Integrating spatial econometric information and optimisation models to improve Agri-Environmental payment design: A resource allocation model for Emilia-Romagna (Italy)

Vergamini Daniele, Davide Viaggi and Meri Raggi

Agricultural Economics Review, 2017, vol. Volume 18, issue Issue 2

Abstract: The efficiency and cost-effectiveness of the European Agri-Environmental Measures (AEMs) depends on policy design variables, spatial targeting and participant selection process. This paper develops an optimisation model jointly aimed at optimal AEMs targeting and payment setting. The model tests the potential integration of spatial information into optimisation models simulating spatially differentiated payment mechanism for AEMs in Emilia-Romagna (Italy). The results highlight a significant cost saving with differentiated payments. Spatial information modelled as a proxy of the willingness to accept the payment supports the fine-tuning of the model. The study highlights the importance of using the information on spatial differentiation in optimisation tools searching for optimal incentivecompatible targeting.

Keywords: Research; Methods/; Statistical; Methods (search for similar items in EconPapers)
Date: 2017
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
https://ageconsearch.umn.edu/record/330607/files/18_2_4.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:ags:aergaa:330607

DOI: 10.22004/ag.econ.330607

Access Statistics for this article

More articles in Agricultural Economics Review from Greek Association of Agricultural Economists Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().