An analysis of the financing of soil conservation subsidies on high country properties

Abstract

Subsidies are made available to New Zealand farmers who undertake soil conservation programmes. This thesis is concerned with alternative financing proposals for subsidies given to farmers undertaking soil conservation programmes on high country sheep farms. The results establish that the present method of financing is not satisfactory for all situations. Modifications are suggested and tested. More flexible subsidy financing policies are shown to be desirable because of the difference between properties and the high degree of uncertainty in the high country environment. The recommended changes would make soil conservation investment possible on some properties where it could not otherwise be considered, and more profitable for society and the individual in many other cases. The initial part of the thesis is concerned with the theoretical aspects of conservation. This is followed by a brief outline of soil conservation in New Zealand, a description of the case study property and the conservation programme. The effects of the alternative proposals, the resultant changes in the conservation programme and their evaluation are discussed in the succeeding section. The thesis is completed by testing the results in an attitude survey.