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An Analysis of the Role of Tile-Drained Farmland Under Alternative Nitrogen Abatement Policies

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  • Petrolia, Daniel R.
  • Gowda, Prasanna H.

Abstract

Agricultural nitrogen is a major contributor to Gulf of Mexico hypoxia, and research has shown that agricultural subsurface tile drainage is a major carrier of nitrogen from croplands to streams and rivers. This study compares the results of abating nitrogen under a retired-land minimization policy with those of a new revenue-maximizing policy, paying particular attention to the role of tile-drained land. Findings reveal the retirement-minimizing policy resulted in more tile-drained land being retired and less being fertilizer-managed than was optimal under the net-return maximizing policy. Also, it led to a greater economic burden being shouldered by tile-drained land. Under both cases, tile drainage dominated the abatement process.

Suggested Citation

  • Petrolia, Daniel R. & Gowda, Prasanna H., 2006. "An Analysis of the Role of Tile-Drained Farmland Under Alternative Nitrogen Abatement Policies," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 31(3), pages 1-15, December.
    • Handle: RePEc:ags:jlaare:8621
    DOI: 10.22004/ag.econ.8621
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    References listed on IDEAS

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    1. Daniel R. Petrolia & Prasanna H. Gowda, 2006. "Missing the Boat: Midwest Farm Drainage and Gulf of Mexico Hypoxia," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 28(2), pages 240-253.
    2. Wu, JunJie & Lakshminarayan, P.G. & Babcock, Bruce A., 1996. "Impacts of Agricultural Practices and Policies on Potential Nitrate Water Pollution in the Midwest and Northern Plains of the United States," Hebrew University of Jerusalem Archive 18386, Hebrew University of Jerusalem.
    3. Ribaudo, Marc O. & Heimlich, Ralph & Claassen, Roger & Peters, Mark, 2001. "Least-cost management of nonpoint source pollution: source reduction versus interception strategies for controlling nitrogen loss in the Mississippi Basin," Ecological Economics, Elsevier, vol. 37(2), pages 183-197, May.
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    Cited by:

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    2. Marshall, Elizabeth & Aillery, Marcel & Ribaudo, Marc & Key, Nigel & Sneeringer, Stacy & Hansen, LeRoy & Malcolm, Scott & Riddle, Anne, 2018. "Reducing Nutrient Losses From Cropland in the Mississippi/Atchafalaya River Basin: Cost Efficiency and Regional Distribution," Economic Research Report 277567, United States Department of Agriculture, Economic Research Service.

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