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Foreign Transfers and Tropical Deforestation: What Terms of Conditionality?

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  • Daan van Soest
  • Robert Lensink

Abstract

The international community considers the possibility of using aid as an instrument to improve natural resource conservation in developing countries. By making the amount of transfers dependent on the efforts of the recipient countries to improve conservation, appropriate incentives can be given. We propose a transfer function in which developing countries are linearly rewarded for having a positive stock of forest, andwhere the amount of donations is negatively relatedto the rate of deforestation. This transfer function enables the international community to improve long-term forest conservation as well as the rate of deforestation during the adjustment period. Copyright 2000, Oxford University Press.

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  • Daan van Soest & Robert Lensink, 2000. "Foreign Transfers and Tropical Deforestation: What Terms of Conditionality?," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 82(2), pages 389-399.
    • Handle: RePEc:oup:ajagec:v:82:y:2000:i:2:p:389-399
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    File URL: http://hdl.handle.net/10.1111/0002-9092.00033
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    Cited by:

    1. Quentin Grafton, R. & Jotzo, Frank & Wasson, Merrilyn, 2004. "Financing sustainable development: Country Undertakings and Rights for Environmental Sustainability CURES," Ecological Economics, Elsevier, vol. 51(1-2), pages 65-78, November.
    2. Tim Swanson & Ben Groom, 2012. "Regulating global biodiversity: what is the problem?," Oxford Review of Economic Policy, Oxford University Press, vol. 28(1), pages 114-138, Spring.
    3. Chiroleu-Assouline, Mireille & Poudou, Jean-Christophe & Roussel, Sébastien, 2018. "Designing REDD+ contracts to resolve additionality issues," Resource and Energy Economics, Elsevier, vol. 51(C), pages 1-17.
    4. Moutaz Altaghlibi & Florian Wagener, 2016. "Unconditional Aid and Green Growth," Tinbergen Institute Discussion Papers 16-037/II, Tinbergen Institute.
    5. Deke, Oliver, 2004. "Financing National Protected Area Networks Internationally: The Global Environment Facility as a Multilateral Mechanism of Transfer," Kiel Working Papers 1227, Kiel Institute for the World Economy (IfW).
    6. Andrés-Domenech, Pablo & Martín-Herrán, Guiomar & Zaccour, Georges, 2015. "Cooperation for sustainable forest management: An empirical differential game approach," Ecological Economics, Elsevier, vol. 117(C), pages 118-128.
    7. Lafforgue, Gilles & Ollivier, Hélène, 2011. "Optimal policies to preserve tropical forests," LERNA Working Papers 11.14.348, LERNA, University of Toulouse.
    8. Ollivier, Hélène, 2012. "Growth, deforestation and the efficiency of the REDD mechanism," Journal of Environmental Economics and Management, Elsevier, vol. 64(3), pages 312-327.

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