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Designing Frameworks to Deliver Unknown Information to Support MBIs

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  • Eigenraam, Mark
  • Strappazzon, Loris
  • Lansdell, Nicola
  • Beverly, Craig
  • Stoneham, Gary

Abstract

This paper reports on a Catchment Modelling Framework (CMF) designed to support an Australian pilot of an auction for multiple environmental outcomes EcoTender. The CMF is used to estimate multiple environmental outcomes including carbon, terrestrial biodiversity, aquatic function (water quality and quantity) and saline land area. This information was previously unavailable for application to environmental markets. This is the first time a market-based policy has been fully integrated from desk to field with a Catchment Modelling Framework for the purchase of multiple outcomes. This framework solves the unknown information problem of linking paddock scale landuse and management to catchment-scale environmental outcomes. The framework provides the Victorian government with a replicable transparent evidence-based approach to the procurement of environment outcomes.

Suggested Citation

  • Eigenraam, Mark & Strappazzon, Loris & Lansdell, Nicola & Beverly, Craig & Stoneham, Gary, 2006. "Designing Frameworks to Deliver Unknown Information to Support MBIs," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25673, International Association of Agricultural Economists.
  • Handle: RePEc:ags:iaae06:25673
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    References listed on IDEAS

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    1. Just, Richard E & Antle, John M, 1990. "Interactions between Agricultural and Environmental Policies: A Conceptual Framework," American Economic Review, American Economic Association, vol. 80(2), pages 197-202, May.
    2. Gary Stoneham & Vivek Chaudhri & Arthur Ha & Loris Strappazzon, 2003. "Auctions for conservation contracts: an empirical examination of Victoria's BushTender trial," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(4), pages 477-500, December.
    3. Wu, JunJie & Skelton-Groth, Katharine, 2002. "Targeting conservation efforts in the presence of threshold effects and ecosystem linkages," Ecological Economics, Elsevier, vol. 42(1-2), pages 313-331, August.
    4. Carpentier, C.L. & Bosch, D.J. & Batie, S.S., 1998. "Using Spatial Information to Reduce Costs of Controlling Agricultural Nonpoint Source Pollution," Agricultural and Resource Economics Review, Cambridge University Press, vol. 27(01), pages 72-84, April.
    5. John B. Braden & Gary V. Johnson & Aziz Bouzaher & David Miltz, 1989. "Optimal Spatial Management of Agricultural Pollution," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 71(2), pages 404-413.
    6. Loris Strappazzon & Arthur Ha & Mark Eigenraam & Charlotte Duke & Gary Stoneham, 2003. "Efficiency of alternative property right allocations when farmers produce multiple environmental goods under the condition of economies of scope," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 47(1), pages 1-27, March.
    7. 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.
    8. Strappazzon, Loris & Ha, Arthur & Eigenraam, Mark & Duke, Charlotte & Stoneham, Gary, 2003. "Efficiency of alternative property right allocations when farmers produce multiple environmental goods under the condition of economies of scope," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 0(Issue 1), pages 1-27.
    9. 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.
    10. Carpentier, Chantal Line & Bosch, Darrell J. & Batie, Sandra S., 1998. "Using Spatial Information To Reduce Costs Of Controlling Agricultural Nonpoint Source Pollution," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 0(Number 1), pages 1-13, April.
    11. Babcock, Bruce A. & Lakshminarayan, P. G. & Wu, JunJie & Zilberman, David, 1996. "Economics of a Public Fund for Environmental Amenities (The)," Staff General Research Papers Archive 1065, Iowa State University, Department of Economics.
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