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An Optimal Control Approach To Water Quality Trading: Cost-Effective Point/Nonpoint Management In A Watershed Framework

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  • Zhao, Xiaobing
  • Fletcher, Jerald J.

Abstract

This study reflects a growing interest in water quality trading involving both point and nonpoint sources in a watershed framework. An empirical spatial-temporal optimal control model is presented and solved to assess the scope and implications of point/nonpoint trading. Results indicate significant economic gains to broader based interpretations of trading rules.

Suggested Citation

  • Zhao, Xiaobing & Fletcher, Jerald J., 2004. "An Optimal Control Approach To Water Quality Trading: Cost-Effective Point/Nonpoint Management In A Watershed Framework," 2004 Annual meeting, August 1-4, Denver, CO 20195, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    • Handle: RePEc:ags:aaea04:20195
    DOI: 10.22004/ag.econ.20195
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    References listed on IDEAS

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