Effects of Environmental Regulation and Urban Encroachment on California's Dairy Structure

Environmental regulatory compliance costs are often cited as a factor in dairy location decisions, but few studies estimate the impacts of regulation in this sector. This article uses California dairy regulations to examine the pollution haven hypothesis in agriculture. Dairy industry regulation has...

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Bibliographic Details
Main Author: Stacy E. Sneeringer
Format: Article
Language:English
Published: Western Agricultural Economics Association 2011-12-01
Series:Journal of Agricultural and Resource Economics
Subjects:
Online Access:https://ageconsearch.umn.edu/record/119182
Description
Summary:Environmental regulatory compliance costs are often cited as a factor in dairy location decisions, but few studies estimate the impacts of regulation in this sector. This article uses California dairy regulations to examine the pollution haven hypothesis in agriculture. Dairy industry regulation has varied regionally within the state, with the more strictly regulated Southern California region losing production and the more environmentally lenient Central Valley gaining production. Results show that even after controlling for population density and property values, regulation had significant negative effects on dairying in Southern California.
ISSN:1068-5502
2327-8285