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Targeting Incentives to Reduce Habitat Fragmentation

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  • Lewis, David J.

    (University of Wisconsin, Madison)

  • Plantinga, Andrew J.

    (Oregon State University)

  • Wu, JunJie

    (Oregon State University)

Abstract

This paper develops a theoretical model to analyze the spatial targeting of incentives for the restoration of forested landscapes when wildlife habitat can be enhanced by reducing fragmentation. The key theoretical result is that the marginal net benefits of increasing forest are convex, indicating that corner solutions--converting either none or all of the agricultural land in a section to forest--may be optimal. Corner solutions are directly linked to the spatial process determining habitat benefits and the regulator's incomplete information regarding landowner opportunity costs. We present findings from a large-scale empirical landscape simulation that supports our key theoretical results.

Suggested Citation

  • Lewis, David J. & Plantinga, Andrew J. & Wu, JunJie, 2008. "Targeting Incentives to Reduce Habitat Fragmentation," Staff Paper Series 531, University of Wisconsin, Agricultural and Applied Economics.
  • Handle: RePEc:ecl:wisagr:531
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    File URL: http://www.aae.wisc.edu/pubs/sps/pdf/stpap531.pdf
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    Cited by:

    1. Zhang, Wendong & Irwin, Elena G., 2013. "From Farmers' Management Decisions to Watershed Water Quality: A Spatial Economic Model of Land Management Choices," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150729, Agricultural and Applied Economics Association.
    2. Bamiére, Laure & David, Maia & Vermont, Bruno, 2011. "Agri-Environmental Policies When the Spatial Pattern of Biodiversity Reserves Matters," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114239, European Association of Agricultural Economists.
    3. Ambec, Stefan & Langinier, Corinne & Marcoul, Philippe, 2011. "Spatial Efficiency of Genetically Modified and Organic Crops," LERNA Working Papers 11.18.352, LERNA, University of Toulouse.
    4. Lawley, Chad & Yang, Wanhong, 2015. "Spatial interactions in habitat conservation: Evidence from prairie pothole easements," Journal of Environmental Economics and Management, Elsevier, vol. 71(C), pages 71-89.
    5. KURKALOVA, Lyubov A. & WADE, Tara R., 2013. "Aggregated Choice Data And Logit Models: Application To Environmental Benign Practices Of Conservation Tillage By Farmers In The State Of Iowa," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 13(2), pages 119-128.
    6. Gren, Ing-Marie & Baxter, Peter & Mikusinski, Grzegorz & Possingham, Hugh, 2014. "Cost-effective biodiversity restoration with uncertain growth in forest habitat quality," Journal of Forest Economics, Elsevier, vol. 20(1), pages 77-92.
    7. Ferris, Jeffrey & David, Newburn, 2014. "Residential Development And The Effect Of Forest Conservation Policy," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170337, Agricultural and Applied Economics Association.
    8. Gren, Ing-Marie & Carlsson, Mattias, 2011. "Estimation of cost functions for preserving biodiversity in Swedish forests," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114596, European Association of Agricultural Economists.
    9. Bamière, Laure & David, Maia & Vermont, Bruno, 2013. "Agri-environmental policies for biodiversity when the spatial pattern of the reserve matters," Ecological Economics, Elsevier, vol. 85(C), pages 97-104.
    10. Lewis, David J. & Alig, Ralph J., 2009. "Empirical Methods for Modeling Landscape Change, Ecosystem Services, and Biodiversity," Western Economics Forum, Western Agricultural Economics Association, vol. 8(01).
    11. Swallow, Stephen K., 2013. "Demand-side Value for Ecosystem Services and Implications for Innovative Markets: Experimental Perspectives on the Possibility of Private Markets for Public Goods," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 42(1), April.
    12. repec:oup:renvpo:v:12:y:2018:i:1:p:69-91. is not listed on IDEAS
    13. Banerjee, Simanti & Kwasnica, Anthony M. & Shortle, James S., 2012. "Agglomeration bonus in small and large local networks: A laboratory examination of spatial coordination," Ecological Economics, Elsevier, vol. 84(C), pages 142-152.
    14. 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.
    15. Mallory, Mindy L. & Ando, Amy W., 2014. "Implementing efficient conservation portfolio design," Resource and Energy Economics, Elsevier, vol. 38(C), pages 1-18.
    16. Jiang, Yong & Swallow, Stephen K., 2017. "Impact Fees Coupled With Conservation Payments to Sustain Ecosystem Structure: A Conceptual and Numerical Application at the Urban-Rural Fringe," Ecological Economics, Elsevier, vol. 136(C), pages 136-147.
    17. Bamière, Laure & Havlík, Petr & Jacquet, Florence & Lherm, Michel & Millet, Guy & Bretagnolle, Vincent, 2011. "Farming system modelling for agri-environmental policy design: The case of a spatially non-aggregated allocation of conservation measures," Ecological Economics, Elsevier, vol. 70(5), pages 891-899, March.
    18. Katharine Sims, 2014. "Do Protected Areas Reduce Forest Fragmentation? A Microlandscapes Approach," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(2), pages 303-333, June.
    19. Gregory M. Parkhurst & Jason F. Shogren & Thomas Crocker, 2016. "Tradable Set-Aside Requirements (TSARs): Conserving Spatially Dependent Environmental Amenities," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 63(4), pages 719-744, April.
    20. Gren, Ing-Marie & Baxter, Peter & Mikusinski, Grzegorz, 2010. "Site selection for an umbrella species," Department of Economics publications 5886, Swedish University of Agricultural Sciences, Department of Economics.
    21. Guy Meunier, 2014. "Land-sparing vs Land-sharing with incomplete policies," Working Papers 2014-05, Alimentation et Sciences Sociales.

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