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An Ex Post Evaluation of the Conservation Reserve, Federal Crop Insurance, and Other Government Programs: Program Participation and Soil Erosion

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  • Smith, Vincent H.
  • Goodwin, Barry K.

Abstract

Recent research has questioned the extent to which government policies, including conservation and risk management programs, have influenced environmental indicators. The impacts of income-supporting and risk management programs on soil erosion are considered. An econometric model of the determinants of soil erosion, program participation, conservation effort, and input usage is estimated. While the Conservation Reserve Program has reduced erosion an average of 1.02 tons per acre from 1982 to 1992, approximately half of this reduction has been offset by increased erosion resulting from government programs other than federally subsidized crop insurance.

Suggested Citation

  • Smith, Vincent H. & Goodwin, Barry K., 2003. "An Ex Post Evaluation of the Conservation Reserve, Federal Crop Insurance, and Other Government Programs: Program Participation and Soil Erosion," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 28(02), August.
  • Handle: RePEc:ags:jlaare:31090
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    File URL: http://purl.umn.edu/31090
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    References listed on IDEAS

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    1. Katherine Reichelderfer & William G. Boggess, 1988. "Government Decision Making and Program Performance: The Case of the Conservation Reserve Program," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 70(1), pages 1-11.
    2. James Vercammen & G. Cornelis van Kooten, 1994. "Moral Hazard Cycles in Individual-Coverage Crop Insurance," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 76(2), pages 250-261.
    3. Sinner, Jim, 1990. "Soil Conservation: We Can Get More For Our Tax Dollars," Choices, Agricultural and Applied Economics Association, vol. 5(2).
    4. Vincent H. Smith & Barry K. Goodwin, 1996. "Crop Insurance, Moral Hazard, and Agricultural Chemical Use," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(2), pages 428-438.
    5. Vincent H. Smith & Alan E. Baquet, 1996. "The Demand for Multiple Peril Crop Insurance: Evidence from Montana Wheat Farms," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(1), pages 189-201.
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    Citations

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    Cited by:

    1. Coleman, Jane A. & Shaik, Saleem, 2009. "Time-Varying Estimation of Crop Insurance Program in Altering North Dakota Farm Economic Structure," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49516, Agricultural and Applied Economics Association.
    2. Fabian, Capitanio & Felice, Adinolfi & Fabio G., Santeramo, 2014. "Crop insurance subsidies and environmental externalities: evidence from Southern Italy," MPRA Paper 62505, University Library of Munich, Germany.
    3. Sangtaek Seo & Eduardo Segarra & Paul D. Mitchell & David J. Leatham, 2008. "Irrigation technology adoption and its implication for water conservation in the Texas High Plains: a real options approach," Agricultural Economics, International Association of Agricultural Economists, vol. 38(1), pages 47-55, January.
    4. Lubowski, Ruben N. & Bucholtz, Shawn & Claassen, Roger & Roberts, Michael J. & Cooper, Joseph C. & Gueorguieva, Anna & Johansson, Robert C., 2006. "Environmental Effects Of Agricultural Land-Use Change: The Role Of Economics And Policy," Economic Research Report 33591, United States Department of Agriculture, Economic Research Service.
    5. Capitanio, Fabian, 2008. "Risk Management Through Insurance And Environmental Externalities From Agricultural Input Use: An Italian Case Study," 109th Seminar, November 20-21, 2008, Viterbo, Italy 44834, European Association of Agricultural Economists.
    6. Chabé-Ferret, Sylvain & Subervie, Julie, 2013. "How much green for the buck? Estimating additional and windfall effects of French agro-environmental schemes by DID-matching," Journal of Environmental Economics and Management, Elsevier, vol. 65(1), pages 12-27.
    7. Feng, Hongli & Kling, Catherine L. & Kurkalova, Lyubov A. & Secchi, Silvia & Gassman, Philip W., 2005. "Conservation Reserve Program in the Presence of a Working Land Alternative: Implications for Environmental Quality, Program Participation, and Income Transfer, The," Staff General Research Papers Archive 12411, Iowa State University, Department of Economics.
    8. Brorsen, B. Wade, 2009. "Research: Are We Valuing the Right Stuff?," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 34(1), April.
    9. Marita Laukkanen & Céline Nauges, 2014. "Evaluating Greening Farm Policies: A Structural Model for Assessing Agri-environmental Subsidies," Land Economics, University of Wisconsin Press, vol. 90(3), pages 458-481.
    10. Goodwin, Barry K. & Vandeveer, Monte & Deal, John, 2001. "The Federal Crop Insurance Program - An Empirical Analysis Of Regional Differences In Acreage Response And Participation," 2001 Annual meeting, August 5-8, Chicago, IL 20579, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    11. Woodard, Joshua D. & Chiu Verteramo, Leslie & Miller, Alyssa P., 2015. "Adaptation of U.S. Agricultural Production to Drought and Climate Change," 2015 AAEA & WAEA Joint Annual Meeting, July 26-28, San Francisco, California 205903, Agricultural and Applied Economics Association;Western Agricultural Economics Association.
    12. Claassen, Roger & Lubowski, Ruben N. & Roberts, Michael J., 2005. "Extent, Location, and Characteristics of Land Cropped Due to Insurance Subsidies," 2005 Annual meeting, July 24-27, Providence, RI 19546, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    13. repec:eee:wdevel:v:96:y:2017:i:c:p:359-374 is not listed on IDEAS
    14. Alix-Garcia, Jennifer M. & Shapiro, Elizabeth N. & Sims, Katharine R. E., 2010. "Forest Conservation and Slippage: Evidence from Mexico's National Payments for Ecosystem Services Program," Staff Paper Series 548, University of Wisconsin, Agricultural and Applied Economics.
    15. Jennifer M. Alix-Garcia & Elizabeth N. Shapiro & Katharine R. E. Sims, 2012. "Forest Conservation and Slippage: Evidence from Mexico’s National Payments for Ecosystem Services Program," Land Economics, University of Wisconsin Press, vol. 88(4), pages 613-638.
    16. Chen, Xiaoxuan & Ando, Amy Whritenour, 2006. "Optimal Contract Length for Voluntary Land Conservation Programs," 2006 Annual meeting, July 23-26, Long Beach, CA 21259, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    17. Daniel C. Monchuk & John A. Miranowski & Dermot J. Hayes & Bruce A. Babcock, 2007. "An Analysis of Regional Economic Growth in the U.S. Midwest," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(1), pages 17-39.
    18. Seo, Sangtaek & Mitchell, Paul D. & Leatham, David J., 2004. "Effects Of Federal Risk Management Programs On Land Allocation And Input Use," 2004 Annual meeting, August 1-4, Denver, CO 20160, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    19. Isik, Murat, 2005. "A Theoretical and Empirical Analysis of Conservation Reserve Program Participation under Uncertainty," 2005 Annual meeting, July 24-27, Providence, RI 19264, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    20. Feng, Hongli & Kling, Catherine L. & Kurkalova, Lyubov A. & Secchi, Silvia, 2007. "Cac Versus Incentive-Based Instruments in Agriculture: The Case of the Conservation Reserve Program," Staff General Research Papers Archive 10796, Iowa State University, Department of Economics.

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