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EVALUATING THE POTENTIAL CONTRIBUTION OF CONTRACT AUCTIONS TO AEP'S EFFICIENCY AgEcon
Gallerani, Vittorio; Raggi, Meri; Viaggi, Davide.
Agri-Environmetal Policy (AEP) application raised a wide debate about the determination of payment levels and the efficiency of the economic instruments used. In particular, some aspects support the hypothesis of relevant rents due to an overcompensation of farmers� compliance costs. A policy tool suitable for improving the efficiency of AEP can be the adoption of auctions mechanisms in contract allocation. In theory, in an auction mechanism, the farmers have incentives to reveal their compliance costs, helping to reduce the information rents and increase cost-effectiveness. A crucial problem therefore arises from the uneven distribution of information between landowners and the public administration. Auctions mechanism can be useful in reducing...
Tipo: Conference Paper or Presentation Palavras-chave: Auction; Agri-Environmental Policy; Information asymmetries.; Agricultural Finance; Environmental Economics and Policy.
Ano: 2008 URL: http://purl.umn.edu/6660
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