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Market Integration, Development, and Smallholder Forest Clearance

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  • Linwood H. Pendleton
  • E. Lance Howe

Abstract

A significant proportion of deforestation in Latin America is caused by smallholders living at the frontier of modern rural markets. This paper develops a household model that examines the roles of market integration, subsistence, time preference, and non-timber forest uses in the household’s decision to clear forest for future agriculture. The model explores the possible impacts of development programs that encourage market integration. The model shows that rates of forest clearance should be exacerbated in areas in which market integration is most rapid. An empirical estimation, using household data from the Tsimane people of Bolivia, tests hypotheses from the model.

Suggested Citation

  • Linwood H. Pendleton & E. Lance Howe, 2002. "Market Integration, Development, and Smallholder Forest Clearance," Land Economics, University of Wisconsin Press, vol. 78(1), pages 1-19.
    • Handle: RePEc:uwp:landec:v:78:y:2002:i:1:p:1-19
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    Cited by:

    1. Babigumira, Ronnie & Angelsen, Arild & Buis, Maarten & Bauch, Simone & Sunderland, Terry & Wunder, Sven, 2014. "Forest Clearing in Rural Livelihoods: Household-Level Global-Comparative Evidence," World Development, Elsevier, vol. 64(S1), pages 67-79.
    2. Yoshito Takasaki, 2013. "Deforestation, forest fallowing, and soil conservation in shifting cultivation," Tsukuba Economics Working Papers 2013-003, Faculty of Humanities and Social Sciences, University of Tsukuba.
    3. Gregory S. Amacher & Erkki Koskela & Markku Ollikainen, 2004. "Deforestation, Production Intensity and Land Use under Insecure Property Rights," CESifo Working Paper Series 1128, CESifo.
    4. Francisco Fontes & Charles Palmer, 2017. "Was von Thünen right? Cattle intensification and deforestation in Brazil," GRI Working Papers 261, Grantham Research Institute on Climate Change and the Environment.
    5. Angelsen, Arild, 2007. "Forest cover change in space and time : combining the von Thunen and forest transition theories," Policy Research Working Paper Series 4117, The World Bank.
    6. Zwane, Alix Peterson, 2007. "Does poverty constrain deforestation? Econometric evidence from Peru," Journal of Development Economics, Elsevier, vol. 84(1), pages 330-349, September.
    7. Gugissa, Desalegn A. & Ingenbleek, Paul T.M. & van Trijp, Hans C.M., 2021. "Market knowledge as a driver of sustainable use of common-pool resources: A lab-in-the-field study among pastoralists in Ethiopia," Ecological Economics, Elsevier, vol. 185(C).
    8. Bowman, Maria S. & Amacher, Gregory S. & Merry, Frank D., 2008. "Fire use and prevention by traditional households in the Brazilian Amazon," Ecological Economics, Elsevier, vol. 67(1), pages 117-130, August.
    9. Schneider, Laura & Geoghegan, Jacqueline, 2006. "Land Abandonment in an Agricultural Frontier After a Plant Invasion: The Case of Bracken Fern in Southern Yucatán, Mexico," Agricultural and Resource Economics Review, Cambridge University Press, vol. 35(1), pages 167-177, April.
    10. Miteva, Daniela A. & Kramer, Randall A. & Brown, Zachary & Smith, Martin, 2013. "A spatial model of household fuelwood extraction in northern Uganda," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150523, Agricultural and Applied Economics Association.
    11. Amacher, Gregory S. & Merry, Frank D. & Bowman, Maria S., 2009. "Smallholder timber sale decisions on the Amazon frontier," Ecological Economics, Elsevier, vol. 68(6), pages 1787-1796, April.
    12. Sheila M W Reddy & Theodore Groves & Sriniketh Nagavarapu, 2014. "Consequences of a Government-Controlled Agricultural Price Increase on Fishing and the Coral Reef Ecosystem in the Republic of Kiribati," PLOS ONE, Public Library of Science, vol. 9(5), pages 1-11, May.
    13. Yoshito Takasaki, 2011. "Economic models of shifting cultivation: a review," Tsukuba Economics Working Papers 2011-006, Faculty of Humanities and Social Sciences, University of Tsukuba.
    14. Yoshito Takasaki & Oliver T. Coomes & Christian Abizaid & Stéphanie Brisson, 2014. "An Efficient Nonmarket Institution under Imperfect Markets: Labor Sharing for Tropical Forest Clearing," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 96(3), pages 711-732.
    15. Wu, Yu & Sills, Erin O., 2018. "The Evolving Relationship between Market Access and Deforestation on the Amazon Frontier," 2018 Annual Meeting, August 5-7, Washington, D.C. 274317, Agricultural and Applied Economics Association.
    16. Kramer, Daniel Boyd & Urquhart, Gerald & Schmitt, Kristen, 2009. "Globalization and the connection of remote communities: A review of household effects and their biodiversity implications," Ecological Economics, Elsevier, vol. 68(12), pages 2897-2909, October.
    17. Mani Nepal & Alok K. Bohara & Robert P. Berrens, 2007. "The Impacts of Social Networks and Household Forest Conservation Efforts in Rural Nepal," Land Economics, University of Wisconsin Press, vol. 83(2), pages 174-191.
    18. Fernandez, Linda, 2006. "Natural resources, agriculture and property rights," Ecological Economics, Elsevier, vol. 57(3), pages 359-373, May.
    19. Schultner, Jannik & Dorresteijn, Ine & Manlosa, Aisa O. & von Wehrden, Henrik & Hylander, Kristoffer & Senbeta, Feyera & Fischer, Joern, 2021. "Ecosystem services from forest and farmland: Present and past access separates beneficiaries in rural Ethiopia," Ecosystem Services, Elsevier, vol. 48(C).
    20. Godoy, Ricardo & Reyes-García, Victoria & Vadez, Vincent & Leonard, William R. & Tanner, Susan & Huanca, Toms & Wilkie, David, 2009. "The relation between forest clearance and household income among native Amazonians: Results from the Tsimane' Amazonian panel study, Bolivia," Ecological Economics, Elsevier, vol. 68(6), pages 1864-1871, April.

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    JEL classification:

    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry

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