摘要：Sustainable agriculture is prescribed as a policy approach that maximizeseconomic bene.ts while maintaining environmental quality. It is argued that thisapproach is human capital-intensive and encourages new scienti.c developments.To attain sustainability, economic incentives for the development and adoption ofprecision technologies (with minimal residues that cause environmental damage)have to be developed. Taxation and tradeable permits are desirable policies toattain .rst-best solutions; however, when heterogeneity and lack-of-informationproblems are signi.cant, alternative institutions have to be developed. The paperpresents and discusses such institutions.
