Title

The Allocation of Nutrient Load Reduction across a Watershed: Assessing Delivery Coefficients as an Implementation Tool

Campus Units

Economics, Center for Agricultural and Rural Development

Document Type

Article

Publication Version

Submitted Manuscript

Publication Date

3-2009

Journal or Book Title

Applied Economic Perspectives and Policy

Volume

31

Issue

1

First Page or Article ID Number

183

Last Page

204

DOI

10.1111/j.1467-9353.2008.01432.x

Abstract

Delivery coefficients have long been used in economic analysis of policies that seek to address environmental problems like water pollution (Montgomery, 1972). However, the derivation and validity of delivery coefficients have not been examined carefully by empirical analyses. In this study, we derived estimates of delivery coefficients and then evaluated them as a bridge between complex biophysical models and economic policies. Specifically, delivery coefficients were first derived for the effects of nitrogen application reduction based on the simulation results of a watershed based model, the Soil and Water Assessment Tool (SWAT). Nutrient load reduction responsibilities were then allocated to subwatersheds based on the delivery coefficients using four different allocation principles. We found that the allocations based on delivery coefficients achieved results that differed from the water quality goals by only a few percentage points in general. Moreover, our results indicated that potential cost savings, measured in percentages, outweighed the deviation from water quality goals.

Comments

This is a working paper of an article published as Feng, Hongli, Manoj Jha, and Phil Gassman. "The Allocation of Nutrient Load Reduction across a Watershed: Assessing Delivery Coefficients as an Implementation Tool." Applied Economic Perspectives and Policy 31, no. 1 (2009): 183-204. doi:10.1111/j.1467-9353.2008.01432.x. Posted with permission.

Copyright Owner

Agricultural and Applied Economics Association

Language

en

File Format

application/pdf

Published Version

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