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Carrot and Stick

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Carrot and Stick
http://ontariograinfarmer.ca/MAGAZINE.aspx?aid=258
Application in the Real World
The carrot and the stick: US conservation programs The real issue driving US conservation programs was a two-part effort to get payments to farmers and to remove land from production as a way of limiting output and boosting crop prices. In a similar way, Americans today seem more willing to pay for farm programs if, in return, farmers help preserve the environment. As a result, environmental groups have been gradually playing a larger role both in crafting US farm conservation programs and in passing the final farm bills. Think of it as a “carrot and stick” approach. The major “carrots” include the Conservation Reserve Program (CRP), the Environmental Quality Incentives Program (EQIP), and the Conservation Stewardship Program (CSP).
The “Carrots” Established in 1985, the Conservation Reserve Program (CRP) is best known for paying farmers who convert highly erodible cropland from production to grasses, wildlife plantings, trees, filter strips or riparian buffers. To participate, producers must file a bid, which USDA will evaluate based on both the cost of the proposed contract and the environmental benefits it would offer. Winners are paid an annual rent for a 10 to 15 year contract. EQIP, the Environmental Quality Incentives Program, was established in 1996 to provide technical and financial help (up to 75 percent of estimated costs) for producers who want to install or implement conservation practices on working lands. It is open to farmers and livestock producers and targets environmental quality and agricultural production. EQIP’s five priorities include water pollution (such as reducing groundwater contamination from farm runoff), conserving water resources, reducing air emissions, reducing soil erosion and promoting habitat for at-risk species. The Conservation Stewardship Program (CSP) was created in the 2008 farm bill to replace the earlier Conservation

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