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Information for Policy Design: Modelling Participation in a Farm Woodland Incentive Scheme

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  • Bob Crabtree
  • Neil Chalmers
  • Nicola‐Jo Barron

Abstract

Incentive schemes which use farmers and landowners as agents of policy are now the main driving force for modifying the countryside environment. Nevertheless, policy‐makers lack quantitative models that describe farmers' response to schemes, and specifically their entry decisions. This paper examines the benefits from modelling entry decisions with and without additional information generated through surveys of participants and non‐participants. It uses logit models to predict the probability of entry into a farm woodland incentive scheme, initially using only those explanatory variables that are available to policy‐makers from the annual farm census. The model performs well in identifying those factors pre‐disposing farmers to entry. The potential gains from enhancing the information set by incorporating lifestyle and other variables not recorded in the census are examined. The cost of additional surveys, and their small sample size compared with the census, casts doubt on the value of such an approach which may reduce rather than enhance predictive power.

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  • Bob Crabtree & Neil Chalmers & Nicola‐Jo Barron, 1998. "Information for Policy Design: Modelling Participation in a Farm Woodland Incentive Scheme," Journal of Agricultural Economics, Wiley Blackwell, vol. 49(3), pages 306-320, September.
    • Handle: RePEc:bla:jageco:v:49:y:1998:i:3:p:306-320
    DOI: 10.1111/j.1477-9552.1998.tb01274.x
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