THE COST-EFFECTIVENESS OF AGRI-ENVIRONMENTAL PAYMENTS UNDER ALTERNATIVE TARGETING STRATEGIES: EMPIRICAL FINDINGS FROM THE CONSERVATION RESERVE PROGRAM IN U.S.

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  • 環境直接支払の費用対効果におけるターゲティング戦略の影響―米国保全留保プログラムの事例―

Abstract

 This study compares the environmental and economic effects of alternative targeting strategies (benefit, cost, and benefit-cost ratio targeting) for reducing nitrate-N water pollution. We apply the three targeting strategies to the Conservation Reserve Program (CRP) in the Des Moines Watershed in Iowa.<br> Our results show that the benefit-cost targeting achieves the highest nitrate-N runoff reduction. Although the cost targeting results in the largest amount of land out of production, this strategy also results in the smallest environmental benefits. The benefit targeting takes the smallest amount of resource out of production and results in highest output level. Our results also show that those differences among alternative targeting strategies tend to be larger when budget of land purchasing fund is smaller.

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