Soil exhaustion is rational under certain agricultural economic models
Economic models of agriculture often demonstrate that under certain market conditions, short-term profit maximization can make soil degradation or exhaustion a rational choice for producers.
The claim posits that soil exhaustion can be a rational outcome under specific agricultural economic models. Papers [2] and [4] both utilize dynamic economic and computable general equilibrium models to show how profit-maximizing agents intentionally choose input levels and cropping strategies that result in soil degradation or erosion when balancing short-term and long-term returns. The evidence clearly supports the claim.
Renan U. Goetz. Diversification in Agricultural Production: A Dynamic Model of Optimal Cropping to Manage Soil Erosion. 1997. https://doi.org/10.2307/1244134
Demonstrates through a dynamic economic model how profit-maximizing input choices and crop selection can lead to soil erosion control tradeoffs, explaining the rational management of soil depletion.
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Henrik Wiig, Jens B. Aune, Solveig Glomsrød, Vegard Iversen. Structural adjustment and soil degradation in Tanzania A CGE model approach with endogenous soil productivity. 2001. https://doi.org/10.1111/j.1574-0862.2001.tb00029.x
Incorporates a soil nitrogen and erosion model into a macroeconomic framework to show how profit-maximizing farmers rationally choose input levels that influence soil productivity.
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