By Sven Wunder
This booklet provides an fiscal point of view to the research of deforestation. Following a survey of alternative deforestation definitions, theories and empirical facts, a case-study of Ecuador presents a flexible old photo of things affecting woodland loss all through diverse sessions, areas, and ecosystems.
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Additional resources for The Economics of Deforestation: The Example of Ecuador (St. Antony's)
Sample text
Over the last two decades, tropical forests have experienced a relatively rapid decline while other forest types have shown a slight increase. The latest FRA projections indicate a recent slow-down in the rapid tropical deforestation of the 1980s, but these are mainly based on lower population growth rates. In this sense, data on both forest stocks and changes over time are much more model-driven than is frequently believed. One should hence consult the applicable primary sources before making too substantial interpretations of the data for any one country.
A rise in poverty is a potential push factor in smallholders' deforestation, including labour expulsion to the agricultural frontier. Theory suggests that the poor may be forced to adopt higher temporal discount rates (more myopic resource attitudes) because of risk aversion, lacking access to capital and shorter production horizons, which run counter to conservation options (Lumley 1997). Within the subsistence-led rural economy, a fall in agricultural productivity (or in output prices) will cause peasants to increase production and deforestation, because they The Wealth of Theories 35 need to generate a fixed value to survive and have no alternative income sources to switch to.
Without denying the cyclical role of natural deforestation factors,17 it is clear that the cumulative rise in global deforestation over time is linked to the development of agriculture, technologies, trade and population growth (although the relative weight and interrelation of these explanatory factors may be debated; see below). In spite of a long-run Some Basic Concepts 21 accelerating deforestation trend, regional cycles have also been postulated in the literature with civilizations that rise, deforest and fall ± inter alia because of their over-exploitation and degradation of local natural resources.