Options for Improving Conservation Programs: Insights from Auction Theory and Economic Experiments
Amber Waves, February 2015
53 Pages Posted: 15 Mar 2016
Date Written: February 23, 2015
USDA spends over $5 billion per year on conservation activities, mostly through voluntary programs that pay farmers and landowners to provide environmental services. USDA can reduce expenditures and encourage landowners to provide greater environmental services by making use of available data. Laboratory experiments suggest that using more sophisticated enrollment mechanisms could reduce the cost of enrollment in a given program by as much as 18 percent.
Keywords: auctions, experiments, enrollment mechanism, conservation reserve program
JEL Classification: D44, C92, Q28
Suggested Citation: Suggested Citation