Technological externalities and environmental policy: how to simulate manure management regulation within a DEA framework

Isabelle Piot-Lepetit ()
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Isabelle Piot-Lepetit: Marchés, Organisations, Institutions et Stratégies d'Acteurs - Cirad - Centre de Coopération Internationale en Recherche Agronomique pour le Développement - INRA - Institut National de la Recherche Agronomique - CIHEAM-IAMM - Centre International de Hautes Etudes Agronomiques Méditerranéennes - Institut Agronomique Méditerranéen de Montpellier - CIHEAM - Centre International de Hautes Études Agronomiques Méditerranéennes - Montpellier SupAgro - Institut national d’études supérieures agronomiques de Montpellier, IPTS - JRC Institute for Prospective Technological Studies - JRC - European Commission - Joint Research Centre [Seville]

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Abstract: The directional distance function defined in a DEA type non-parametric framework provides a highly flexible structure for modelling producer behaviour in the presence of polluting emissions and environmental regulations. This article presents five models describing different "command and control" type policy measures as an economic one about nitrogen pollution of agricultural origin. These measures concern the management of the mandatory constraint on the spreading of organic manure and the investment in manure treatment facilities. The study also simulates the use of an economic instrument by enforcing the individual manure constraint at an aggregated level. Using individual and aggregated DEA models, this paper provides insights into the impact of individual and collective management of environmental policy instruments.

Keywords: directional distance function; data envelopment analysis; nitrate pollution; environmental regulation; european nitrates directive; méthode par enveloppement des données; fonction distance directionnelle (search for similar items in EconPapers)
Date: 2014
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Citations: View citations in EconPapers (4)

Published in Annals of Operations Research, 2014, 214 (1), pp.31-48. ⟨10.1007/s10479-010-0744-8⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-02640790

DOI: 10.1007/s10479-010-0744-8

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