Conversion Subsidies For Organic Production: Results From Sweden And Lessons For The United States
Environmental and social justifications for organic conversion subsidies are as pervasive in the United States as in Europe, but national policy does not explicitly support organic agriculture. Using Sweden's experience, we analyze factors that affect whether a subsidy is required to motivate organic conversion. We use a utility difference model to compare farmers who converted before and after the subsidy. Significant factors in conversion without subsidies are greater livestock diversity and more sales outlets. Farmers requiring subsidies manage larger farms, are more concerned with organic inspection quality and adequacy of technical advice, and reside in areas with more organic farms. Results suggest that a subsidy induces mainly those already inclined toward organic agriculture to convert. Limited exposure to organic systems and a marketing and technical information infrastructure designed to support conventional agriculture restrict the potential effect of a conversion subsidy in the United States.
|Date of creation:||1998|
|Date of revision:|
|Contact details of provider:|| Postal: Conner Hall, Athens, GA 30602|
Phone: (706) 542-2481
Fax: (706) 542-0739
Web page: http://www.caes.uga.edu/departments/agecon/index.html
More information through EDIRC
References listed on IDEAS
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.:
- W. Michael Hanemann, 1984. "Welfare Evaluations in Contingent Valuation Experiments with Discrete Responses," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 66(3), pages 332-341.
- Cragg, Michael & Kahn, Matthew, 1997. "New Estimates of Climate Demand: Evidence from Location Choice," Journal of Urban Economics, Elsevier, vol. 42(2), pages 261-284, September.
When requesting a correction, please mention this item's handle: RePEc:ags:ugeofs:16640. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (AgEcon Search)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.