Accounting for the relationship of agricultural land to economic and ecological welfare: Conceptual framework and case study in the Grand River Basin of Ontario, Canada

This thesis develops and implements an environmental accounting framework for agricultural land which takes fuller account of its relationship to economic and ecological welfare. An aspect of this framework is applied to Ontario's Grand River basin for 1981, 1991 and 1996. The application assesses stocks of soil on cropland, flows of soil into water, and resulting economic impacts on water users. The findings suggest soil losses into water do not threaten soil productivity, but imposed economic costs of some ;This study suggests environmental accounting offers a broader appreciation of how agricultural lands can affect welfare. Limitations of environmental accounting include the sensitivity of the economic results to the valuation methods used. Additional research would be required to develop accounts for other resources and materials, improve monetary valuation of results, and estimate the costs of using agricultural land in ways that reduce externalities.