A watershed based model, the Soil and Water Assessment Tool (SWAT), along with transfer coefficients is used to assess alternative principles of allocating nutrient load reduction in the Raccoon River watershed in central Iowa. Four principles are examined for their cost-effectiveness and...

The optimal pollution permit trading system is examined when the regulator, faced with incomplete information on firms' abatement costs and delivery coefficients, seeks to minimize expected total abatement costs to meet an ex ante pollution target. Intuitively, we find that the optimal trading...

The study proposes a methodology for developing a carbon sequestration baseline attributable to the current use of conservation tillage. An integral component of the methodology is the explicit acknowledgment that there is an uncertainty in the baseline because of the uncertainty associated with...

The study evaluates the gains of avoiding data-dependent specification search on an estimation sample in an application to discrete choice models. We incorporate data splitting, the process by which the total available sample is randomly split in two or more sub-samples with the first...