Exploring Environmental Services Incentive Policies for the Philippines Rice Sector: The Case of Intra-Species Agrobiodiversity Conservation

Nobuhiko Fuwa and Asa Jose U. Sajise
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Asa Jose U. Sajise: University of the Philippines Los Baños, College

Chapter 10 in Payment for Environmental Services in Agricultural Landscapes, 2009, pp 221-238 from Springer

Abstract: Abstract This chapter considers a hypothetical scheme of green payments to induce intra-specific agrobiodiversity in the context of Philippine rice farming. We empirically estimate a model of farmer behavior and then simulate the consequences of alternative (hypothetical) PES schemes under a fixed budget constraint. We find that, under this particular application, there is a clear trade-off between the two policy goals of enhancing agrobiodiversity and poverty reduction. Even the totally untargeted lump-sum subsidy would have a larger poverty reduction impact than would the first-best conservation subsidy payment scheme. Therefore, policymakers would be required to strike a delicate balance between the two competing policy objectives. In addition, there is also a clear trade-off between the efficiency of targeted conservation payment and the information requirement for implementing subsidy schemes.

Keywords: Rice Variety; Poverty Reduction; Payment Scheme; Modern Variety; Traditional Variety (search for similar items in EconPapers)
Date: 2009
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Working Paper: Exploring Environmental Services Incentive Policies for the Philippine Rice Sector: The Case of Intra-Species Agro Biodiversity Conservation (2008)
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DOI: 10.1007/978-0-387-72971-8_10

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