This paper examines the discussion on, and efforts toward, improving cost-effectiveness of agri-environmental payments in the U. S. and Europe, In the U. S. applicants for conservation programs are selected by a ranking system scoring their potential environmental effects. In addition, an auction is employed in the Conservation Reserve Program. In Europe, results-based payments, in which farmers are rewarded according to the outcome, have been implemented instead of applicant screening. The emerging topic of PES (payments for ecosystem services) includes agri-environmental payments. PES is regarded as an economic instrument, which implies that the cost-effectiveness is an important issue. Consequences of seeking cost-effectiveness are elaborated.