A Damage Function to Evaluate Erosion Control Economics

David J. Walker

American Journal of Agricultural Economics, 1982, vol. 64, issue 4, 690-698

Abstract: An erosion damage function is developed to measure on-site damage from agricultural soil loss. This method compares conventional farming and a conservation practice within a dynamic analysis treating conservation adoption year as a variable. Incremental damage from erosion, or marginal user cost, is evaluated annually and includes any cost to remedy plus lost future revenue from reduced yield. The damage function is applied to evaluate reduced tillage for wheat in the Idaho/Washington Palouse area. On shallower soils erosion damage provides conservation incentive, while on some deep soils erosion is economically rational. Properties of the damage function are explored through sensitivity analysis.

Date: 1982
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