Cost-benefit analysis of the Dutch nature policy: Transaction costs and land market impacts |
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| Authors: | Roel Jongeneel Nico Polman Louis Slangen |
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| Institution: | 1. Wageningen University, Agricultural Economics and Rural Policy Group, Wageningen, The Netherlands;2. Agricultural Economics Research Institute, The Hague, The Netherlands;1. School of Animal, Rural and Environmental Sciences, Nottingham Trent University, Brackenhurst, Southwell, Nottingham NG 25 0QF, UK;2. Agriculture & Horticulture Development Board, Stoneleigh Park, Warwickshire, UK;3. Nottingham Trent University Directorate, 50 Shakespeare Street, Nottingham, Nottinghamshire, UK;1. College of Public Administration, Nanjing Agricultural University, Nanjing 210095, PR China;2. Department of Social Sciences, Wageningen University, 6700EW, Wageningen, The Netherlands |
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| Abstract: | This paper analyses the financial and economic costs and benefits of the large scale National Ecological Network (NEN) nature conservation project in the Netherlands, taking into account transaction costs and land market impacts of different institutional arrangements. The net financial costs associated with achieving the current plan are equivalent with an annual amount €876 per hectare. Of the costs, transaction costs amount about 16% or €140 per hectare. The substantive land purchases involved in the plan will lead to land price increase of 20%. Nature management by agriculture turns out to be a relatively cheap option. |
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