Tradable permits are generally considered as an efficient instrument to regulate pollution by individual producers. However, uncertainty about changes in or possible discontinuation of the program could make individual farmers reluctant to invest in tradable permits. This article uses the option...

Tradable permits are generally considered as an efficient instrument to regulate pollution by individual producers. However, uncertainty about changes in or possible discontinuation of the program could make individual farmers reluctant to invest in tradable permits. This article uses the option...

Governments generally use a mix of temporary hectare payments and provision of public services to stimulate the organic crop sector. In this paper, a conceptual model is developed for determining a socially optimal hectare payment for any given level of public services. Farm heterogeneity, due...