Priorities in Cost Sharing for Soil and Water Conservation: A Revealed Preference Study
A number of studies have questioned how successfully paid land diversion has been adapted to address broad environmental policy concerns. Similar evaluations of cost-sharing programs have not been performed. This paper uses a revealed preference approach to estimate the implicit decision criteria used to allocate federal cost-sharing funds in Maryland, during the fiscal years 1994 through 1996. Funds appear to have been awarded preferentially to projects that enhanced agricultural productivity and farm profitability. In contrast to findings regarding the CRP, however, our results do not indicate that cost share awards in Maryland were inconsistent with stated environmental quality priorities.
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- Daniel McFadden, 1976. "The Revealed Preferences of a Government Bureaucracy: Empirical Evidence," Bell Journal of Economics, The RAND Corporation, vol. 7(1), pages 55-72, Spring.
- Marc O. Ribaudo, 1989. "Targeting the Conservation Reserve Program to Maximize Water Quality Benefits," Land Economics, University of Wisconsin Press, vol. 65(4), pages 320-332.
- Rodney B.W. Smith, 1995. "The Conservation Reserve Program as a Least-Cost Land Retirement Mechanism," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 77(1), pages 93-105.
- Lacy Glenn Thomas, 1988. "Revealed Bureaucratic Preference: Priorities of the Consumer Product Safety Commission," RAND Journal of Economics, The RAND Corporation, vol. 19(1), pages 102-113, Spring.
- David Zilberman, 1996. "The Economics of a Public Fund for Environmental Amenities: A Study of CRP Contracts," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 78(4), pages 961-971.
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