu.no/iso/WP/2015/8_Skonhoft.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Astrid Zabel & Karen Pittel & Göran Bostedt & Stefanie Engel, 2011. "Comparing Conventional and New Policy Approaches for Carnivore Conservation: Theoretical Results and Application to Tiger Conservation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 48(2), pages 287-301, February.
    2. Johannesen, Anne Borge & Skonhoft, Anders, 2005. "Tourism, poaching and wildlife conservation: what can integrated conservation and development projects accomplish?," Resource and Energy Economics, Elsevier, vol. 27(3), pages 208-226, October.
    3. Astrid Zabel & Göran Bostedt & Stefanie Engel, 2014. "Performance Payments for Groups: The Case of Carnivore Conservation in Northern Sweden," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 59(4), pages 613-631, December.
    4. Zabel, Astrid & Pittel, Karen & Bostedt, Göran & Engel, Stefanie, 2011. "Comparing conventional and new policy approaches for carnivore conservation: Theoretical results and application to tiger conservation," Munich Reprints in Economics 19669, University of Munich, Department of Economics.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Anders Skonhoft, 2017. "The Silence of the Lambs: Payment for Carnivore Conservation and Livestock Farming Under Strategic Behavior," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 67(4), pages 905-923, August.
    2. Mensah, Justice Tei & Persson, Jens & Kjellander, Petter & Elofsson, Katarina, 2019. "Effects of carnivore presence on hunting lease pricing in South Sweden," Forest Policy and Economics, Elsevier, vol. 106(C), pages 1-1.
    3. Widman, Marit & Elofsson, Katarina, 2018. "Costs of Livestock Depredation by Large Carnivores in Sweden 2001 to 2013," Ecological Economics, Elsevier, vol. 143(C), pages 188-198.
    4. Birgit Bednar-Friedl & Edwin Muchapondwa & Precious Zikhali & Samson Mukanjari, 2012. "Evaluating the Prospects of Benefit Sharing Schemes in Protecting Mountain Gorillas in Central Africa," Working Papers 321, Economic Research Southern Africa.
    5. Anne Borge Johannesen & Jon Olaf Olaussen & Anders Skonhoft, 2019. "Livestock and Carnivores: Economic and Ecological Interactions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 74(1), pages 295-317, September.
    6. Astrid Zabel & Göran Bostedt & Stefanie Engel, 2014. "Performance Payments for Groups: The Case of Carnivore Conservation in Northern Sweden," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 59(4), pages 613-631, December.
    7. Vidyaratne, Herath & Vij, Akshay & Regan, Courtney M., 2020. "A socio-economic exploration of landholder motivations to participate in afforestation programs in the Republic of Ireland: The role of irreversibility, inheritance and bequest value," Land Use Policy, Elsevier, vol. 99(C).
    8. Enriquez, Aaron J. & Finnoff, David C., 2021. "Managing mortality of multi-use megafauna," Journal of Environmental Economics and Management, Elsevier, vol. 107(C).
    9. Häggmark-Svensson, Tobias & Elofsson, Katarina & Engelmann, Marc & Gren, Ing-Marie, 2015. "A review of the literature on benefits, costs, and policies for wildlife management," Working Paper Series 2015:1, Swedish University of Agricultural Sciences, Department Economics.
    10. Adrian A. Lopes & Shady S. Atallah, 2020. "Worshipping the Tiger: Modeling Non-use Existence Values of Wildlife Spiritual Services," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 76(1), pages 69-90, May.
    11. Skonhoft, Anders, 2007. "Economic modeling approaches for wildlife and species conservation," Ecological Economics, Elsevier, vol. 62(2), pages 223-231, April.
    12. Veronesi, Marcella & Reutemann, Tim & Zabel, Astrid & Engel, Stefanie, 2015. "Designing REDD+ schemes when forest users are not forest landowners: Evidence from a survey-based experiment in Kenya," Ecological Economics, Elsevier, vol. 116(C), pages 46-57.
    13. Conrad, Jon M. & Lopes, Adrian A., 2017. "Poaching and the dynamics of a protected species," Resource and Energy Economics, Elsevier, vol. 48(C), pages 55-67.
    14. Zabel, Astrid & Engel, Stefanie, 2010. "Performance payments: A new strategy to conserve large carnivores in the tropics?," Ecological Economics, Elsevier, vol. 70(2), pages 405-412, December.
    15. Markova-Nenova, Nonka & Engler, Jan O. & Cord, Anna F. & Wätzold, Frank, 2023. "A Cost Comparison Analysis of Bird-Monitoring Techniques for Result-Based Payments in Agriculture," MPRA Paper 116311, University Library of Munich, Germany.
    16. Fischer, Carolyn & Sterner, Thomas & Muchapondwa, Edwin, 2005. "Bioeconomic Model of Community Incentives for Wildlife Management Before and After CAMPFIRE," RFF Working Paper Series dp-05-06, Resources for the Future.
    17. Zijin Xie & Ayumi Onuma, 2021. "Biodiversity Conservation under ICDPs in a Bioeconomic Model: Nonprofit vs For-Profit National Parks," Keio-IES Discussion Paper Series 2021-001, Institute for Economics Studies, Keio University.
    18. Markus Ohndorf, 2010. "Optimal Monitoring for project-based Emissions Trading Systems under incomplete Enforcement," IED Working paper 10-13, IED Institute for Environmental Decisions, ETH Zurich.
    19. Ines Kapphan & Pierluigi Calanca & Annelie Holzkaemper, 2011. "Climate Change, Weather Insurance Design and Hedging Effectiveness," IED Working paper 11-17, IED Institute for Environmental Decisions, ETH Zurich.
    20. Blanco, Esther & Haller, Tobias & Walker, James M., 2018. "Provision of environmental public goods: Unconditional and conditional donations from outsiders," Journal of Environmental Economics and Management, Elsevier, vol. 92(C), pages 815-831.

    More about this item

    Keywords

    Carnivore conservation; sheep farming; compensation; Stackelberg game;
    All these keywords.

    JEL classification:

    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy; Animal Welfare Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:nst:samfok:16915. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Anne Larsen (email available below). General contact details of provider: https://edirc.repec.org/data/isontno.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.