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Value of Agricultural Nonpoint Source Pollution Measurement Technology: Assessment from a Policy Perspective

Lyubov Kurkalova (), Catherine Kling () and Jinhua Zhao ()

Staff General Research Papers Archive from Iowa State University, Department of Economics

Abstract: The development of accurate non-point source pollution assessment technologies allows the implementation of more efficient policies than can be undertaken in their absence. This study estimates the value of accurate measurement technology by estimating the gains from implementing a more efficient policy, one that targets agricultural non-point source emission reductions at the field scale but requires accurate field scale measurement technology, relative to a practice-based policy that can be implemented in the absence of such technology. For the environmental benefit of carbon sequestration, large cost savings are found due to improved targeting of conservation tillage subsidies for the state of Iowa. The ability of the government to cost discriminate is found to have little impact on the value of accurate measurement technology.

Date: 2004-01-01
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Published in Applied Economics 2004, vol. 36, pp. 2287-2298

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