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Is the Log Export Ban Effective? Revisiting the Issue through the Case of Indonesia

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  • Budy P. Resosudarmo

    (Australian National University, Research School of Pacific and Asian Studies)

  • Arief Anshory Yusuf

    (Australian National University, Research School of Pacific and Asian Studies)

Abstract

The effectiveness of a log export ban policy in achieving the twin goals of conservation and economic development has been vigorously debated by many researchers and policymakers for the last two decades or so. Despite the abundance of work focusing on this issue that demonstrates the perversity of this policy, many countries around the world still implement it. This paper will, first, review the economic and political arguments on the pros and cons of this policy. Second, it will review the Indonesian experience in implementing the policy in the 1980s and 2000s. Third, using a CGE model, this paper will predict the anticipated impact of implementing the log export ban policy on the national economy and on household incomes for various socio-economic groups.

Suggested Citation

  • Budy P. Resosudarmo & Arief Anshory Yusuf, 2006. "Is the Log Export Ban Effective? Revisiting the Issue through the Case of Indonesia," Economics and Environment Network Working Papers 0602, Australian National University, Economics and Environment Network.
    • Handle: RePEc:anu:eenwps:0602
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    References listed on IDEAS

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    1. John Perez‐Garcia & Bruce Lippke & Janet Baker, 1997. "Trade Barriers In The Pacific Forest Sector: Who Wins And Who Loses," Contemporary Economic Policy, Western Economic Association International, vol. 15(1), pages 87-103, January.
    2. 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.
    3. Pearson,Charles S., 2000. "Economics and the Global Environment," Cambridge Books, Cambridge University Press, number 9780521770026, September.
    4. Pearson,Charles S., 2000. "Economics and the Global Environment," Cambridge Books, Cambridge University Press, number 9780521779883, September.
    5. Goodland, Robert & Daly, Herman, 1996. "If tropical log export bans are so perverse, why are there so many?," Ecological Economics, Elsevier, vol. 18(3), pages 189-196, September.
    6. Edward Barbier & Michael Rauscher, 1994. "Trade, tropical deforestation and policy interventions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 4(1), pages 75-90, February.
    7. Nalin Kishor & Muthukumara Mani & Luis Constantino, 2004. "Economic and Environmental Benefits of Eliminating Log Export Bans – The Case of Costa Rica," The World Economy, Wiley Blackwell, vol. 27(4), pages 609-624, April.
    8. Dean, Judith M, 1995. "Export Bans, Environment, and Developing Country Welfare," Review of International Economics, Wiley Blackwell, vol. 3(3), pages 319-329, October.
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    Cited by:

    1. Stephen V. Marks & Sjamsu Rahardja, 2012. "Effective rates of protection revisited for Indonesia," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 48(1), pages 57-84, April.
    2. World Bank, 2014. "Gabon Export Diversification and Competitiveness Report [Rapport sur la diversification et la compétitivité des exportations en République Gabonaise : Améliorer le climat d'investissement pour dive," World Bank Publications - Reports 21806, The World Bank Group.
    3. Prema-Chandra Athukorala, 2006. "Post-crisis export performance: The Indonesian experience in regional perspective," Bulletin of Indonesian Economic Studies, Taylor & Francis Journals, vol. 42(2), pages 177-211.

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    More about this item

    Keywords

    log export ban policy; conservation and economic development; national economy; household incomes; CGE;
    All these keywords.

    JEL classification:

    • Q00 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - General

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