This paper quantitatively analyses the cost-effectiveness of alternative green payment policies designed to achieve a targeted level of pollution control by heterogeneous micro units. These green payment policies include cost-share subsidies that share the fixed costs of adoption of a...

Various environmental policies have been proposed to control agricultural runoff of nutrients and pesticides. The impacts of these policies on input use are complicated because of the various sources of uncertainty farmers face and the precise nature of farmers' risk attitude. A risk-averse...