Excerpt from Estimates of the Welfare Income Effects of Flood Prevention for Commercial and Industrial Property<br/><br/>The Small Watershed Program of the Soil Conservation Service (scs) is a multiprojcct water resource development program. Scs early recognized the importance of continuing studies of the economic aspects of the program and has provided support to the Economic Research Service (ers) to make studies since the very beginning of the program. This report presents results of one of these studies. It is the third phase of a three-part study of the welfare income effects of small watershed development. Phase I developed a procedure to estimate the income benefits of flood protection to residential property owners. It was described in an ers staff report entitled, The Contribution of p.l. 566 Watershed Investments to Community Income, July 1971. Multi pliers, based on the marginal utility of income were developed to convert monetary benefits to social welfare equivalent benefits. Phase II focused on agricultural benefits from increased values of cr0p production and damage re duction to agricultural structures. This was covered in an scs administrativ report, A Methodology for Estimating the Income Distribution Impacts of PL Â 566, dated June 1972.
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