An agglomeration payment for cost-effective biodiversity conservation in spatially structured landscapes
Connected habitats are ecologically more valuable than isolated habitats for many species. A key challenge when designing payments for biodiversity in fragmented landscapes is to increase the spatial connectivity of habitats. Based on the idea of an agglomeration bonus we consider a scheme in which land-owners only receive payments if habitats are arranged in an ecologically favourable configuration. We compare the cost-effectiveness of agglomeration payments to spatially homogeneous payments on a conceptual level. Our results suggest that positive efficiency gains exist for agglomeration payments. We use Large Blue butterfly habitat in Germany as a specific case study, and find the agglomeration payments may lead to cost-savings of nearly 70% relative to homogenous payments.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- James E. Wilen, 2007. "Economics of Spatial-Dynamic Processes," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 89(5), pages 1134-1144.
- Groeneveld, Rolf, 2005. "Economic considerations in the optimal size and number of reserve sites," Ecological Economics, Elsevier, vol. 52(2), pages 219-228, January.
- David J. Lewis & Andrew J. Plantinga, 2007. "Policies for Habitat Fragmentation: Combining Econometrics with GIS-Based Landscape Simulations," Land Economics, University of Wisconsin Press, vol. 83(2), pages 109-127.
- Bergmann, Holger, 2004. "Berechnung von Kosten für Maßnahmen zum Schutz von gefährdeten Maculinea-Arten," UFZ Discussion Papers 2/2004, Helmholtz Centre for Environmental Research (UFZ), Division of Social Sciences (ÖKUS).
- Uwe Latacz-Lohmann & Carel Van der Hamsvoort, 1997. "Auctioning Conservation Contracts: A Theoretical Analysis and an Application," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(2), pages 407-418.
- Parkhurst, Gregory M. & Shogren, Jason F. & Bastian, Chris & Kivi, Paul & Donner, Jennifer & Smith, Rodney B. W., 2002. "Agglomeration bonus: an incentive mechanism to reunite fragmented habitat for biodiversity conservation," Ecological Economics, Elsevier, vol. 41(2), pages 305-328, May.
- Wu, JunJie & Boggess, William G., 1999. "The Optimal Allocation of Conservation Funds," Journal of Environmental Economics and Management, Elsevier, vol. 38(3), pages 302-321, November.
- Stoneham, Gary & Lansdell, Nicola & Cole, Anne & Strappazzon, Loris, 2005. "Reforming resource rent policy: an information economics perspective," Marine Policy, Elsevier, vol. 29(4), pages 331-338, July.
- Gregory M. Parkhurst & Jason F. Shogren, 2008. "Smart Subsidies for Conservation," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 90(5), pages 1192-1200.
- Paul J. Ferraro, 2003. "Assigning priority to environmental policy interventions in a heterogeneous world," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 22(1), pages 27-43.
- Ferraro, Paul J., 2008. "Asymmetric information and contract design for payments for environmental services," Ecological Economics, Elsevier, vol. 65(4), pages 810-821, May.
- Guang Wan & Enjiang Cheng, 2001. "Effects of land fragmentation and returns to scale in the Chinese farming sector," Applied Economics, Taylor & Francis Journals, vol. 33(2), pages 183-194.
- Robert Innes, 2000. "The Economics of Takings and Compensation When Land and Its Public Use Value Are in Private Hands," Land Economics, University of Wisconsin Press, vol. 76(2), pages 195-212.
- Parkhurst, Gregory M. & Shogren, Jason F., 2007. "Spatial incentives to coordinate contiguous habitat," Ecological Economics, Elsevier, vol. 64(2), pages 344-355, December.
- Varian, Hal R, 1994.
"A Solution to the Problem of Externalities When Agents Are Well-Informed,"
American Economic Review,
American Economic Association, vol. 84(5), pages 1278-1293, December.
- Varian, H,R., 1991. "A Solution to the Problem of Externalities when Agents are Well-Informed," Papers 10, Michigan - Center for Research on Economic & Social Theory.
- Hal R. Varian, 1994. "A Solution to the Problem of Externalities when Agents are Well-Informed}," Microeconomics 9401003, EconWPA.
- Zhang, Wei & Ricketts, Taylor H. & Kremen, Claire & Carney, Karen & Swinton, Scott M., 2007. "Ecosystem services and dis-services to agriculture," Ecological Economics, Elsevier, vol. 64(2), pages 253-260, December.
- Gardner M. Brown & Jason F. Shogren, 1998. "Economics of the Endangered Species Act," Journal of Economic Perspectives, American Economic Association, vol. 12(3), pages 3-20, Summer.
- Lewis, David J. & Plantinga, Andrew J. & Nelson, Erik & Polasky, Stephen, 2011. "The efficiency of voluntary incentive policies for preventing biodiversity loss," Resource and Energy Economics, Elsevier, vol. 33(1), pages 192-211, January.
- Lewis, David J. & Plantinga, Andrew J. & Nelson, Erik & Polasky, Stephen, 2009. "The Efficiency of Voluntary Incentive Policies for Preventing Biodiversity Loss," Staff Paper Series 533, University of Wisconsin, Agricultural and Applied Economics.
- Goodin, Robert E, 1994. "Selling Environmental Indulgences," Kyklos, Wiley Blackwell, vol. 47(4), pages 573-596.
- Wätzold, Frank & Lienhoop, Nele & Drechsler, Martin & Settele, Josef, 2008. "Estimating optimal conservation in the context of agri-environmental schemes," Ecological Economics, Elsevier, vol. 68(1-2), pages 295-305, December.
- Babcock, Bruce A. & Lakshminarayan, P. G. & Wu, J. & Zilberman, David, 1997. "Targeting Tools for the Purchase of Environmental Amenities," Staff General Research Papers Archive 5220, Iowa State University, Department of Economics.
- Stephen Polasky & Jeffrey D. Camm & Brian Garber-Yonts, 2001. "Selecting Biological Reserves Cost-Effectively: An Application to Terrestrial Vertebrate Conservation in Oregon," Land Economics, University of Wisconsin Press, vol. 77(1), pages 68-78.
- Banks, Jeffrey & Olson, Mark & Porter, David & Rassenti, Stephen & Smith, Vernon, 2003. "Theory, experiment and the federal communications commission spectrum auctions," Journal of Economic Behavior & Organization, Elsevier, vol. 51(3), pages 303-350, July. Full references (including those not matched with items on IDEAS)