Compensation for Wildlife Damage: Habitat Conversion, Species Preservation and Local Welfare
AbstractWe study the environmental and economic consequences of introducing a program to compensate peasants of a small economy for the damage caused by wildlife. We show that the widely held belief that compensation induces wildlife conservation may be erroneous. In a partially open economy, compensation can lower the wildlife stock and result in a net welfare loss for local people. In an open economy, compensation can trigger wildlife extinction and also reduce welfare. The conditions leading to a reduction of the wildlife stock are identified and the implications for current and planned compensation programs are discussed.
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Bibliographic InfoPaper provided by University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group in its series Working Papers with number 2003-01.
Length: 36 pages
Date of creation: Nov 2003
Date of revision:
compensation; crop damage; wildlife; endangered species preservation; bushmeat trade;
Other versions of this item:
- Bulte, Erwin & Rondeau, Daniel, 2007. "Compensation for wildlife damages: Habitat conversion, species preservation and local welfare," Journal of Environmental Economics and Management, Elsevier, vol. 54(3), pages 311-322, November.
- O13 - Economic Development, Technological Change, and Growth - - Economic Development - - - Agriculture; Natural Resources; Environment; Other Primary Products
- Q1 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture
- Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
- D51 - Microeconomics - - General Equilibrium and Disequilibrium - - - Exchange and Production Economies
- F18 - International Economics - - Trade - - - Trade and Environment
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- Astrid Zabel & Karen Pittel & Göran Bostedt & Stefanie Engel, 2009.
"Comparing Conventional and New Policy Approaches for Carnivore Conservation – Theoretical Results and Application to Tiger Conservation,"
IED Working paper
09-06, IED Institute for Environmental Decisions, ETH Zurich.
- Astrid Zabel & Karen Pittel & Göran Bostedt & Stefanie Engel, 2011. "Comparing Conventional and New Policy Approaches for Carnivore Conservation: Theoretical Results and Application to Tiger Conservation," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 48(2), pages 287-301, February.
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- Winkler, Ralph, 2011. "Why do ICDPs fail?: The relationship between agriculture, hunting and ecotourism in wildlife conservation," Resource and Energy Economics, Elsevier, vol. 33(1), pages 55-78, January.
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