Published online by Cambridge University Press: 11 August 2009
Introduction
The intention of this chapter is to introduce a new unified approach to economic and ecological modelling of field sizes, farming intensities, landscape patterns and nature elements. The approach aims to enable governments to specify objective functions for biodiversity and landscape management. These functions will include ecologically retrievable criteria for payments, shall help to determine payments and must fit into farmers' concerns of capturing economies of scale to maintain competitiveness. In the chapter we first outline why this is a problem and review, to a certain extent, what has been accomplished with respect to integrated modelling so far. We then show, as an innovation, how a geometrical presentation of land use may help in improving the specification of interfaces between economic and ecological modelling compartments. Then we turn to elaborate on a nature production function linked to landscape elements and demonstrate how farmers can be paid for these elements. Using this analysis, it can be shown how farm modelling can be redirected to landscape design. Finally we outline how the previous deliberations can be used to achieve a principal-agent specification of objective functions for farmers seeking to maximise income from land and a government that wants to optimise the level of biodiversity in agricultural landscapes. A special reference is made to farm size and the question of how diversity in land use and landscapes is linked to the number of farmers and field sizes.
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