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Linking Economic Policy and Environmental Outcomes at a Watershed Scale

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  • Shively, Gerald
  • Zelek, Charles

Abstract

Do the most promising policies to promote sustainable upland farming originate at the local or national level? Will coordination of local and national efforts produce better outcomes? This paper uses an optimization-simulation model of the Manupali watershed in the Philippines to investigate these issues. It compares the economic and environmental effects of four sets of stylized policy changes: (1) local policies that restrict some forms of land use; (2) local attempts to subsidize environment-friendly technologies; (3) a crop-specific tax levied on vegetable production; and (4) a hybrid approach that seeks to coordinate local technology initiatives with a broader-based national pricing policy.

Suggested Citation

  • Shively, Gerald & Zelek, Charles, 2002. "Linking Economic Policy and Environmental Outcomes at a Watershed Scale," Philippine Journal of Development PJD 2002 Vol. XXIX No. 1-, Philippine Institute for Development Studies.
    • Handle: RePEc:phd:pjdevt:pjd_2002_vol__xxix_no__1-e
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    File URL: https://www.pids.gov.ph/publication/philippine-journal-of-development/linking-economic-policy-and-environmental-outcomes-at-a-watershed-scale
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    References listed on IDEAS

    as
    1. David, Wilfredo P., 1984. "Environmental Effects of Watershed Modifications," Working Papers WP 1984-07, Philippine Institute for Development Studies.
    2. Coxhead, Ian A., 1997. "Induced innovation and land degradation in developing country agriculture," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 41(3), pages 1-28.
    3. Shively, Gerald E., 1998. "Economic policies and the environment: the case of tree planting on low-income farms in the Philippines," Environment and Development Economics, Cambridge University Press, vol. 3(1), pages 83-104, February.
    4. Coxhead, Ian & Shively, Gerald & Shuai, Xiaobing, 2002. "Development policies, resource constraints, and agricultural expansion on the Philippine land frontier," Environment and Development Economics, Cambridge University Press, vol. 7(2), pages 341-363, May.
    5. Lee,Hiro & Roland-Holst,David W. (ed.), 1998. "Economic Development and Cooperation in the Pacific Basin," Cambridge Books, Cambridge University Press, number 9780521583664.
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    Cited by:

    1. Charles A. Zelek & Gerald E. Shively, 2003. "Measuring the Opportunity Cost of Carbon Sequestration in Tropical Agriculture," Land Economics, University of Wisconsin Press, vol. 79(3), pages 342-354.

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