IDEAS home Printed from https://ideas.repec.org/a/eee/lauspo/v94y2020ics0264837718305672.html
   My bibliography  Save this article

The pioneer market for forest law compliance in Paragominas, Eastern Brazilian Amazon

Author

Listed:
  • Brito, Brenda

Abstract

This paper explores farmers’ motivations to participate in a market mechanism to come into compliance with the forest laws in Brazil. As of July 2008, farmers with deforestation beyond what is legally permitted can choose between compensating for illegal deforestation at another property or restoring this environmental debt in situ. The study analyzes the first real case of such a compensation market in the Amazonia, started in 2014 in the municipality of Paragominas, Pará. I explore the main features of the Paragominas compensation market in order to understand why farmers with forest deficits would opt for such a mechanism. In particular, the main question explored in this study is: what economic and environmental factors influence the choice to compensate rather than restore in properties with a legal reserve deficit in Paragominas? Results show that an increase in the percentage of illegal deforestation that occurred up to 2008 on a property is associated with an increase in the predicted probability of choosing compensation, when keeping agriculture as a land use, the property size, and the number of land uses in the property unchanged. The study also reveals that farmers with forest deficits may prefer to buy a forest area instead of renting for compensation if they have enough capital to invest.

Suggested Citation

  • Brito, Brenda, 2020. "The pioneer market for forest law compliance in Paragominas, Eastern Brazilian Amazon," Land Use Policy, Elsevier, vol. 94(C).
    • Handle: RePEc:eee:lauspo:v:94:y:2020:i:c:s0264837718305672
    DOI: 10.1016/j.landusepol.2019.104310
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0264837718305672
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.landusepol.2019.104310?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 search for a different version of it.

    References listed on IDEAS

    as
    1. Mertens, B. & Poccard-Chapuis, R. & Piketty, M. -G. & Lacques, A. -E. & Venturieri, A., 2002. "Crossing spatial analyses and livestock economics to understand deforestation processes in the Brazilian Amazon: the case of Sao Felix do Xingu in South Para," Agricultural Economics, Blackwell, vol. 27(3), pages 269-294, November.
    2. Brenda Brito, 2017. "Potential trajectories of the upcoming forest trading mechanism in Pará State, Brazilian Amazon," PLOS ONE, Public Library of Science, vol. 12(4), pages 1-21, April.
    3. Paula Bernasconi & Stefan Blumentrath & David N Barton & Graciela M Rusch & Ademar R Romeiro, 2016. "Constraining Forest Certificate’s Market to Improve Cost-Effectiveness of Biodiversity Conservation in São Paulo State, Brazil," PLOS ONE, Public Library of Science, vol. 11(10), pages 1-18, October.
    4. Erin O Sills & Diego Herrera & A Justin Kirkpatrick & Amintas Brandão Jr. & Rebecca Dickson & Simon Hall & Subhrendu Pattanayak & David Shoch & Mariana Vedoveto & Luisa Young & Alexander Pfaff, 2015. "Estimating the Impacts of Local Policy Innovation: The Synthetic Control Method Applied to Tropical Deforestation," PLOS ONE, Public Library of Science, vol. 10(7), pages 1-15, July.
    5. Engel, Stefanie & Pagiola, Stefano & Wunder, Sven, 2008. "Designing payments for environmental services in theory and practice: An overview of the issues," Ecological Economics, Elsevier, vol. 65(4), pages 663-674, May.
    6. Alston, Lee J. & Libecap, Gary D. & Mueller, Bernardo, 2000. "Land Reform Policies, the Sources of Violent Conflict, and Implications for Deforestation in the Brazilian Amazon," Journal of Environmental Economics and Management, Elsevier, vol. 39(2), pages 162-188, March.
    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. Pinillos, Daniel & Poccard-Chapuis, René & Bianchi, Felix J.J.A. & Corbeels, Marc & Timler, Carl J. & Tittonell, Pablo & R. Ballester, Maria Victoria & Schulte, Rogier P., 2021. "Landholders' perceptions on legal reserves and agricultural intensification: Diversity and implications for forest conservation in the eastern Brazilian Amazon," Forest Policy and Economics, Elsevier, vol. 129(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. Araujo, Claudio & Bonjean, Catherine Araujo & Combes, Jean-Louis & Combes Motel, Pascale & Reis, Eustaquio J., 2009. "Property rights and deforestation in the Brazilian Amazon," Ecological Economics, Elsevier, vol. 68(8-9), pages 2461-2468, June.
    2. dos Santos Massoca, Paulo Eduardo & Brondízio, Eduardo Sonnewend, 2022. "National policies encounter municipal realities: A critical analysis of the outcomes of the List of Priority Municipalities in curbing deforestation in the Brazilian Amazon," World Development, Elsevier, vol. 158(C).
    3. van der Hoff, Richard & Rajão, Raoni, 2020. "The politics of environmental market instruments: Coalition building and knowledge filtering in the regulation of forest certificates trading in Brazil," Land Use Policy, Elsevier, vol. 96(C).
    4. Bragança, Arthur & Dahis, Ricardo, 2022. "Cutting special interests by the roots: Evidence from the Brazilian Amazon," Journal of Public Economics, Elsevier, vol. 215(C).
    5. Frans P. Vries & Nick Hanley, 2016. "Incentive-Based Policy Design for Pollution Control and Biodiversity Conservation: A Review," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 63(4), pages 687-702, April.
    6. Ian Hodge & William M. Adams, 2016. "Short-Term Projects versus Adaptive Governance: Conflicting Demands in the Management of Ecological Restoration," Land, MDPI, vol. 5(4), pages 1-17, November.
    7. Surun, Clément & Drechsler, Martin, 2018. "Effectiveness of Tradable Permits for the Conservation of Metacommunities With Two Competing Species," Ecological Economics, Elsevier, vol. 147(C), pages 189-196.
    8. Frings, Oliver & Abildtrup, Jens & Montagné-Huck, Claire & Gorel, Salomé & Stenger, Anne, 2023. "Do individual PES buyers care about additionality and free-riding? A choice experiment," Ecological Economics, Elsevier, vol. 213(C).
    9. Bruno Ferman & Cristine Pinto & Vitor Possebom, 2020. "Cherry Picking with Synthetic Controls," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 39(2), pages 510-532, March.
    10. Thiemo Fetzer & Samuel Marden, 2017. "Take What You Can: Property Rights, Contestability and Conflict," Economic Journal, Royal Economic Society, vol. 0(601), pages 757-783, May.
    11. Bardsley, Douglas K. & Bardsley, Annette M., 2014. "Organising for socio-ecological resilience: The roles of the mountain farmer cooperative Genossenschaft Gran Alpin in Graubünden, Switzerland," Ecological Economics, Elsevier, vol. 98(C), pages 11-21.
    12. McGrath, F.L. & Carrasco, L.R. & Leimona, B., 2017. "How auctions to allocate payments for ecosystem services contracts impact social equity," Ecosystem Services, Elsevier, vol. 25(C), pages 44-55.
    13. Xiaorui Wang & Shen Hu, 2024. "How do organizations in Chinese agriculture perceive sustainability certification schemes? An exploratory analysis," Development Policy Review, Overseas Development Institute, vol. 42(3), May.
    14. Smith, Helen F. & Sullivan, Caroline A., 2014. "Ecosystem services within agricultural landscapes—Farmers' perceptions," Ecological Economics, Elsevier, vol. 98(C), pages 72-80.
    15. Veronesi, Marcella & Reutemann, Tim & Zabel, Astrid & Engel, Stefanie, 2015. "Designing REDD+ schemes when forest users are not forest landowners: Evidence from a survey-based experiment in Kenya," Ecological Economics, Elsevier, vol. 116(C), pages 46-57.
    16. Alessio D’Auria & Pasquale De Toro & Nicola Fierro & Elisa Montone, 2018. "Integration between GIS and Multi-Criteria Analysis for Ecosystem Services Assessment: A Methodological Proposal for the National Park of Cilento, Vallo di Diano and Alburni (Italy)," Sustainability, MDPI, vol. 10(9), pages 1-25, September.
    17. Alain‐Désiré Nimubona & Jean‐Christophe Pereau, 2022. "Negotiating over payments for wetland ecosystem services," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 55(3), pages 1507-1538, August.
    18. Tan Li & Qingguo Zhang & Ying Zhang, 2018. "Modelling a Compensation Standard for a Regional Forest Ecosystem: A Case Study in Yanqing District, Beijing, China," IJERPH, MDPI, vol. 15(4), pages 1-20, March.
    19. Rodríguez-Ortega, T. & Olaizola, A.M. & Bernués, A., 2018. "A novel management-based system of payments for ecosystem services for targeted agri-environmental policy," Ecosystem Services, Elsevier, vol. 34(PA), pages 74-84.
    20. Scemama, Pierre & Levrel, Harold, 2019. "Influence of the Organization of Actors in the Ecological Outcomes of Investment in Restoration of Biodiversity," Ecological Economics, Elsevier, vol. 157(C), pages 71-79.

    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:lauspo:v:94:y:2020:i:c:s0264837718305672. 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: Joice Jiang (email available below). General contact details of provider: https://www.journals.elsevier.com/land-use-policy .

    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.