Ralph E. Heimlich

Estimating the Effects of Relaxing Agricultural Land Use Restrictions: Wetland Delineation in the Swampbuster Program

Wetland protection is an issue of ongoing debate. Although it is widely agreed that wetland loss to agriculture has been declining in recent decades, the role of policy remains contentious. We analyze the effect of changes in wetland delineation rules that were proposed but rejected by Congress during the 1996 farm bill debate. Our research combines detailed, site-specific information on wetlands with a broader model of the agricultural economy. Using site-specific data, we analyze the potential agricultural profitability of a representative sample of actual wetlands. We estimate wetland acreage that would have been exempted from swampbuster and Section 404 of the Clean Water Act under the proposed delineation changes, the acreage of exempted wetland that could be profitably converted to crop production, and the associated commodity price, crop acreage, and farm income effects. We find that up to 82.7 million wetland acres would be exempted under the proposed delineation changes, of which as many as 12 million acres could be profitably converted to crop production. This conversion would have a dampening effect on commodity price and farm income. We conclude that (a accurately estimating the effect of resource policy depends critically on detailed information on resource quality and (b) commodity price and farm income effects imply that all agriculture producers—not only those who could expand cropland acreage through wetland drainage—have a stake in wetland policy.

AGRICULTURAL CONSERVATION POLICY AT A CROSSROADS

U.S. agricultural conservation policy has focused on a range of potential policy instruments centered on voluntary approaches tied into Depression-era commodity programs. Entering the twenty-first century, conservation policy is at a crossroads between more coercive regulatory policies, more costly voluntary programs, and more facilitative market-oriented policies. What are the pitfalls, advantages, disadvantages, and tradeoffs along these paths?

Evaluation of soil-erosion and pesticide-exposure control strategies

Abstract A linear-programming model of agriculture in the Chowan-Pasquotank river basin of North Carolina is used to analyze soil-erosion reduction strategies while holding pesticide loadings constant. Two forms of pesticide-exposure indexes, reflecting terrestrial and aquatic exposure, are used to aggregate the effects of pesticide applications for no-till and conventional till systems. Reductions in pesticide exposure are compatible with high levels of erosion control. Greater reductions of pesticide exposure with comparable levels of erosion control are achievable at relatively low cost. Such reductions imply shifts in cropping patterns and resource use, however.

Economic and Environmental Impacts of Herbicide Tolerant and Insect Resistant Crops in the United States

Genetic engineering refers to the genetic modification of organisms by recombinant DNA techniques. By a precise alteration of a plant’s traits, genetic engineering facilitates the development of characteristics not possible through traditional plant breeding techniques. The genetic modifications considered in this chapter include herbicide tolerance and insect resistance.

Landownership and the Adoption of Minimum Tillage: Comment

In a recent paper, Lee and Stewart (hereafter LS) estimated adoption of minimum tillage as a function of land tenure, farm size, and erosion hazard. They concluded that full-owner operators and owners of smaller farms have lower adoption rates than do other groups. Adoption rates in a range between 32% and 45% were published for the Corn Belt in 1977, and their model implied national adoption rates between 37% and 49%.

Economic Analysis as a Basis for Large- Scale Nitrogen Control Decisions: Reducing Nitrogen Loads to the Gulf of Mexico

Economic analysis can be a guide to determining the level of actions taken to reduce nitrogen (N) losses and reduce environmental risk in a cost-effective manner while also allowing consideration of relative costs of controls to various groups. The biophysical science of N control, especially from nonpoint sources such as agriculture, is not certain. Widespread precise data do not exist for a river basin (or often even for a watershed) that couples management practices and other actions to reduce nonpoint N losses with specific delivery from the basin. The causal relationships are clouded by other factors influencing N flows, such as weather, temperature, and soil characteristics. Even when the science is certain, economic analysis has its own sets of uncertainties and simplifying economic assumptions. The economic analysis of the National Hypoxia Assessment provides an example of economic analysis based on less than complete scientific information that can still provide guidance to policy makers about the economic consequences of alternative approaches. One critical value to policy makers comes from bounding the economic magnitude of the consequences of alternative actions. Another value is the identification of impacts outside the sphere of initial concerns. Such analysis can successfully assess relative impacts of different degrees of control of N losses within the basin as well as outside the basin. It can demonstrate the extent to which costs of control of any one action increase with the intensity of application of control.

Implementation of new Conservation Programs and the Need to Respond to Changing Market Conditions

Under new federal programs, soil and water within their plans to respond to price incenconservation practices are relied upon to make tives. a major contribution to the control of nonpoint RATIONALE FOR SELECTING AND sources of water pollution. Economic efficiency COMPARING CONSERVATION PLANS is to be considered in selecting these practices. Although only an experimental program fundT seto e eine these prices and the research ing of

DEVELOPMENT AT THE URBAN FRINGE AND BEYOND: IMPACTS ON AGRICULTURE AND RURAL LAND

50 million has been appropriated,

Wetlands and Agriculture: Private Interests and Public Benefits

400 actual pla designed to represent closely an million of Rural Clean Water Program funds in actual plnning situation with options that 1980 were authorized. The program is to be adc implemented under the Rural Clean ministered by the Secretary of Agriculture Water Program. The Chowan-Pasquotank inistered by the Secretary of griculture river basin in eastern Virginia and North Carowith the concurrence of the Administrator of ier bain in eassrn Virginia and North Carothe Environmental Protection Agency. Belna encompassing most of 26 counties, is cause its implementation may eventually selected for study. A linear programming cause its i ple entation ay eventually model allocates land uses to soil groups with necessitate major land use changes and capital mode allocates land uses to soil groups with investments as part of 5to 10-year contracts simir eroont and yiel characteristics, under with farmers, we examine how soil conservamag contrasting market situations Profittion plans can incorporate potential changes in maximizing conservation strategies are thus market prices of crops, developed and compared with each other, and mart p s of c . they are considered in the larger context of The analysis focuses on two sets of prices, how they affect food production needs. both of which are important in agricultural programs. First, the Official Water Resource MANAGEMENT ALTERNATIVES IN Council Prices, which were based on relatively THE LINEAR PROGRAMMING MODEL high commodity prices for 1972-1976, are being used for short-term water resource planThe basins resource base is divided into ning up to 1990 and farther into the future. eight Piedmont soil groups, with soils ranging Second, support prices form the basis of a from highly erosive to moderately erosive, and larger agricultural program which prevents 15 Coastal Plain soil groups that are generally prices from falling below these much lower less erosive but also more productive than levels. Piedmont soils, and used more intensively. We consider the consequences of basing conErosion control practices used in the model servation plans on Water Resource Council are based on those appropriate for the areas prices in the event that prices fall to support that have been built into 322 rotations and levels. One question addressed is whether conpractice combinations by the Soil Conservaservation plans based on the higher prices are tion Service in North Carolina. Average basinvery different from those that would be optiwide yield increases were projected for 1990, mal during years when prices are at support using Spillman regressions with past yields as levels. Another question is whether conservaindependent variables. Budgets were then tion programs could be deliberately designed combined into composite yearly costs and to complement the objectives of price support yields for crop rotations on appropriate soil programs by allowing farmers flexibility groups.2 Soil losses for LP model activities