The Use of Organic vs. Chemical Fertilizer with a Mineral Losses Tax: The Case of Dutch Arable Farmers |
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Authors: | Email author" target="_blank">Eli?FeinermanEmail author Marinus?H?C?Komen |
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Institution: | (1) Department of Agricultural Economics and Management, The Hebrew University, 12, 76100 Rehovot, Israel;(2) Agricultural Economics and Rural Policy Group, Wageningen University, Wageningen, The Netherlands |
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Abstract: | The paper focuses on farm-level nitrogen fertilization strategies of Dutch arable farmers for analyzing the substitution of
organic fertilizers (manure) with chemical fertilizers. The model developed investigates the impact of the major parameters
affecting the inferiority of manure compared with chemical fertilizers, including the low availability and non-uniformity
of the nitrogen in manure, and the low level and high non-uniformity of plant-available nitrogen supplied via manure. The
sensitivity of the optimal fertilization decisions and its associated environmental impact to product price, manure cost,
and environmental tax is also examined. The theoretical analysis is applied to a representative Dutch grower of ware potatoes
in the northern part of the Netherlands. The results suggest that in the absence of a subsidy the representative farmer will
prefer to apply nitrogen only via chemical fertilizers. |
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Keywords: | Dutch growers environmental tax fertilization strategies manure inferiority non-used nitrogen ware potatoes |
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