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Rationale of the land market in the brazilian amazon and supply-demand oriented policies: A model and scenarios applied to Pará

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  • Costa, Francisco de Assis

Abstract

This article models the land marke in the Amazon, focusing on Pará, by examining deforestation as the process of producing land-without-forest. It analyzes supply and demand formation and dynamics through two segmentations: first, based on context determing price differences between land-with-forest and land-without-forest; second, based on the productive conditions of land-demanding structures. The study explores the interaction regimes between supply and demand during two periods: 1995–2006, characterized by extensive livestock-led production, and 2006–2017, where grain production gained prominence. It then projects the evolution of the land-without-forest market, considering scenarios of production intensification policies and potential competition from extensive on the land technological trajectories and Jevons effects, where increased land productivity paradoxically raises overall land demand. In contrast, policies aimed at containing the supply by changing the prices of land-with-forest have proven to be effective. Finally, it offers recommendations for future researches and policies aimed at sustainable development.

Suggested Citation

  • Costa, Francisco de Assis, 2025. "Rationale of the land market in the brazilian amazon and supply-demand oriented policies: A model and scenarios applied to Pará," Land Use Policy, Elsevier, vol. 158(C).
  • Handle: RePEc:eee:lauspo:v:158:y:2025:i:c:s0264837725002522
    DOI: 10.1016/j.landusepol.2025.107718
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