Trying to See the Forest for the Trees: Forest Cover and Economic Activity in Africa

Africa is a continent experiencing the highest yearly rate of deforestation. As a result, there is debate about the causes and consequences of this phenomenon, as well as on the effectiveness of actions undertaken to address this problem. This study offers insights into economic aspects of deforestation in Africa with regard to the use of econometric and spatial data analysis and the inclusion of determinants not considered by previous research. Special attention is paid to the participation of African countries in UN-REDD (United Nations Collaborative Program on Reducing Emissions from Deforestation and Forest Degradation in Developing Countries) and grouping countries according to the level of their forest cover. We demonstrate a negative relationship between economic activity and forest cover using both econometric modeling and spatial data analysis, and present some moderate arguments in favor of the UN-REDD program and its effectiveness in mitigating deforestation in Africa. Importantly, there are no universal patterns across countries characterized by different levels of forest cover. Therefore, we conclude that advancement of this research area requires new methodological approaches based on big data, machine learning, and artificial intelligence to supplement existing approaches and enhance our understanding of the interplay between forest loss and economic growth.