A Dynamic Economic Model of Soil Conservation Involving Genetically Modified Crop

Amrita Chatterjee (amrita@mse.ac.in) and Arpita Ghose (dhararpita@yahoo.co.in)
Additional contact information
Amrita Chatterjee: Madras School of Economics
Arpita Ghose: Jadavpur University

Working Papers from Madras School of Economics,Chennai,India

Abstract: This paper attempts to model the positive role of cultivation of Genetically Modified (GM) crop with its soil-anchoring root-characteristic and use of conservation-tillage technology, in saving organic matter contents in the topsoil and reducing soil erosion. In a dynamic optimization framework the farmer produces an optimal combination of a GM and a Non-GM variety of the same crop at the steady state, though the steady state is approached most rapidly by producing a single crop. The improvement in the capacity to anchor the soil and an increase in organic matter content in top-soil will raise the long run soil stock under certain conditions. However, the policies to increase R&D investment in genetic modification and imposition of an input subsidy on GM sector will lead to an increment in area under GM cultivation though their effect on long run soil stock is uncertain.

Keywords: Dynamic Optimization; Genetically Modified crops; soil erosion; soil conservation; steady state. (search for similar items in EconPapers)
JEL-codes: C61 C62 Q16 Q2 Q28 (search for similar items in EconPapers)
Pages: 39 pages
Date: 2015-01
New Economics Papers: this item is included in nep-agr
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.mse.ac.in/wp-content/uploads/2016/09/working-paper-96.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:mad:wpaper:2015-096

Access Statistics for this paper

More papers in Working Papers from Madras School of Economics,Chennai,India Contact information at EDIRC.
Bibliographic data for series maintained by Geetha G (info@mse.ac.in).