ECONOMIC-IMPACTS OF EROSION MANAGEMENT MEASURES IN COASTAL DRAINAGE BASINS

A U.S. agricultural sector model is used to estimate the economic impa cts of proposed environmental regulation on agricultural practices und er the Coastal Zone Management Act. The proposed regulation would requ ire enhanced erosion management on cropland in counties that substanti ally drain into the coastal drainage basins. On a national level, the analysis shows a decrease of $42 million in net returns to cropland in the Coastal Zone Drainage Basin as a result of the proposed policy. O n a per hectare basis, the loss ranges from $37.60 for the most erodib le land to $1.10 or less on lands with either low erosion potential or having crop production limited by wetness. This loss results from a n et decrease in land farmed, substitution of lower profit crops, and us e of higher cost erosion control methods. The impact does not fall pro portionately on all farmers; the operators of the most erodible land b ear most of the adjustment. At the same time, coastal zone soil erosio n is lowered by 28% on average and the erosion rate on the most erodib le land is reduced by over 80%.