Revista de Economia e Sociologia Rural
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Revista de Economia e Sociologia Rural
Original article

COSTS OF SOIL EROSION FROM AN AREA OF HIGH AGRICULTURAL PRODUCTION 

João Fernando Marques

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Abstract

The impacts of soil erosion can be grouped into two major categories, off-site and on-site. The present study will focus on erosion damages at both areas of impact. The estimated economic cost of the off-site ( external) costs of erosion will be based on the effect of water born sediment on hydroelectric plants. This effect can be lost reservoir capacity, increased use of maintenance labor, and reduced electrical energy production. The on-site (internal) costs of erosion will be determined by soil nutrient replacement costs. The monetary values of the on-site and off-site damages were calculated using lost revenue, replacement costs, and decreased system productivity. The empirical work was based on sediment levels in the Sapucai River located in the Brazilian state of Sao Paulo's north. The estimated annual offsite costs, discounted at 3% per year, was US$ 9,854,490.00, larger than the US$ 5,377,913.00 for annual on-site costs. 

Keywords

Environmental Impacts, replacement cost, environmental Economics. 

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