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Economic changes and afforestation incentives in rural China

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  • DÉMURGER, SYLVIE
  • YANG, WEIYONG

Abstract

This paper uses provincial macro-data from the mid 1980s onwards to investigate the determinants of land-use choice in rural China, by paying particular attention to the decision to plant trees as competing with agriculture. The evidence supports the importance of economic motivations in the afforestation decision. A profit-seeking behavior is found to be at stake in the decision to plant trees, which is made according to both the relative profitability of forestry against agriculture, and their relative risks. Afforestation is also found to strongly depend on the pressure upon land as well as on household wealth.

Suggested Citation

  • Dã‰Murger, Sylvie & Yang, Weiyong, 2006. "Economic changes and afforestation incentives in rural China," Environment and Development Economics, Cambridge University Press, vol. 11(5), pages 629-649, October.
    • Handle: RePEc:cup:endeec:v:11:y:2006:i:05:p:629-649_00
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    Cited by:

    1. Dinh, Hoang Huu & Nguyen, Trung Thanh & Hoang, Viet-Ngu & Wilson, Clevo, 2017. "Economic incentive and factors affecting tree planting of rural households: Evidence from the Central Highlands of Vietnam," Journal of Forest Economics, Elsevier, vol. 29(PA), pages 14-24.
    2. Nguyen, Trung Thanh & Bauer, Siegfried & Uibrig, Holm, 2010. "Land privatization and afforestation incentive of rural farms in the Northern Uplands of Vietnam," Forest Policy and Economics, Elsevier, vol. 12(7), pages 518-526, September.
    3. Sylvie Démurger & Hou Yuanzhao & Yang Weiyong, 2007. "Forest management policies and resource balance in China: an assessment of the current situation," Post-Print halshs-00144898, HAL.
    4. Vidyaratne, Herath & Vij, Akshay & Regan, Courtney M., 2020. "A socio-economic exploration of landholder motivations to participate in afforestation programs in the Republic of Ireland: The role of irreversibility, inheritance and bequest value," Land Use Policy, Elsevier, vol. 99(C).
    5. Yang Yang & Hua Li & Long Cheng & Youliang Ning, 2021. "Effect of Land Property Rights on Forest Resources in Southern China," Land, MDPI, vol. 10(4), pages 1-15, April.
    6. Shuning Zhu & Jinlong Liu & Hao Xu & Lingchao Li & Wentao Yang, 2022. "Has China’s New Round of Collective Forest Reforms Reduced Forest Fragmentation? A Case Study of the Beijing–Tianjin–Hebei Region," IJERPH, MDPI, vol. 19(10), pages 1-15, May.
    7. Chang, Hung-Hao & Lee, Brian & Hsieh, Yi-Ting, 2021. "Participation in afforestation programs and the distribution of forest farm income," Forest Policy and Economics, Elsevier, vol. 129(C).
    8. Hyde, William F. & Wei, Jiegen & XU, Jinato, 2008. "Economic Growth and the Natual Environment: The Example of China and Its Forests since 1978," RFF Working Paper Series dp-08-11-efd, Resources for the Future.
    9. Yu, Jinna & Yao, Shunbo & Zhang, Bisheng, 2014. "Designing afforestation subsidies that account for the benefits of carbon sequestration: A case study using data from China's Loess Plateau," Journal of Forest Economics, Elsevier, vol. 20(1), pages 65-76.

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