IDEAS home Printed from https://ideas.repec.org/a/eee/jeeman/v121y2023ics0095069623000669.html

Economic development and conservation impacts of China's nature reserves

Author

Listed:
  • Cheng, Audrey T.
  • Sims, Katharine R.E.
  • Yi, Yuanyuan

Abstract

Protected areas are a dominant but contentious instrument of conservation policy. Restrictions on resource extraction and land use constrain livelihoods but may also support alternate pathways to development through sustainable use, tourism, and landscape amenities. We investigate the economic development and environmental impacts of China's Nature Reserves using county-level panel data between 1980 and 2010. We find small positive impacts on an aggregate household development index and that Nature Reserves maintained natural land cover within their boundaries. We also find employment shifts from resource-extractive to service-based activity, but an overall negative impact on reported employment. Household development gains and shifts towards service-based employment were greater closer to locations that were already more developed and had higher baseline assets. These results indicate both the promise of protected areas as a sustainable development strategy and the need for institutional mechanisms to ensure that local benefits and employment opportunities are broadly distributed.

Suggested Citation

  • Cheng, Audrey T. & Sims, Katharine R.E. & Yi, Yuanyuan, 2023. "Economic development and conservation impacts of China's nature reserves," Journal of Environmental Economics and Management, Elsevier, vol. 121(C).
  • Handle: RePEc:eee:jeeman:v:121:y:2023:i:c:s0095069623000669
    DOI: 10.1016/j.jeem.2023.102848
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0095069623000669
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.jeem.2023.102848?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

    for a different version of it.

    References listed on IDEAS

    as
    1. Robalino, Juan & Villalobos, Laura, 2015. "Protected areas and economic welfare: an impact evaluation of national parks on local workers' wages in Costa Rica," Environment and Development Economics, Cambridge University Press, vol. 20(3), pages 283-310, June.
    2. Fan, Maoyong & He, Guojun & Zhou, Maigeng, 2020. "The winter choke: Coal-Fired heating, air pollution, and mortality in China," Journal of Health Economics, Elsevier, vol. 71(C).
    3. Feng, Shuaizhang & Hu, Yingyao & Moffitt, Robert, 2017. "Long run trends in unemployment and labor force participation in urban China," Journal of Comparative Economics, Elsevier, vol. 45(2), pages 304-324.
    4. Xin Meng, 2012. "Labor Market Outcomes and Reforms in China," Journal of Economic Perspectives, American Economic Association, vol. 26(4), pages 75-102, Fall.
    5. Alexander Pfaff & Juan Robalino, 2012. "Protecting forests, biodiversity, and the climate: predicting policy impact to improve policy choice," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 28(1), pages 164-179, Spring.
    6. Judith Schleicher & Julie G. Zaehringer & Constance Fastré & Bhaskar Vira & Piero Visconti & Chris Sandbrook, 2019. "Protecting half of the planet could directly affect over one billion people," Nature Sustainability, Nature, vol. 2(12), pages 1094-1096, December.
    7. Aparna Howlader & Amy W. Ando, 2020. "Consequences of Protected Areas for Household Forest Extraction, Time Use, and Consumption: Evidence from Nepal," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 75(4), pages 769-808, April.
    8. Guido W. Imbens & Jeffrey M. Wooldridge, 2009. "Recent Developments in the Econometrics of Program Evaluation," Journal of Economic Literature, American Economic Association, vol. 47(1), pages 5-86, March.
    9. Guanlong Fu & Emi Uchida & Muna Shah & Xiangzheng Deng, 2019. "Impact of the Grain for Green program on forest cover in China," Journal of Environmental Economics and Policy, Taylor & Francis Journals, vol. 8(3), pages 231-249, July.
    10. Miranda, Juan José & Corral, Leonardo & Blackman, Allen & Asner, Gregory & Lima, Eirivelthon, 2016. "Effects of Protected Areas on Forest Cover Change and Local Communities: Evidence from the Peruvian Amazon," World Development, Elsevier, vol. 78(C), pages 288-307.
    11. Ho, Daniel E. & Imai, Kosuke & King, Gary & Stuart, Elizabeth A., 2007. "Matching as Nonparametric Preprocessing for Reducing Model Dependence in Parametric Causal Inference," Political Analysis, Cambridge University Press, vol. 15(3), pages 199-236, July.
    12. Yuanyuan Yi & Fredrik Carlsson & Gunnar Köhlin & Jintao Xu, 2023. "Allocative efficiency or misallocation of resources? The emergence of forestland rental markets and the forest devolution reform in China," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 50(2), pages 395-420.
    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. Lucio M. Peçanha & João J. Ferreira, 2025. "Sustainable strategies and circular economy ecosystems: A literature review and future research agenda," Business Strategy and the Environment, Wiley Blackwell, vol. 34(1), pages 1440-1459, January.
    2. Reynaert, Mathias & Souza-Rodrigues, Eduardo & van Benthem, Arthur A., 2024. "The environmental impacts of protected area policy," Regional Science and Urban Economics, Elsevier, vol. 107(C).
    3. Wang, Wen & Pan, Qi, 2025. "The enduring effects of China’s Payments for Ecosystem Services: Short- and long-term industrial transformations," Journal of Environmental Economics and Management, Elsevier, vol. 130(C).
    4. Xing, Xianglong & Zhang, Peng & Tong, Shouzheng & Zhang, Mingye & Xin, Yuan & An, Yu & Cui, Geng & Du, Walian & Yang, Zhuo, 2026. "The significance of food-water-land-ecosystem nexus to management decisions of national nature reserves," Land Use Policy, Elsevier, vol. 162(C).
    5. Tristan Grupp & Prakash Mishra & Mathias Reynaert & Arthur A. van Benthem, 2023. "An Evaluation of Protected Area Policies in the European Union," NBER Working Papers 31934, National Bureau of Economic Research, Inc.
    6. Qu, Xinwei & Tian, Mingfu & Zhang, Linbo & Huang, Hongyun & Sun, Di & Song, Malin, 2025. "Energy structural change towards net-zero economy: What can we learn from carbon finance initiatives in China?," Energy Economics, Elsevier, vol. 144(C).
    7. Li, Jun & Fang, Lan, 2026. "Beyond case studies: A city-level quantitative analysis of payments for ecosystem services system and atmospheric environmental quality," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 21, pages 1-25.
    8. Xu, Shang & Wang, Yue & Zhang, Hongliang, 2025. "Verdant vitality: forests benefit child health in China," World Development, Elsevier, vol. 194(C).
    9. Gao, Zhiyuan & Zhao, Ying & Li, Lianqing & Hao, Yu, 2025. "Nurturing nature: The role of green finance in reviving urban biodiversity," The Quarterly Review of Economics and Finance, Elsevier, vol. 102(C).
    10. Zhang, Yuqi & Hanna, Philippe & Vanclay, Frank, 2025. "Social impacts from tourism development in protected areas: Comparing communities in different conservation zones of Wulingyuan World Heritage Site, China," Land Use Policy, Elsevier, vol. 158(C).
    11. Li, Xiuqing & Xiao, Liming, 2024. "The impact of urban green business environment on FDI quality and its driving mechanism: Evidence from China," World Development, Elsevier, vol. 175(C).
    12. Shilei Liu & Jinlei Qi & Jintao Xu & Yuanyuan Yi & Peng Yin & Maigeng Zhou, 2024. "Forest Mitigates Short-Term Health Risk of Air Pollution: Evidence from China," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 87(8), pages 2163-2204, August.
    13. Lee, Chien-Chiang & Yuan, Zihao & Kang, Yongchao, 2024. "Green finance and land ecological security: A potential mechanism for sustainable development," Economic Analysis and Policy, Elsevier, vol. 84(C), pages 1222-1241.
    14. Shah, Wasi Ul Hassan & Sarfraz, Muddassar & Yasmeen, Rizwana, 2025. "Unveiling the impact of natural energy resources depletion on energy industry productivity in top 10 economies: Moderating role of FinTech," Energy, Elsevier, vol. 315(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. Estifanos, Tafesse Kefyalew & Polyakov, Maksym & Pandit, Ram & Hailu, Atakelty & Burton, Michael, 2020. "The impact of protected areas on the rural households’ incomes in Ethiopia," Land Use Policy, Elsevier, vol. 91(C).
    2. Sims, Katharine R.E. & Alix-Garcia, Jennifer M., 2017. "Parks versus PES: Evaluating direct and incentive-based land conservation in Mexico," Journal of Environmental Economics and Management, Elsevier, vol. 86(C), pages 8-28.
    3. Canavire-Bacarreza, Gustavo & Diaz-Gutierrez, Julian Eduardo & Hanauer, Merlin M., 2018. "Unintended consequences of conservation: Estimating the impact of protected areas on violence in Colombia," Journal of Environmental Economics and Management, Elsevier, vol. 89(C), pages 46-70.
    4. R A Arriagada & E O Sills & P J Ferraro & S K Pattanayak, 2015. "Do Payments Pay Off? Evidence from Participation in Costa Rica’s PES Program," PLOS ONE, Public Library of Science, vol. 10(7), pages 1-17, July.
    5. Noémi Kreif & Richard Grieve & M. Zia Sadique, 2013. "Statistical Methods For Cost‐Effectiveness Analyses That Use Observational Data: A Critical Appraisal Tool And Review Of Current Practice," Health Economics, John Wiley & Sons, Ltd., vol. 22(4), pages 486-500, April.
    6. Blackman, Allen, 2013. "Evaluating forest conservation policies in developing countries using remote sensing data: An introduction and practical guide," Forest Policy and Economics, Elsevier, vol. 34(C), pages 1-16.
    7. Michael Funke & Helery Tasane, 2025. "Regional economic impacts of the Øresund cross-border fixed link: Cui Bono?," Regional Studies, Taylor & Francis Journals, vol. 59(1), pages 2573115-257, December.
    8. Cauê Carrilho & Gabriela Demarchi & Amy Duchelle & Sven Wunder & Carla Morsello, 2022. "Permanence of avoided deforestation in a Transamazon REDD+ initiative (Pará, Brazil)," CEE-M Working Papers hal-03614704, CEE-M, Universtiy of Montpellier, CNRS, INRA, Montpellier SupAgro.
    9. Carrilho, Cauê D. & Demarchi, Gabriela & Duchelle, Amy E. & Wunder, Sven & Morsello, Carla, 2022. "Permanence of avoided deforestation in a Transamazon REDD+ project (Pará, Brazil)," Ecological Economics, Elsevier, vol. 201(C).
    10. Jasjeet Singh Sekhon & Richard D. Grieve, 2012. "A matching method for improving covariate balance in cost‐effectiveness analyses," Health Economics, John Wiley & Sons, Ltd., vol. 21(6), pages 695-714, June.
    11. Tan, Ruipeng & Hou, Ke & Wu, Huaqing, 2025. "The cost of biodiversity protection: National Key Ecological Functional Zone and labor demand in China," Journal of Asian Economics, Elsevier, vol. 97(C).
    12. Solomon Asfaw & Silvio Daidone & Benjamin Davis & Josh Dewbre & Alessandro Romeo & Paul Winters & Katia Covarrubias & Habiba Djebbari, 2012. "Analytical Framework for Evaluating the Productive Impact of Cash Transfer Programmes on Household Behaviour – Methodological Guidelines for the From Protection to Production Project," Working Papers 101, International Policy Centre.
    13. Li Liang & Greene Tom, 2013. "A Weighting Analogue to Pair Matching in Propensity Score Analysis," The International Journal of Biostatistics, De Gruyter, vol. 9(2), pages 215-234, July.
    14. Pilar García-Gómez & Hans van Kippersluis & Owen O’Donnell & Eddy van Doorslaer, 2013. "Long-Term and Spillover Effects of Health Shocks on Employment and Income," Journal of Human Resources, University of Wisconsin Press, vol. 48(4), pages 873-909.
    15. Andreas C Drichoutis & Rodolfo M Nayga, 2020. "Economic Rationality under Cognitive Load," The Economic Journal, Royal Economic Society, vol. 130(632), pages 2382-2409.
    16. Albert Solé-Ollé & Pilar Sorribas-Navarro, 2014. "Does Corruption Erode Trust in Government? Evidence from a Recent Surge of Local Scandals in Spain," CESifo Working Paper Series 4888, CESifo Group Munich.
    17. Shuaizhang Feng & Gaojie Tang, 2019. "Accounting For Urban China'S Rising Income Inequality: The Roles Of Labor Market, Human Capital, And Marriage Market Factors," Economic Inquiry, Western Economic Association International, vol. 57(2), pages 997-1015, April.
    18. Arriagada, Rodrigo & Villaseñor, Adrián & Rubiano, Eliana & Cotacachi, David & Morrison, Judith, 2018. "Analysing the impacts of PES programmes beyond economic rationale: Perceptions of ecosystem services provision associated to the Mexican case," Ecosystem Services, Elsevier, vol. 29(PA), pages 116-127.
    19. Maurizio Canavari & Andreas C. Drichoutis & Jayson L. Lusk & Rodolfo M. Nayga, Jr., 2018. "How to run an experimental auction: A review of recent advances," Working Papers 2018-5, Agricultural University of Athens, Department Of Agricultural Economics.
    20. Sung‐Hee Jeon, 2017. "The Long‐Term Effects of Cancer on Employment and Earnings," Health Economics, John Wiley & Sons, Ltd., vol. 26(5), pages 671-684, May.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development
    • Q56 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environment and Development; Environment and Trade; Sustainability; Environmental Accounts and Accounting; Environmental Equity; Population Growth
    • Q57 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Ecological Economics
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land

    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:jeeman:v:121:y:2023:i:c:s0095069623000669. 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/inca/622870 .

    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.