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A Comparison of Farmers' Compliance Costs to Reduce Excess Nitrogen Fertilizer Use under Alternative Policy Options

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  • Wen-Yuan Huang
  • Rhona M. Lantin

Abstract

Farmers' compliance associated with using different crop rotation patterns under alternative farm policy options are estimated. The policy options considered include the Current Farm Program, a No Farm Program Option, a Nitrogen Fertilizer Tax Option, a Corn Sales Tax Option, and a Limiting Nitrogen Fertilizer Use Option. To achieve an objective of zero excess nitrogen fertilizer available for potential leaching into ground-water, crop rotation patterns associated with the Limiting Nitrogen Fertilizer Use Option have the lowest cost to the farmer. If some excess nitrogen is allowed, crop rotation compliance under the Farm Program has the lowest cost.

Suggested Citation

  • Wen-Yuan Huang & Rhona M. Lantin, 1993. "A Comparison of Farmers' Compliance Costs to Reduce Excess Nitrogen Fertilizer Use under Alternative Policy Options," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 15(1), pages 51-62.
    • Handle: RePEc:oup:revage:v:15:y:1993:i:1:p:51-62.
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    File URL: http://hdl.handle.net/10.2307/1349711
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    Cited by:

    1. Chowdhury, Manzoor E. & Lacewell, Ronald D., 1996. "Implications Of Alternative Policies On Nitrate Contamination Of Groundwater," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 21(1), pages 1-14, July.
    2. Gebremedhin, Berhanu & Schwab, Gerald, 1998. "The Economic Importance Of Crop Rotation Systems: Evidence From The Literature," Staff Paper Series 11690, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    3. Rosas, Juan Francisco, 2012. "Essays on the environmental effects of agricultural production," ISU General Staff Papers 201201010800003744, Iowa State University, Department of Economics.
    4. Ribaudo, Marc O. & Heimlich, Ralph & Claassen, Roger & Peters, Mark, 2001. "Least-cost management of nonpoint source pollution: source reduction versus interception strategies for controlling nitrogen loss in the Mississippi Basin," Ecological Economics, Elsevier, vol. 37(2), pages 183-197, May.
    5. Hrubovcak, James & Vasavada, Utpal & Aldy, Joseph E., 1999. "Green Technologies for a More Sustainable Agriculture," Agricultural Information Bulletins 33721, United States Department of Agriculture, Economic Research Service.
    6. Noel D. Uri, 1997. "The Use of Fertilizer and its Environmental Consequences," Energy & Environment, , vol. 8(3), pages 191-205, September.
    7. Liang, Chyi-Lyi (Kathleen) & Lovejoy, Stephen B. & Lee, John G., 1998. ""Green Taxes": Impacts On National Income, Social Welfare, And Environmental Quality," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20870, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    8. Athanasios Kampas & Ben White, 2004. "Administrative Costs and Instrument Choice for Stochastic Non-point Source Pollutants," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 27(2), pages 109-133, February.

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