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How Do National Markets and Price Policies Affect Land Use at the Forest Margin? Evidence from the Philippines

Listed author(s):
  • Ian Coxhead
  • Agnes Rola
  • Kwansoo Kim

Agricultural growth in uplands of tropical developing countries is associated with deforestation, land degradation, and diminished watershed function. Using time-series price data from an upland Philippine watershed, we examine market integration and quantify product market links through which policy and macroeconomic shocks - including instability from the Asian financial crisis of 1997 - 1998 are transmitted to farm gate prices. If market-driven incentives dominate farmers’ decisions, then our results indicate the desirability of using a broader range of policy instruments to address upland problems, and the need for upland projects to devote increased attention to national-level information dissemination and policy advocacy.

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File URL: http://le.uwpress.org/cgi/reprint/77/2/250
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Article provided by University of Wisconsin Press in its journal Land Economics.

Volume (Year): 77 (2001)
Issue (Month): 2 ()
Pages: 250-267

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Handle: RePEc:uwp:landec:v:77:y:2001:i:2:p:250-267
Contact details of provider: Web page: http://le.uwpress.org/

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  1. Shively, Gerald E., 1997. "Consumption risk, farm characteristics, and soil conservation adoption among low-income farmers in the Philippines," Agricultural Economics of Agricultural Economists, International Association of Agricultural Economists, vol. 17(2-3), December.
  2. Barrett, Scott, 1991. "Optimal soil conservation and the reform of agricultural pricing policies," Journal of Development Economics, Elsevier, vol. 36(2), pages 167-187, October.
  3. Ian Coxhead & Sisira Jayasuriya, 1994. "Technical Change in Agriculture and Land Degradation in Developing Countries: A General Equilibrium Analysis," Land Economics, University of Wisconsin Press, vol. 70(1), pages 20-37.
  4. Deacon Robert T., 1995. "Assessing the Relationship between Government Policy and Deforestation," Journal of Environmental Economics and Management, Elsevier, vol. 28(1), pages 1-18, January.
  5. Sims, Christopher A, 1980. "Macroeconomics and Reality," Econometrica, Econometric Society, vol. 48(1), pages 1-48, January.
  6. Backus, David, 1986. "The Canadian-U.S. Exchange Rate: Evidence from a Vector Autoregression," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 628-637, November.
  7. Jayasuriya, S. K. & Shand, R. T., 1986. "Technical change and labor absorption in Asian agriculture: Some emerging trends," World Development, Elsevier, vol. 14(3), pages 415-428, March.
  8. Cooley, Thomas F. & Leroy, Stephen F., 1985. "Atheoretical macroeconometrics: A critique," Journal of Monetary Economics, Elsevier, vol. 16(3), pages 283-308, November.
  9. Angelsen, Arild, 1999. "Agricultural expansion and deforestation: modelling the impact of population, market forces and property rights," Journal of Development Economics, Elsevier, vol. 58(1), pages 185-218, February.
  10. Lopez, Ramon & Niklitschek, Mario, 1991. "Dual economic growth in poor tropical areas," Journal of Development Economics, Elsevier, vol. 36(2), pages 189-211, October.
  11. Edward B. Barbier, 1990. "The Farm-Level Economics of Soil Conservation: The Uplands of Java," Land Economics, University of Wisconsin Press, vol. 66(2), pages 199-211.
  12. Param Silvapulle & Sisira Jayasuriya, 1994. "Testing For Philippines Rice Market Integration: A Multiple Cointegration Approach," Journal of Agricultural Economics, Wiley Blackwell, vol. 45(3), pages 369-380.
  13. Mendoza, Meyra Sebello & Rosegrant, Mark W., 1995. "Pricing behavior in Philippine corn markets: implications for market efficiency," Research reports 101, International Food Policy Research Institute (IFPRI).
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