AGE 85925345; Paper presented at the "Annual Meeting at the American Agricultural Economics Association," 1984 August 5 - 8; Ithaca, NY, This paper analyzes the use of an exhaustible resource by an agricultural industry, taking into account agricultural policy considerations and some of the unique conventional wisdom features of the agricultural sector. The model is especially appropriate for analyzing the utilization of water resources. The model assumes the agricultural industry to be competitive, to have a wide distribution of farm sizes, to go through a process of adoption of a continuously improving technology, and to face inelastic demand. The new technology considered is a land quality-improving technology which is similar in its properties to modern irrigation technologies (drip, sprinkler, and center pivot irrigation). In particular, it considers a price-support policy and its impacts.
Bergstrom, John C. (author), Randall, Alan (author), Stoll, John R. (author), and Bergstrom: Department of Agricultural Economics, University of Georgia; Stoll: Department of Agricultural Economics, Texas A&M University; Randall: Department of Agricultural Economics and Rural Sociology, The Ohio State University
Format:
Journal article
Publication Date:
1990-08
Published:
USA: Ames, IA : American Agricultural Economics Association.
Location:
Agricultural Communications Documentation Center, Funk Library, University of Illinois Box: 92 Document Number: C06814
AGRICOLA IND 90050733, A conceptual model is developed which provides insight into how information affects willingness to pay for environmental commodities. A refutable hypothesis of the effects of a specific information type on the magnitude of willingness to pay for an environmental commodity is developed. This hypothesis is tested using a contingent valuation method experiment. Results indicate that information affects willingness to pay in a theoretically plausible manner. The results support the contention that information is important for accurate environmental commodity consumer valuations.
