Campus Units

Economics

Document Type

Article

Publication Version

Submitted Manuscript

Publication Date

2014

Journal or Book Title

Land Economics

Volume

90

Issue

1

First Page or Article ID Number

1

Last Page

25

DOI

10.3368/le.90.1.1

Abstract

We explore how a landowner’s bid to enroll in the Conservation Reserve Program (CRP) is influenced by his parcel’s designation as a Conservation Priority Area (CPA). A theoretical model of a landowner’s optimal bid is presented, and we demonstrate the ambiguity in a landowner’s optimal bid response to CPA designations. The bid choice is analyzed using a data set of accepted and unaccepted offers during three CRP sign-up periods. We focus empirically on a subset of offers from the Prairie Pothole CPA to identify whether bid responses to exogenous location factors differ across landowners with varying opportunity costs to enrollment. (JEL Q15, Q18)

Comments

This is a manuscript of an article from Land Economics 90 (2014): 1, doi:10.3368/le.90.1.1. Posted with permission.

Copyright Owner

Board of Regents of the University of Wisconsin System

Language

en

File Format

application/pdf

Published Version

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