IDEAS home Printed from https://ideas.repec.org/a/eee/ecolec/v89y2013icp153-161.html
   My bibliography  Save this article

The short-run and long-run effects of corruption control and political stability on forest cover

Author

Listed:
  • Galinato, Gregmar I.
  • Galinato, Suzette P.

Abstract

This article examines how governance, particularly corruption control and political stability, affects deforestation due to agricultural land expansion. We estimate the short-run and long-run effects of corruption control and political stability on deforestation in South American and Asian countries using data from 1990 to 2003 where converting forest land into agricultural land is a significant problem. Political stability has a positive and significant effect on forest cover in the short run but an insignificant effect in the long run. In contrast, corruption control has a negative and significant effect on forest cover in the short run and the long run with a larger magnitude in the former. One possible explanation is that corruption control induces more technological productivity and, if technology and land use are complements, increases in technological development lead to agricultural land expansion.

Suggested Citation

  • Galinato, Gregmar I. & Galinato, Suzette P., 2013. "The short-run and long-run effects of corruption control and political stability on forest cover," Ecological Economics, Elsevier, vol. 89(C), pages 153-161.
    • Handle: RePEc:eee:ecolec:v:89:y:2013:i:c:p:153-161
    DOI: 10.1016/j.ecolecon.2013.02.014
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S092180091300075X
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ecolecon.2013.02.014?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Anya M. McGuirk & Yair Mundlak, 1992. "The Transition of Punjab Agriculture: A Choice of Technique Approach," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 74(1), pages 132-143.
    2. J. C. Burgess, 1998. "The economics of tropical forest land use options," Chapters, in: The Economics of Environment and Development, chapter 11, pages 223-253, Edward Elgar Publishing.
    3. Anríquez, Gustavo, 2007. "Governance and rural public expenditures in Latin America: The impact on rural development," ESA Working Papers 289049, Food and Agriculture Organization of the United Nations, Agricultural Development Economics Division (ESA).
    4. Arcand, Jean-Louis & Guillaumont, Patrick & Jeanneney, Sylviane Guillaumont, 2008. "Deforestation and the real exchange rate," Journal of Development Economics, Elsevier, vol. 86(2), pages 242-262, June.
    5. Miet Maertens & Manfred Zeller & Regina Birner, 2006. "Sustainable agricultural intensification in forest frontier areas," Agricultural Economics, International Association of Agricultural Economists, vol. 34(2), pages 197-206, March.
    6. Stephen Knack & Philip Keefer, 1995. "Institutions And Economic Performance: Cross‐Country Tests Using Alternative Institutional Measures," Economics and Politics, Wiley Blackwell, vol. 7(3), pages 207-227, November.
    7. Cole, Matthew A., 2007. "Corruption, income and the environment: An empirical analysis," Ecological Economics, Elsevier, vol. 62(3-4), pages 637-647, May.
    8. Kenneth M. Chomitz & Timothy S. Thomas, 2003. "Determinants of Land Use in Amazônia: A Fine-Scale Spatial Analysis," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(4), pages 1016-1028.
    9. Robert T. Deacon, 1999. "Deforestation and Ownership: Evidence from Historical Accounts and Contemporary Data," Land Economics, University of Wisconsin Press, vol. 75(3), pages 341-359.
    10. Kenneth Chomitz, 2007. "At Loggerheads? Agricultural Expansion, Poverty Reduction, and Environment in the Tropical Forests," World Bank Publications - Books, The World Bank Group, number 7190, December.
    11. Susana Ferreira & Jeffrey Vincent, 2010. "Governance and Timber Harvests," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 47(2), pages 241-260, October.
    12. Zwane, Alix Peterson, 2007. "Does poverty constrain deforestation? Econometric evidence from Peru," Journal of Development Economics, Elsevier, vol. 84(1), pages 330-349, September.
    13. E. B. Barbier & J. C. Burgess, 2001. "The Economics of Tropical Deforestation," Journal of Economic Surveys, Wiley Blackwell, vol. 15(3), pages 413-433, July.
    14. Bulte Erwin & Damania Richard, 2008. "Resources for Sale: Corruption, Democracy and the Natural Resource Curse," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 8(1), pages 1-30, February.
    15. Knack, Stephen & Keefer, Philip, 1995. "Institutions and Economic Performance: Cross-Country Tests Using Alternative Institutional Indicators," MPRA Paper 23118, University Library of Munich, Germany.
    16. Bruce L. Gardner, 2005. "Causes of rural economic development," Agricultural Economics, International Association of Agricultural Economists, vol. 32(s1), pages 21-41, January.
    17. Damania, Richard & Fredriksson, Per G. & List, John A., 2003. "Trade liberalization, corruption, and environmental policy formation: theory and evidence," Journal of Environmental Economics and Management, Elsevier, vol. 46(3), pages 490-512, November.
    18. Araujo, Claudio & Bonjean, Catherine Araujo & Combes, Jean-Louis & Combes Motel, Pascale & Reis, Eustaquio J., 2009. "Property rights and deforestation in the Brazilian Amazon," Ecological Economics, Elsevier, vol. 68(8-9), pages 2461-2468, June.
    19. Gregorio Gimenez & Jaime Sanau, 2007. "Interrelationship among institutional infrastructure, technological innovation and growth. An empirical evidence," Applied Economics, Taylor & Francis Journals, vol. 39(10), pages 1267-1282.
    20. Deacon, Robert & Mueller, Bernardo, 2004. "Political Economy and Natural Resource Use," University of California at Santa Barbara, Economics Working Paper Series qt68g1n1v8, Department of Economics, UC Santa Barbara.
    21. Leitão, Alexandra, 2010. "Corruption and the environmental Kuznets Curve: Empirical evidence for sulfur," Ecological Economics, Elsevier, vol. 69(11), pages 2191-2201, September.
    22. Mon‐Chi Lio & Jin‐Li Hu, 2009. "Governance and Agricultural Production Efficiency: A Cross‐Country Aggregate Frontier Analysis," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(1), pages 40-61, February.
    23. Nguyen Van, Phu & Azomahou, Theophile, 2007. "Nonlinearities and heterogeneity in environmental quality: An empirical analysis of deforestation," Journal of Development Economics, Elsevier, vol. 84(1), pages 291-309, September.
    24. Pfaff, Alexander S. P., 1999. "What Drives Deforestation in the Brazilian Amazon?: Evidence from Satellite and Socioeconomic Data," Journal of Environmental Economics and Management, Elsevier, vol. 37(1), pages 26-43, January.
    25. Angelsen, Arild, 1999. "Agricultural expansion and deforestation: modelling the impact of population, market forces and property rights," Journal of Development Economics, Elsevier, vol. 58(1), pages 185-218, February.
    26. Scrieciu, S. Serban, 2007. "Can economic causes of tropical deforestation be identified at a global level?," Ecological Economics, Elsevier, vol. 62(3-4), pages 603-612, May.
    27. Cattaneo, Andrea, 2002. "Balancing agricultural development and deforestation in the Brazilian Amazon:," Research reports 129, International Food Policy Research Institute (IFPRI).
    28. Lopez, Ramon, 1997. "Environmental externalities in traditional agriculture and the impact of trade liberalization: the case of Ghana," Journal of Development Economics, Elsevier, vol. 53(1), pages 17-39, June.
    29. Jaejoon Woo, 2009. "Productivity Growth And Technological Diffusion Through Foreign Direct Investment," Economic Inquiry, Western Economic Association International, vol. 47(2), pages 226-248, April.
    30. Marc J. Melitz, 2003. "The Impact of Trade on Intra-Industry Reallocations and Aggregate Industry Productivity," Econometrica, Econometric Society, vol. 71(6), pages 1695-1725, November.
    31. Barbier, E B & Burgess, J C, 2001. "The Economics of Tropical Deforestation," Journal of Economic Surveys, Wiley Blackwell, vol. 15(3), pages 413-433, July.
    32. Angelsen, Arild & Kaimowitz, David, 1999. "Rethinking the Causes of Deforestation: Lessons from Economic Models," The World Bank Research Observer, World Bank, vol. 14(1), pages 73-98, February.
    33. Antle, John M & Heidebrink, Gregg, 1995. "Environment and Development: Theory and International Evidence," Economic Development and Cultural Change, University of Chicago Press, vol. 43(3), pages 603-625, April.
    34. Bridgman, Benjamin R. & Livshits, Igor D. & MacGee, James C., 2007. "Vested interests and technology adoption," Journal of Monetary Economics, Elsevier, vol. 54(3), pages 649-666, April.
    35. Cline-Cole, R. A. & Main, H. A. C. & Nichol, J. E., 1990. "On fuelwood consumption, population dynamics and deforestation in Africa," World Development, Elsevier, vol. 18(4), pages 513-527, April.
    36. Camille Antinori & Gordon Rausser, 2007. "Collective choice and community forestry management in Mexico: An empirical analysis," Journal of Development Studies, Taylor & Francis Journals, vol. 43(3), pages 512-536.
    37. Bulte, Erwin H. & Damania, Richard & Lopez, Ramon, 2007. "On the gains of committing to inefficiency: Corruption, deforestation and low land productivity in Latin America," Journal of Environmental Economics and Management, Elsevier, vol. 54(3), pages 277-295, November.
    38. Edward B. Barbier, 2004. "Explaining Agricultural Land Expansion and Deforestation in Developing Countries," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 86(5), pages 1347-1353.
    39. Shafik, Nemat, 1994. "Economic Development and Environmental Quality: An Econometric Analysis," Oxford Economic Papers, Oxford University Press, vol. 46(0), pages 757-773, Supplemen.
    40. Cropper, Maureen & Griffiths, Charles, 1994. "The Interaction of Population Growth and Environmental Quality," American Economic Review, American Economic Association, vol. 84(2), pages 250-254, May.
    41. Paolo Mauro, 1995. "Corruption and Growth," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 110(3), pages 681-712.
    42. Koop, Gary & Tole, Lise, 1999. "Is there an environmental Kuznets curve for deforestation?," Journal of Development Economics, Elsevier, vol. 58(1), pages 231-244, February.
    43. Ramón López & Gregmar I. Galinato, 2005. "Trade Policies, Economic Growth, and the Direct Causes of Deforestation," Land Economics, University of Wisconsin Press, vol. 81(2).
    44. Maureen Cropper & Jyotsna Puri & Charles Griffiths, 2001. "Predicting the Location of Deforestation: The Role of Roads and Protected Areas in North Thailand," Land Economics, University of Wisconsin Press, vol. 77(2), pages 172-186.
    45. Lã“Pez, Ramã“N, 2000. "Trade reform and environmental externalities in general equilibrium: analysis for an archetype poor tropical country," Environment and Development Economics, Cambridge University Press, vol. 5(4), pages 377-404, October.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Barbier, Edward B. & Tesfaw, Anteneh, 2015. "Explaining forest transitions: The role of governance," Ecological Economics, Elsevier, vol. 119(C), pages 252-261.
    2. Gregmar Galinato & Suzette Galinato, 2013. "The Role of Government Spending on Deforestation and Carbon Dioxide Emissions from Land Use Change," Working Papers 2013-14, School of Economic Sciences, Washington State University.
    3. Afawubo, Komivi & Noglo, Yawo Agbényégan, 2019. "Remittances and deforestation in developing countries: Is institutional quality paramount?," Research in Economics, Elsevier, vol. 73(4), pages 304-320.
    4. Galinato, Gregmar I. & Galinato, Suzette P., 2016. "The effects of government spending on deforestation due to agricultural land expansion and CO2 related emissions," Ecological Economics, Elsevier, vol. 122(C), pages 43-53.
    5. Farhad Taghizadeh-Hesary & Ehsan Rasoulinezhad & Han Phoumin, 2022. "Ways to achieve universal access to sustainable electricity in Southeast Asia," Economic Change and Restructuring, Springer, vol. 55(4), pages 2031-2050, November.
    6. Wang, Xiaoxi & Biewald, Anne & Dietrich, Jan Philipp & Schmitz, Christoph & Lotze-Campen, Hermann & Humpenöder, Florian & Bodirsky, Benjamin Leon & Popp, Alexander, 2016. "Taking account of governance: Implications for land-use dynamics, food prices, and trade patterns," Ecological Economics, Elsevier, vol. 122(C), pages 12-24.
    7. Quan-Jing Wang & Yong Geng & Xi-Qiang Xia, 2021. "The Impact of Globalization on Forest Growth: Evidence from Multinational Panel Data," IJERPH, MDPI, vol. 18(24), pages 1-19, December.
    8. Qibthiyyah, Riatu M., 2013. "Province Government Spending and Forest Management in Indonesia," MPRA Paper 94127, University Library of Munich, Germany.
    9. Adeline-Cristina Cozma & Corina-Narcisa (Bodescu) Cotoc & Viorela Ligia Vaidean & Monica Violeta Achim, 2021. "Corruption, Shadow Economy and Deforestation: Friends or Strangers?," Risks, MDPI, vol. 9(9), pages 1-21, August.
    10. Sabrine Dhahri & Anis Omri, 2020. "Does foreign capital really matter for the host country agricultural production? Evidence from developing countries," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 156(1), pages 153-181, February.
    11. Wolfersberger, Julien & Delacote, Philippe & Garcia, Serge, 2015. "An empirical analysis of forest transition and land-use change in developing countries," Ecological Economics, Elsevier, vol. 119(C), pages 241-251.
    12. Gennaro Punzo & Rosalia Castellano & Emma Bruno, 2021. "The determinants of land use in Italy from a spatial perspective: a re-interpretation at the time of covid-19," RIEDS - Rivista Italiana di Economia, Demografia e Statistica - The Italian Journal of Economic, Demographic and Statistical Studies, SIEDS Societa' Italiana di Economia Demografia e Statistica, vol. 75(2), pages 72-82, April-Jun.
    13. Salahodjaev, Raufhon, 2016. "Intelligence and deforestation: International data," Forest Policy and Economics, Elsevier, vol. 63(C), pages 20-27.
    14. Punzo, Gennaro & Castellano, Rosalia & Bruno, Emma, 2022. "Using geographically weighted regressions to explore spatial heterogeneity of land use influencing factors in Campania (Southern Italy)," Land Use Policy, Elsevier, vol. 112(C).
    15. Xie, Xuemei & Liu, Xiaojie & Chen, Jialing, 2023. "A meta-analysis of the relationship between collaborative innovation and innovation performance: The role of formal and informal institutions," Technovation, Elsevier, vol. 124(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Gregmar Galinato & Suzette Galinato, 2010. "The Effects of Corruption Control and Political Stability on the Environmental Kuznets Curve of Deforestation-Induced Carbon Dioxide Emissions," Working Papers 2010-9, School of Economic Sciences, Washington State University.
    2. Afawubo, Komivi & Noglo, Yawo Agbényégan, 2019. "Remittances and deforestation in developing countries: Is institutional quality paramount?," Research in Economics, Elsevier, vol. 73(4), pages 304-320.
    3. Galinato, Gregmar I. & Galinato, Suzette P., 2016. "The effects of government spending on deforestation due to agricultural land expansion and CO2 related emissions," Ecological Economics, Elsevier, vol. 122(C), pages 43-53.
    4. Ajanaku, B.A. & Collins, A.R., 2021. "Economic growth and deforestation in African countries: Is the environmental Kuznets curve hypothesis applicable?," Forest Policy and Economics, Elsevier, vol. 129(C).
    5. Marchand, Sébastien, 2016. "The colonial origins of deforestation: an institutional analysis," Environment and Development Economics, Cambridge University Press, vol. 21(3), pages 318-349, June.
    6. Damette, Olivier & Delacote, Philippe, 2012. "On the economic factors of deforestation: What can we learn from quantile analysis?," Economic Modelling, Elsevier, vol. 29(6), pages 2427-2434.
    7. Culas, Richard J., 2012. "REDD and forest transition: Tunneling through the environmental Kuznets curve," Ecological Economics, Elsevier, vol. 79(C), pages 44-51.
    8. Caravaggio, Nicola, 2020. "Economic growth and the forest development path: A theoretical re-assessment of the environmental Kuznets curve for deforestation," Forest Policy and Economics, Elsevier, vol. 118(C).
    9. Yi-Bin Chiu, 2012. "Deforestation and the Environmental Kuznets Curve in Developing Countries: A Panel Smooth Transition Regression Approach," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 60(2), pages 177-194, June.
    10. Novice Patrick Bakehe, 2020. "L'accès à l’électricité: une solution pour réduire la déforestation en Afrique?," African Development Review, African Development Bank, vol. 32(3), pages 338-348, September.
    11. Sébastien MARCHAND, 2010. "Technical Ef?ciency, Farm Size and Tropical Deforestation in the Brazilian Amazonian Forest," Working Papers 201012, CERDI.
    12. Sébastien Marchand, 2011. "Technical Efficiency, Farm Size and Tropical Deforestation in the Brazilian Amazonian Forest," CERDI Working papers halshs-00552981, HAL.
    13. Gregmar Galinato & Suzette Galinato, 2013. "The Role of Government Spending on Deforestation and Carbon Dioxide Emissions from Land Use Change," Working Papers 2013-14, School of Economic Sciences, Washington State University.
    14. Laetitia Duval & François-Charles Wolff, 2009. "L'effet des transferts migratoires sur la déforestation dans les pays en développement," Working Papers hal-00421222, HAL.
    15. Barbier,Edward B., 2007. "Natural Resources and Economic Development," Cambridge Books, Cambridge University Press, number 9780521706513.
    16. Ajanaku, Bolarinwa & Collins, Alan R., 2020. "Economic growth and deforestation in developing countries: Is the Environmental Kuznets Curve Hypothesis Still Applicable? Evidence from a Panel of Selected African Countries," 2020 Annual Meeting, July 26-28, Kansas City, Missouri 304271, Agricultural and Applied Economics Association.
    17. Araujo, Claudio & Bonjean, Catherine Araujo & Combes, Jean-Louis & Combes Motel, Pascale & Reis, Eustaquio J., 2009. "Property rights and deforestation in the Brazilian Amazon," Ecological Economics, Elsevier, vol. 68(8-9), pages 2461-2468, June.
    18. Wolfersberger, Julien & Delacote, Philippe & Garcia, Serge, 2015. "An empirical analysis of forest transition and land-use change in developing countries," Ecological Economics, Elsevier, vol. 119(C), pages 241-251.
    19. Faria, Weslem & de Almeida, Alexandre, 2013. "Relationship between Openness to Trade and Deforestation: Empirical Evidence from the Brazilian Amazon," TD NEREUS 3-2013, Núcleo de Economia Regional e Urbana da Universidade de São Paulo (NEREUS).
    20. Pablo-Romero, María P. & Sánchez-Braza, Antonio & Gil-Pérez, Jesús, 2023. "Is deforestation needed for growth? Testing the EKC hypothesis for Latin America," Forest Policy and Economics, Elsevier, vol. 148(C).

    More about this item

    Keywords

    Deforestation; Governance; Corruption; Forest cover; Political stability;
    All these keywords.

    JEL classification:

    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:89:y:2013:i:c:p:153-161. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/ecolecon .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.