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The dynamics of organic farming conversion in groundwater management

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  • Gianluca Iannucci
  • Jean-Christophe Pereau

    (BSE - Bordeaux Sciences Economiques - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique)

Abstract

This article analyses the endogenous choice of farmers to be organic or conventional in a groundwater evolutionary model when a tax on fertiliser on conventional farmers is implemented by a regulatory agency. The analysis of the model shows that the coexistence of both type of farmers only occurs when the decrease in productivity due to organic production is relatively low and the price premium for organic products is relatively high. However, even if conversion is welfare improving, our results show that this conversion may be done at the expense of the water resource with a lower water table. An application to the Western la Mancha aquifer (Spain) illustrates the main results.

Suggested Citation

  • Gianluca Iannucci & Jean-Christophe Pereau, 2024. "The dynamics of organic farming conversion in groundwater management," Post-Print hal-05155879, HAL.
    • Handle: RePEc:hal:journl:hal-05155879
    DOI: 10.1017/s1365100524000592
    Note: View the original document on HAL open archive server: https://hal.science/hal-05155879v1
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    References listed on IDEAS

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