In this paper an analytical framework is presented that identifies the trade-offs that a regional authority desiring to improve groundwater quality is confronted with as it strives to balance the preferences of farmers and households. The basic rule developed indicates that the regional authority must choose a policy whereby any increase (decrease) in regional income is just equal to the decrease (increase) in net benefits to households.
Get full access to this article
View all access options for this article.
References
1.
AlwardG, 1987, “IMPLAN version 2.0”, Forest Service, Fort Collins, CO
2.
AndersonGOpaluchJSullivanM, 1985, “Nonpoint agricultural pollution: pesticide contamination of groundwater supplies”American Journal of Agricultural Economics671238–1243
3.
AnderssonAKuenneR, 1986, “Regional economic dynamics”, in Handbook of Regional and Urban Economics Ed. NijkampP (North-Holland, Amsterdam) pp 201–256
4.
ArthurW, 1981, “The economics of risks to life”The American Economic Review7154–64
5.
BallE, 1989, “Estimating supply response of multiproduct farms”, ERS-TB-1750, Economic Research Service, US Department of Agriculture, Washington, DC
6.
BaumolWOatesW, 1988The Theory of Environmental Policy2nd edition (Cambridge University Press, Cambridge)
7.
ChandlerWFortuny-AmatJMcCarlB, 1981, “The potential role of multilevel programming in agricultural economics”The American Journal of Agricultural Economics63521–531
8.
ChouY, 1975Statistical Analysis2nd edition (Holt, Rinehart and Winston, New York)
9.
CothernRConiglioWMarcusW, 1985, “Techniques for the assessment of carcinogenic risk to the US population due to exposure from selected volatile organic compounds from drinking water via the ingestion, inhalation and dermal routes”, EPA 570/9-85-001, Environmental Protection Agency, Washington, DC
10.
CothernRConiglioWMarcusW, 1986, “Estimating risk to human health”Environmental Science and Technology20111–116
11.
DuffyM, 1983, “Pesticide use and practice”, ERS-AIB-462, US Department of Agriculture, Washington, DC
12.
EPA, 1984, “User's manual for the pesticide root zone model (PRZM)”, EPA-600/3-84-109, Environmental Protection Agency, Environmental Research Laboratory, Athens, GA
13.
FieringM, 1966, “Synthetic hydrology: an assessment”, in Water Research Eds KneeseASmithS (Johns Hopkins University Press, Baltimore, MD) pp 39–52
14.
FinkelAEvansJ, 1987, “Evaluating the benefits of uncertainty reduction in environmental health risk management”The International Journal of Air Pollution Control and Hazardous Waste Management371164–1171
15.
GianessiLPeskinHYoungG, 1981, “Analysis of national water pollution control policies”Water Resources Research17796–801
16.
GriffinRBromleyD, 1982, “Agricultural runoff as a nonpoint externality”American Journal of Agricultural Economics64547–552
17.
HewingsGJensenR, 1986, “Regional, interregional and multiregional input-analysis”, in Handbook of Regional and Urban Economics Ed. NijkampP (North-Holland, Amsterdam) pp 295–356
18.
HoldenP, 1986Pesticides and Groundwater Quality (National Academy Press, Washington, DC)
19.
HoltermanS, 1976, “Alternative tax systems to correct for externalities and the efficiency of paying compensation”Economica431–16
20.
JohnsonSAdamsRPerryG, 1988, “Optimal irrigation and fertilization strategies for managing groundwater pollution”, paper presented to The American Geophysical Union Winter Meetings, San Francisco, 5–8 December; copy available from Center for Agricultural and Rural Development, Iowa State University, Ames, IA
21.
KeeneyRRaiffaH, 1976Decisions with Multiple Objectives (John Wiley, New York)
22.
LichtenbergEZilbermanD, 1988, “Efficient regulation of environmental health risks”Quarterly Journal of Economics10258–65
23.
MoranD, 1988, “Home water treatment: remediating Aldicard contamination in Suffolk County, New York”Agrichemicals and Groundwater ProtectionFreshwater Foundation, Navarre, MN, pp 57–69
24.
NielsenELeeL, 1987, “The magnitude and costs of groundwater contamination from agricultural chemicals”, AER 576, Economic Research Service, US Department of Agriculture, Washington, DC
25.
OsteenCKuchlerF, 1986, “Potential bans of corn and soybeans pesticides”, AER-546, Economic Research Service, US Department of Agriculture, Washington, DC
26.
OsteenCSzmedraP, 1989, “Agricultural pesticide use trends and policy issues”, Economic Research Service, US Department of Agriculture, Washington, DC
27.
OTA, 1984, “Protecting the nation's groundwater from contamination”, Office of Technology Assessment, Washington, DC
28.
PfeifferGWhittleseyN, 1978, “Controlling nonpoint externalities with input restrictions in an irrigated river basin”Water Resources Bulletin141387–1403
29.
RaucherR, 1986a, “The benefits and costs of policies related to groundwater contamination”Land Economics6233–45
30.
RaucherR, 1986b, “Under a differential groundwater protection strategy”The American Journal of Agricultural Economics681125–1128
31.
SalibaB C, 1985, “Irrigated agriculture and groundwater quality—a framework for policy development”American Journal of Agricultural Economics671231–1237
32.
ShechterM, 1985, “An anatomy of a groundwater contamination episode”Journal of Environmental Economics and Management1272–88
33.
SegersonK, 1988, “Uncertainty and incentives for nonpoint pollution control”Journal of Environmental Economics and Management1587–98
34.
Soil Conservation Service, 1988, “A national program for soil and water conservation: the 1988–97 Resource Conservation Act update”, Soil Conservation Service, US Department of Agriculture, Washington, DC
35.
StevensB, 1988, “Fiscal implications of effluent charges and input taxes”Journal of Environmental Economics and Management15285–296
36.
The Conservation Foundation, 1987, “Groundwater protection”, The Conservation Foundation, 1255 23rd Street NW, 20007 Washington, DC
37.
USGS, 1986National Water Summary 1985—Hydrologic Events and Surface Water ResourcesUS Geological Survey (US Government Printing Office, Washington, DC)
38.
USGS, 1987Estimated Use of Water in the United States in 1985US Geological Survey (US Government Printing Office, Washington, DC)
39.
US Water Resources Council, 1980The Nation's Water Resources, 1975–2000 (US Government Printing Office, Washington, DC)
40.
VroomanH, 1989, “Fertilizer use and price statistics, 1960–88”, SB 780, Economic Research Service, US Department of Agriculture, Washington, DC