Positive and Negative Externalities in Agricultural Production: The Case of Adena Springs Ranch

Charles Moss and Andrew Schmitz

Journal of Agricultural and Applied Economics, 2013, vol. 45, issue 3, 401-409

Abstract: Policy analysis is complicated by the myriad of benefits and costs generated by the use of natural resources. This study develops three benefits that must be considered in the granting of a consumptive use permit for water filed by Adena Springs Ranch, east of Ocala, Florida. This ranch is hoping to expand into grass-fat beef; but to do so, it needs additional water for irrigation. Specifically, our analysis considers the potential gain from the ranch, the potential negative effect on existing permit holders and environmental uses of water, and the possible positive value generated by the increased surface flow for other recreational users in eastern Marion County.

Date: 2013
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