Multiple Environmental Externalities and Manure Management Policy
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This paper considers the economic and environmental implications of regulating water and air nitrogen emissions under single and multi-environmental media policies in the U.S. hog industry. We examine tradeoffs from policies designed to correct an externality in one medium, when there are multiple environmental externalities. We separately and jointly analyze: (a) nitrogen land application restrictions consistent with recently adopted EPA requirements under the Clean Water Act, and (b) hypothetical air quality restrictions under the Clean Air Act, both with and without EQIP payments available to mitigate the costs of complying with nutrient application regulations.