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Land Values in Frontier Settlements of the Brazilian Amazon

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  • Merry, Frank
  • Amacher, Gregory
  • Lima, Eirivelthon

Abstract

Summary Even in the absence of formal land markets, estimated values on agricultural frontiers of the Brazilian Amazon reflect the value-adding characteristics of the land. Understanding these characteristics provides important insights to the incentives (or dis-incentives) to protect tropical forests and reduce deforestation. A hedonic model is used to identify characteristics determining smallholder land values on the Amazon frontier. Years on the lot, area under agricultural production, and house values were found to add value; while distance from the nearest city and area under forest decreased values. Characteristics that do not appear to significantly affect land value include pasture area and the claim to hold definitive title. By not adding significantly to land values, pasture may be used to establish property rights rather than to increase land value through positive rents. Our results also confirm the underutilization of the forest resource by smallholders.

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  • Merry, Frank & Amacher, Gregory & Lima, Eirivelthon, 2008. "Land Values in Frontier Settlements of the Brazilian Amazon," World Development, Elsevier, vol. 36(11), pages 2390-2401, November.
    • Handle: RePEc:eee:wdevel:v:36:y:2008:i:11:p:2390-2401
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    7. Patrick Doupe, 2014. "Reduced Deforestation and Economic Growth," CCEP Working Papers 1402, Centre for Climate & Energy Policy, Crawford School of Public Policy, The Australian National University.
    8. Shukui Tan & Maomao Zhang & Ao Wang & Qianlin Ni, 2021. "Spatio-Temporal Evolution and Driving Factors of Rural Settlements in Low Hilly Region—A Case Study of 17 Cities in Hubei Province, China," IJERPH, MDPI, vol. 18(5), pages 1-18, March.
    9. Bowman, Maria S., 2016. "Impact of foot-and-mouth disease status on deforestation in Brazilian Amazon and cerrado municipalities between 2000 and 2010," Journal of Environmental Economics and Management, Elsevier, vol. 75(C), pages 25-40.
    10. F. Souty & T. Brunelle & P. Dumas & B. Dorin, & P. Ciais & R. Crassous, 2012. "The Nexus Land-Use Model, an Approach Articulating Biophysical Potentials and Economic Dynamics to Model Competition for Land-Uses," Working Papers 2012.16, Fondazione Eni Enrico Mattei.
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    12. Sheryle S. Hamid & Marcos Antônio S. dos Santos & Albert F. Aguiar & Tanice Andreatta & Nilson L. Costa & Maria Lúcia B. Lopes & José de B. Lourenço-Júnior, 2023. "Changes and Factors Determining the Efficiency of Cattle Farming in the State of Pará, Brazilian Amazon," Sustainability, MDPI, vol. 15(13), pages 1-18, June.
    13. Alary, Véronique & Aboul-Naga, Adel & Osman, Mona A. & Daoud, Ibrahim & Abdelraheem, Sahar & Salah, Ehab & Juanes, Xavier & Bonnet, Pascal, 2018. "Desert land reclamation programs and family land dynamics in the Western Desert of the Nile Delta (Egypt), 1960–2010," World Development, Elsevier, vol. 104(C), pages 140-153.
    14. Choumert, Johanna & Phélinas, Pascale, 2014. "A Hedonic Analysis Of Agricultural Land Values In A Gm Soybean Area Of Argentina," 2014 International Congress, August 26-29, 2014, Ljubljana, Slovenia 182750, European Association of Agricultural Economists.
    15. Doupe, Patrick, 2014. "Reduced deforestation and economic growth," Working Papers 249421, Australian National University, Centre for Climate Economics & Policy.
    16. 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).
    17. Barua, Sepul K. & Uusivuori, Jussi & Kuuluvainen, Jari, 2012. "Impacts of carbon-based policy instruments and taxes on tropical deforestation," Ecological Economics, Elsevier, vol. 73(C), pages 211-219.

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