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Deforestation, Property Rights, and International Trade

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  • Susana Ferreira

Abstract

Deforestation primarily affects developing countries. Most developing countries share two characteristics: (1) trade liberalization reforms in the last two decades, and (2) weak property rights and limited rule of law. This paper investigates this second-best world; first, in a stylized model in which trade distortions are eliminated in an economy whose natural resources are subject to open access; second, empirically in an estimation exercise that disentangles the direct effect of trade on deforestation rates and an indirect effect through its interaction with ownership security. In accordance with the theory, the results show that only the indirect effect is significant.

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File URL: http://le.uwpress.org/cgi/reprint/85/2/174
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Bibliographic Info

Article provided by University of Wisconsin Press in its journal Land Economics.

Volume (Year): 80 (2004)
Issue (Month): 2 ()
Pages: 174-193

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Handle: RePEc:uwp:landec:v:80:y:2004:i:2:p:174-193

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Web page: http://le.uwpress.org/

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Cited by:
  1. Fenske, James, 2012. "Imachi Nkwu: Trade and the commons," MPRA Paper 36759, University Library of Munich, Germany.
  2. Jean-Louis Combes & Philippe Delacote & Pascale Motel Combes, 2014. "Public expenses, credit and natural capital: Substitution or complementarity?," Working Papers halshs-00979191, HAL.
  3. Copeland, Brian R., 2005. "Policy Endogeneity and the Effects of Trade on the Environment," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, vol. 34(1), April.
  4. Basak Bayramoglu & Jean-Fran├žois Jacques, 2012. "Fishery Resources and Trade Openness: Evidence from Turkey," Working Papers 2012/02, INRA, Economie Publique.
  5. Coxhead, Ian, 2007. "A New Resource Curse? Impacts of China's Boom on Comparative Advantage and Resource Dependence in Southeast Asia," World Development, Elsevier, vol. 35(7), pages 1099-1119, July.
  6. Weslem Faria & Alexandre Almeida, 2011. "Agricultural Expansion, Openness to Trade and Deforestation at the Brazilian Amazon: A Spatial Econometric Analysis," ERSA conference papers ersa11p1013, European Regional Science Association.

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