Economic instruments, such as levies are considered by the Dutch government for reducing the harmful effects of the production and application of manure. To analyse these levies a framework which makes it possible to combine and to choose among different types of research is developed. The...

An output distance function is estimated using a panel of Dutch dairy farms. Nitrogen surplus is treated as a bad output. In contrast to assumptions made in the literature the good and the bad output turn out to be negatively related. Using this result, we define and calculate sustainable...