IDEAS home Printed from https://ideas.repec.org/a/eee/foreco/v33y2018icp33-40.html
   My bibliography  Save this article

Economic impacts of conservation area strategies in Alberta, Canada: A CGE model analysis

Author

Listed:
  • Withey, P.
  • Lantz, V.A.
  • Ochuodho, T.
  • Patriquin, M.N.
  • Wilson, J.
  • Kennedy, M.

Abstract

Establishing conservation areas to protect biodiversity often results in economic trade-offs from reduced market opportunities for natural resource extraction. The purpose of this study was to quantify the economic impacts of two proposed conservation area scenarios in the Lower Peace Region of Alberta to determine the potential magnitude of the economic trade-offs. The first scenario, known as the Lower Athabasca Regional Plan (LARP), was proposed by the Government of Alberta under the Alberta Land-use Framework. The second scenario, referred to as the alternative scenario, was developed by the authors using a spatial land-use rationalization process. Economic impacts of each conservation area scenario were estimated using a dynamic, computable general equilibrium model for the province of Alberta. Results indicated that the two scenarios will have very similar impacts and may reduce the present value of GDP by as much as $4.44 billion in Alberta from 2011–2056. These findings highlight the importance of considering the economic impacts of conservation area strategies in order to minimize the trade-offs associated with achieving conservation goals.

Suggested Citation

  • Withey, P. & Lantz, V.A. & Ochuodho, T. & Patriquin, M.N. & Wilson, J. & Kennedy, M., 2018. "Economic impacts of conservation area strategies in Alberta, Canada: A CGE model analysis," Journal of Forest Economics, Elsevier, vol. 33(C), pages 33-40.
    • Handle: RePEc:eee:foreco:v:33:y:2018:i:c:p:33-40
    DOI: 10.1016/j.jfe.2018.10.004
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S1104689918301302
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.jfe.2018.10.004?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. Marco Missaglia & Paul de Boer, 2004. "Food-For-Work versus Cash-For-Work: Emergency Assistance in Palestine," Economic Systems Research, Taylor & Francis Journals, vol. 16(4), pages 367-390.
    2. Das, Gouranga G. & Alavalapati, Janaki R. R. & Carter, Douglas R. & Tsigas, Marinos E., 2005. "Regional impacts of environmental regulations and technical change in the US forestry sector: a multiregional CGE analysis," Forest Policy and Economics, Elsevier, vol. 7(1), pages 25-38, January.
    3. R. Thiele, 1995. "Conserving Tropical Rain Forests In Indonesia: A Quantitative Assessment Of Alternative Policies," Journal of Agricultural Economics, Wiley Blackwell, vol. 46(2), pages 187-200, May.
    4. Rainer Thiele & Manfred Wiebelt, 1993. "National and international policies for tropical rain forest conservation—A quantitative analysis for Cameroon," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 3(6), pages 501-531, December.
    5. Boyd, Roy & Konyar, Kazim & Uri, Noel D., 1992. "Measuring aggregate impacts: The case of the conservation reserve program," Agricultural Systems, Elsevier, vol. 38(1), pages 35-60.
    6. Alfsen, Knut H. & De Franco, Mario A. & Glomsrod, Solveig & Johnsen, Torgeir, 1996. "The cost of soil erosion in Nicaragua," Ecological Economics, Elsevier, vol. 16(2), pages 129-145, February.
    7. Zhang, Jian & Alavalapati, Janaki R.R. & Shrestha, Ram K. & Hodges, Alan W., 2005. "Economic impacts of closing national forests for commercial timber production in Florida and Liberty County," Journal of Forest Economics, Elsevier, vol. 10(4), pages 207-223, February.
    8. Pahan Prasada & Maury E. Bredahl & Randall Wigle, 2010. "Market Impacts of Technological Change in Canadian Agriculture," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 58(2), pages 235-247, June.
    9. Banerjee, Onil & Alavalapati, Janaki, 2009. "A computable general equilibrium analysis of forest concessions in Brazil," Forest Policy and Economics, Elsevier, vol. 11(4), pages 244-252, July.
    10. Lewandrowski, J. & Darwin, R. F. & Tsigas, M. & Raneses, A., 1999. "Estimating costs of protecting global ecosystem diversity," Ecological Economics, Elsevier, vol. 29(1), pages 111-125, April.
    11. Stenberg, Luz Centeno & Siriwardana, Mahinda, 2007. "Forest conservation in the Philippines: An economic assessment of selected policy responses using a computable general equilibrium model," Forest Policy and Economics, Elsevier, vol. 9(6), pages 671-693, February.
    12. Wilson, Jeffrey J. & Lantz, Van A. & MacLean, David A., 2010. "A benefit-cost analysis of establishing protected natural areas in New Brunswick, Canada," Forest Policy and Economics, Elsevier, vol. 12(2), pages 94-103, February.
    Full references (including those not matched with items on IDEAS)

    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. Ochuodho, T.O. & Lantz, V.A. & Lloyd-Smith, P. & Benitez, P., 2012. "Regional economic impacts of climate change and adaptation in Canadian forests: A CGE modeling analysis," Forest Policy and Economics, Elsevier, vol. 25(C), pages 100-112.
    2. Lantz, Van & McMonagle, Galen & Hennigar, Chris & Sharma, Chinmay & Withey, Patrick & Ochuodho, Thomas, 2022. "Forest succession, management and the economy under a changing climate: Coupling economic and forest management models to assess impacts and adaptation options," Forest Policy and Economics, Elsevier, vol. 142(C).
    3. Manfred Wiebelt, 1995. "Stopping deforestation in the Amazon: Trade-off between ecological and economic targets?," Review of World Economics (Weltwirtschaftliches Archiv), Springer;Institut für Weltwirtschaft (Kiel Institute for the World Economy), vol. 131(3), pages 542-568, September.
    4. Thiele, Rainer & Wiebelt, Manfred, 1996. "Tropenwaldmanagement: Ein Balanceakt zwischen Schutz und Raubbau," Kiel Discussion Papers 282, Kiel Institute for the World Economy (IfW Kiel).
    5. Arunanondchai, Jutamas May, 2003. "Applied general equilibrium analysis of trade liberalisation on land-based sectors in Malaysia and Indonesia," Journal of Policy Modeling, Elsevier, vol. 25(9), pages 947-961, December.
    6. Laura Schmitt, 2009. "Developing and applying a soil erosion model in a data-poor context to an island in the rural Philippines," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 11(1), pages 19-42, February.
    7. Thiele, Rainer, 1994. "Conserving tropical rain forests in Indonesia: a CGE analysis of alternative policies," Kiel Working Papers 621, Kiel Institute for the World Economy (IfW Kiel).
    8. Paul de Boer & Marco Missaglia, 2006. "Economic consequences of intifada," Economic Systems Research, Taylor & Francis Journals, vol. 18(1), pages 97-106.
    9. Francois J. Stofberg & Jan H. van Heerden, 2015. "The Short Term Economic Impact of Levying E-Tolls on Industries," Working Papers 201527, University of Pretoria, Department of Economics.
    10. Francois Jacobus Stofberg & Jan Van Heerden, 2016. "The Short-Term Economic Impact of Levying E-Tolls on Industries," South African Journal of Economics, Economic Society of South Africa, vol. 84(4), pages 574-593, December.
    11. repec:dav:journl:y:2016:v:7:i:11:p:1272-1289 is not listed on IDEAS
    12. Raghbendra Jha & John Whalley, 2001. "The Environmental Regime in Developing Countries," NBER Chapters, in: Behavioral and Distributional Effects of Environmental Policy, pages 217-250, National Bureau of Economic Research, Inc.
    13. de Boer, P.M.C., 2008. "Lack of peaceful resolution with Israel: economic cost for Palestinians," Econometric Institute Research Papers EI 2008-23, Erasmus University Rotterdam, Erasmus School of Economics (ESE), Econometric Institute.
    14. Konyar, Kazim & Howitt, Richard E., 2000. "The Cost Of The Kyoto Protocol To U.S. Crop Production: Measuring Crop Price, Regional Acreage, Welfare, And Input Substitution Effects," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 25(2), pages 1-21, December.
    15. Patrice Rélouendé Zidouemba & Françoise Gerard, 2018. "Does Agricultural Productivity Actually Matter for Food Security in a Landlocked Sub†Saharan African Country? The Case of Burkina Faso," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 66(1), pages 103-142, March.
    16. Glomsrã˜D, Solveig & Monge, Maria Dolores & Vennemo, Haakon, 1999. "Structural adjustment and deforestation in Nicaragua," Environment and Development Economics, Cambridge University Press, vol. 4(1), pages 19-43, February.
    17. Thiele, R. & Wiebelt, M., 1994. "Nationale und internationale Maßnahmen zum Schutz tropischer Regenwälder – das Beispiel Kamerun," Proceedings “Schriften der Gesellschaft für Wirtschafts- und Sozialwissenschaften des Landbaues e.V.”, German Association of Agricultural Economists (GEWISOLA), vol. 30.
    18. Wen, Xiaojie & Yao, Shunbo & Sauer, Johannes, 2022. "Shadow prices and abatement cost of soil erosion in Shaanxi Province, China: Convex expectile regression approach," Ecological Economics, Elsevier, vol. 201(C).
    19. Ying Fan & Jian-Ling Jiao & Qiao-Mei Liang & Zhi-Yong Han & Yi-Ming Wei, 2007. "The impact of rising international crude oil price on China's economy: an empirical analysis with CGE model," International Journal of Global Energy Issues, Inderscience Enterprises Ltd, vol. 27(4), pages 404-424.
    20. Millard, Robert & Withey, Patrick & Lantz, Van & Ochuodho, Thomas O., 2017. "The general equilibrium costs and impacts of oil price shocks in Newfoundland and Labrador," Energy Economics, Elsevier, vol. 68(C), pages 192-198.
    21. Psaltopoulos, Demetris & Balamou, Eudokia & Skuras, Dimitris & Ratinger, Tomas & Sieber, Stefan, 2011. "Modelling the impacts of CAP Pillar 1 and 2 measures on local economies in Europe: Testing a case study-based CGE-model approach," Journal of Policy Modeling, Elsevier, vol. 33(1), pages 53-69, January.

    More about this item

    Keywords

    Conservation; Land conversion; Computable General equilibrium; Canada;
    All these keywords.

    JEL classification:

    • C68 - Mathematical and Quantitative Methods - - Mathematical Methods; Programming Models; Mathematical and Simulation Modeling - - - Computable General Equilibrium Models
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics

    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:foreco:v:33:y:2018:i:c:p:33-40. 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/wps/find/journaldescription.cws_home/701775/description#description .

    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.