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The economics of land degradation and technological change: a case study in Vietnam

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  • Clayton, Helena
  • Brennan, Donna C.

Abstract

This paper explores the economics of land degradation in the rice-shrimp system in the Mekong Delta of Vietnam. A bioeconomic NPV model was developed to evaluate and compare the long-term benefits of alternative production choices and farm technologies. There is an alternative rice-shrimp technology emerging in Vietnam that does not have the same land degrading impacts as the 'traditional' system, however the high capital outlay and risk associated with such technology presents its own problems. In the paper the economic incentives for adoption of the non-land degrading rice-shrimp technology are explored. Conclusions are drawn with regard to the opportunity cost of land degradation and technological change. Some conclusions are also provided on the policy implications arising from the results presented.

Suggested Citation

  • Clayton, Helena & Brennan, Donna C., 2003. "The economics of land degradation and technological change: a case study in Vietnam," 2003 Conference (47th), February 12-14, 2003, Fremantle, Australia 57845, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare03:57845
    DOI: 10.22004/ag.econ.57845
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    References listed on IDEAS

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    1. Quiggin, John C., 2001. "Environmental economics and the Murray-Darling river system," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 45(1), pages 1-28.
    2. Beaumont, Paul M. & Walker, Robert T., 1996. "Land degradation and property regimes," Ecological Economics, Elsevier, vol. 18(1), pages 55-66, July.
    3. Bathgate, Andrew & Pannell, David J., 2002. "Economics of deep-rooted perennials in western Australia," Agricultural Water Management, Elsevier, vol. 53(1-3), pages 117-132, February.
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