Author
For further details log on website :
http://econpapers.repec.org/paper/agsuneewp/12931.htm
No 12931, Working Papers from University of New England, School of Economics
Abstract: Agroforestry can help prevent land degradation while allowing continuing use of land to produce crops and livestock. A problem with the evaluation of agroforestry using long-run static models and traditional discounting techniques is that the present value of the forestry enterprise is generally much lower than that of other production activities. This problem is common with Australian native species which tend to have a high environmental value but a low market value. This paper presents an economic analysis of an agroforestry operation in land prone to degradation and in the presence of positive externalities provided by trees. The value of the land is estimated based on the present value of expected returns in perpetuity under optimal management. Simulation analysis is used to evaluate the loss in land value caused by dryland salinity. A nonlinear programming model is developed and used to study the effects of timber prices and forest planting costs on optimal forest area and the level of salinity. Elasticities of relevant variables with respect to prices and costs are derived and policy implications of results are discussed.
Keywords: agroforestry; land degradation; externalities; dryland salinity; Land Economics/Use (search for similar items in EconPapers)
Date: 1999
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed
Date: 1999
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (1) Track citations by RSS feed
Downloads: (external link)
http://purl.umn.edu/12931 (application/pdf)
http://purl.umn.edu/12931 (application/pdf)
Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text
Persistent link: http://EconPapers.repec.org/RePEc:ags:uneewp:12931
Access Statistics for this paper
More papers in Working Papers from University of New England, School of Economics Contact information at EDIRC.
Series data maintained by AgEcon Search (aesearch@umn.edu).
Series data maintained by AgEcon Search (aesearch@umn.edu).
For further details log on website :
http://econpapers.repec.org/paper/agsuneewp/12931.htm
No comments:
Post a Comment