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Environmental conservation in agriculture: Land retirement vs. changing practices on working land

Author

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  • Feng, Hongli
  • Kurkalova, Lyubov A.
  • Kling, Catherine
  • Gassman, Philip

Abstract

The study develops a conceptual framework for analyzing the allocation of conservation funds via selectively offering incentive payments to farmers for enrolling in one of two mutually exclusive agricultural conservation programs: retiring land from production or changing farming practices on land that remains in production. We investigate how the existence of a pre-fixed budget allocation between the programs affects the amounts of environmental benefits obtainable under alternative policy implementation schemes. The framework is applied to a major agricultural production region using field-scale data in conjunction with empirical models of land retirement and conservation tillage adoption, and a biophysical process simulation model for an array of environmental benefits.

Suggested Citation

  • Feng, Hongli & Kurkalova, Lyubov A. & Kling, Catherine & Gassman, Philip, 2006. "Environmental conservation in agriculture: Land retirement vs. changing practices on working land," ISU General Staff Papers 200601010800001383, Iowa State University, Department of Economics.
  • Handle: RePEc:isu:genstf:200601010800001383
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