Other
Subsidies! The Other Incentive-Based Instrument: The Case of the Conservation Reserve Program
CARD Working Papers
Publication Date
10-1-2003
Series Number
03-WP 345
Abstract
In this paper, we examine command-and-control (CAC) policies and market-based instruments (MBI) in the context of the Conservation Reserve Program (CRP). The CRP, an MBI in the form of subsidies, is by far the largest agro-environmental policy implemented to date. We compare the environmental performance of the CRP as implemented to a few counterfactual CAC polices using EPIC (Environmental Policy Integrated Climate), a bio-physical simulation model. In the context of multiple environmental indicators, no policy alternative emerges as a clear winner. The importance of the choice and design of CAC policies is emphasized.
Publication Information
This working paper was published as Feng, Hongli, Catherine Kling, Lyubov Kurkalova and Silvia Secchi, "Subsidies! The Other Incentive-Based Instrument: The Case of the Conservation Reserve Program," in Moving to Markets in Environmental Regulation: Lessons from Twenty Years of Experience, edited by Jody Freeman and Charles D. Kolstad (Oxford, England: Oxford University Press, 2006), doi:10.1093/acprof:oso/9780195189650.003.0009.
Disciplines
Citation Information
Hongli Feng, Catherine L. Kling, Lyubov A. Kurkalova and Silvia Secchi. "Subsidies! The Other Incentive-Based Instrument: The Case of the Conservation Reserve Program" (2003) Available at: http://works.bepress.com/catherine_kling/32/