The relative cost-efficiency of arable nitrogen management in Sweden

Abstract

Arable nitrogen emissions contribute to serious water-quality problems around the globe. To reduce pollution of the Baltic Sea, Sweden has implemented a comprehensive scheme of nitrogen abatement instruments; a uniform nitrogen fertilizer tax, green payments (subsidies), and land-use regulations. The purpose of this study was to evaluate the relative cost-efficiency of the scheme and to analyze the implications of agricultural policy for the least-cost solution. Due to the expanse and heterogeneity of the study area, a spatially distributed nonlinear mathematical programming model, which linked changes in agricultural production practices on crop farms in Southern Sweden to coastal nitrogen load, was developed. Spatial variation in physical parameters, production costs, and the fate and transport of nitrogen were accounted for. Interactions between agricultural and nitrogen policy were shown to occur. Least-cost abatement measures changed radically with and without agricultural policy. Nitrogen policy can be construed as simply correcting for pollution induced by agricultural policy. (C) 2003 Elsevier B.V. All rights reserved

Published in

Ecological Economics
2003, Volume: 47, number: 1, pages: 53-70 Publisher: ELSEVIER SCIENCE BV

SLU Authors

• Brady, Mark

  • Department of Economics, Swedish University of Agricultural Sciences
    

UKÄ Subject classification

Agricultural Science


Publication identifier

DOI: https://doi.org/10.1016/j.ecolecon.2002.11.001

Permanent link to this page (URI)

https://res.slu.se/id/publ/49