Stochastic Dynamic Optimisation: An Analysis of Surface Grading of Peat Soils in Northern Norway

Author(s)
Lien, Gudbrand
Hegrenes, Agnar
Hardaker, John Brian
Publication Date
2003
Abstract
Farmers in northern Norway have experienced severe winter damage on grassland rather frequently, especially on flat areas and peat soils in regions with an unstable winter climate around zero degrees Celsius. Traditional drainage with drainpipes is normally not sufficient to prevent such damage in these areas. During the past two decades the use of open ditches and surface grading has become the main method of reclaiming and draining peat land. A new heuristic stochastic dynamic analysis method for problems like this, combining simulation and optimisation, is used to explore the profitability of surface grading of peat soils. This analysis indicates that the year in which a ley should be reseeded depends on stage in the growth curve when eventually the winter damage happens as well as on the severity of the damage. Given the present acreage subsidy payment, surface grading is normally profitable from a farmer's point of view.
Citation
Farm Management: Proceedings of NJF Seminar No. 345, p. 137-154
Link
Publisher
Norwegian Agricultural Economics Research Institute
Series
NILF Report
Title
Stochastic Dynamic Optimisation: An Analysis of Surface Grading of Peat Soils in Northern Norway
Type of document
Conference Publication
Entity Type
Publication

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