COMBINING ACTUAL AND CONTINGENT BEHAVIOR DATA TO MODEL FARMER ADOPTION OF WATER QUALITY PROTECTION PRACTICES

Joseph Cooper ()

Journal of Agricultural and Resource Economics, 1997, vol. 22, issue 01, 14

Abstract: Using farmer responses to contingent valuation method (CVM) survey data in combination with actual market data from four watershed regions in the United States, this study estimates the minimum incentives payments a farmer would accept in order to adopt more environmentally friendly "best management practices" (BMPs). Combining actual market data with the CVM data adds information to the analysis, thereby most likely increasing the reliability of the results compared to analyzing the contingent behavior survey response data only. Given the decision to adopt, the article also presents a pooled model for the number of acres enrolled in the BMPs as a function of the incentive payments. Adoption rates predicted with the combination data model are significantly higher over a wide range of offers than those predicted using the traditional discrete choice analysis with the hypothetical data only. Hence, using the traditional CVM analysis results to determine payments to attain a given level of adoption may result in overpayment.

Keywords: Environmental; Economics; and; Policy (search for similar items in EconPapers)
Date: 1997
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (45)

Downloads: (external link)
https://ageconsearch.umn.edu/record/31003/files/22010030.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:jlaare:31003

DOI: 10.22004/ag.econ.31003

Access Statistics for this article

More articles in Journal of Agricultural and Resource Economics from Western Agricultural Economics Association Contact information at EDIRC.
Bibliographic data for series maintained by AgEcon Search ().