Farmers follow the herd: a theoretical model on social norms and payments for environmental services

Philippe Le Coent, Raphaële Préget () and Sophie Thoyer ()
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Sophie Thoyer: CEE-M - Centre d'Economie de l'Environnement - Montpellier - UM - Université de Montpellier - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement - Institut Agro - Montpellier SupAgro - Institut Agro - Institut national d'enseignement supérieur pour l'agriculture, l'alimentation et l'environnement

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Abstract: This article analyses the role played by social norms in farmers' decisions to enroll into an agri-environmental scheme (AES). First, it develops a simple theoretical model highlighting the interplay of descriptive and injunctive norms in farmers' utility functions. Second, an empirical valuation of the effect of social norms is provided based on the results of a stated preference survey conducted with 98 wine-growers in the South of France. Proxies are proposed to capture and measure the weight of social norms in farmers' decision to sign an agri-environmental contract. Our empirical results indicate that the injunctive norm seems to play a stronger role than the descriptive norm.

Keywords: social norms; behaviour; agri-environmental contracts; payments for environmental services; voluntary contribution to a public good; farmers (search for similar items in EconPapers)
Date: 2021
New Economics Papers: this item is included in nep-agr, nep-env and nep-upt
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-03060492
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Published in Environmental and Resource Economics, In press, 78 (2), pp.287-306. ⟨10.1007/s10640-020-00532-y⟩

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Journal Article: Farmers Follow the Herd: A Theoretical Model on Social Norms and Payments for Environmental Services (2021)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-03060492

DOI: 10.1007/s10640-020-00532-y

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