Valuation of Environmental and Social Functions of the Multifunctional Cypriot Agriculture.

Authors:
Ragkos, A.
Theodoridis, Α.
Type: Journal Article
Journal title: Land Use Policy
Year of publication: 2016
Subject:
agricultural policies
rural development
farming systems
sustainable agriculture
Description:

The multifunctional farming sector in Cyprus poses threats on the island’s water resources, but highlycontributes to the protection of the cultural identity and to the provision of incomes and employmentin its rural areas. These services are externalities, as farmers are not remunerated in markets for theenvironmental and cultural services they provide, nor for the fact that they maintain vivid rural areas. This paper presents an application of the Choice Experiment method, in order to evaluate these non-traded outputs of Cypriot agriculture. The results of the empirical analysis demonstrate that the Cypriotpublic is in favor of a less intensive pattern of agriculture. Furthermore, Cypriots are willing to pay inorder to mitigate adverse environmental effects of agriculture, to improve cultural heritage and to safe-guard the continuation of farming trade on the island. The estimated benefits often exceed income lossesfrom changes in the cropping pattern towards extensification, which verifies that EU rural developmentpolicies are regarded as beneficial by the public.

 

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