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Over-Perception about Land Use Changes: Assessing Empirical Evidence and Linkage with Decisions and Motivated Beliefs

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  • Hongli Feng
  • Tong Wang
  • David A. Hennessy
  • Gaurav Arora

Abstract

Prairie strips planted into crop fields offer multiple environmental benefits. This study estimates the willingness of U.S. farmers to convert 5% of their largest corn-soybean field to prairie strips in exchange for payment. Using stated preference results to estimate land supply, we find that 20% of farmers are willing to adopt prairie strips at payments equivalent to average Conservation Reserve Program rental rates, corresponding to potential conversion of 90,000 acres on 1.8 million acres of cropland. Farmers are likelier to adopt in smaller fields and when they perceive that prairie strips will benefit environmental quality or agricultural productivity.

Suggested Citation

  • Hongli Feng & Tong Wang & David A. Hennessy & Gaurav Arora, 2022. "Over-Perception about Land Use Changes: Assessing Empirical Evidence and Linkage with Decisions and Motivated Beliefs," Land Economics, University of Wisconsin Press, vol. 98(2), pages 254-273.
    • Handle: RePEc:uwp:landec:v:98:y:2022:i:2:p:254-273
    Note: DOI: 10.3368/le.98.2.040920-0052R
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    More about this item

    JEL classification:

    • Q15 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Land Ownership and Tenure; Land Reform; Land Use; Irrigation; Agriculture and Environment
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics

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