Public expenses, credit and natural capital: Substitution or complementarity?
Improving access to capital through credit and public spendings is an important step toward development and poverty alleviation. At the same time, deforestation-related activities, like agricultural expansion, can be seen as relying on natural capital, through the depletion of forest resources and the use of land in an extensive way. It is then important to better understand how a better access to capital influences the use of land as a natural capital. This paper assesses the relationship between financial development, public spendings and deforestation. Are they substitute or complement? Our econometric analysis shows that deforestation is positively correlated to access to credit and public spendings, which gives some evidence that natural capital is a complement to credit and public spendings.
|Date of creation:||2014|
|Contact details of provider:|| Postal: 65 Bd. F. Mitterrand, 63000 Clermont-Ferrand|
Phone: (33-4) 73 17 74 00
Fax: (33-4) 73 17 74 28
Web page: http://cerdi.org/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Azqueta, Diego & Sotelsek, Daniel, 2007. "Valuing nature: From environmental impacts to natural capital," Ecological Economics, Elsevier, vol. 63(1), pages 22-30, June.
- Arcand, Jean-Louis & Guillaumont, Patrick & Jeanneney, Sylviane Guillaumont, 2008.
"Deforestation and the real exchange rate,"
Journal of Development Economics,
Elsevier, vol. 86(2), pages 242-262, June.
- Jean-Louis ARCAND & Patrick GUILLAUMONT & Sylviane GUILLAUMONT JEANNENEY, 2003. "Deforestation and the Real Exchange Rate," Working Papers 200332, CERDI.
- Jean-Louis Arcand & Patrick Guillaumont & Sylviane Guillaumont Jeanneney, 2011. "Deforestation and the Real Exchange Rate," Working Papers halshs-00570477, HAL.
- Jean-Louis ARCAND & Patrick GUILLAUMONT & Sylviane GUILLAUMONT JEANNENEY, 2005. "Deforestation and the Real Exchange Rate," Working Papers 200533, CERDI.
- Jean-Louis Arcand & Sylviane Guillaumont Jeanneney & Patrick Guillaumont, 2008. "Deforestation and the Real Exchange Rate," Post-Print hal-00274384, HAL.
- Rudel, Tom & Roper, Jill, 1997. "The paths to rain forest destruction: Crossnational patterns of tropical deforestation, 1975-1990," World Development, Elsevier, vol. 25(1), pages 53-65, January.
- Odedokun, M. O., 1996. "International evidence on the effects of directed credit programmes on efficiency of resource allocation in developing countries: The case of development bank lendings," Journal of Development Economics, Elsevier, vol. 48(2), pages 449-460, March.
- R. M. Solow, 1974. "Intergenerational Equity and Exhaustible Resources," Review of Economic Studies, Oxford University Press, vol. 41(5), pages 29-45.
- R. M. Solow, 1973. "Intergenerational Equity and Exhaustable Resources," Working papers 103, Massachusetts Institute of Technology (MIT), Department of Economics.
- Daly, Herman E., 1997. "Georgescu-Roegen versus Solow/Stiglitz," Ecological Economics, Elsevier, vol. 22(3), pages 261-266, September.
- Celentano, Danielle & Sills, Erin & Sales, Marcio & Veríssimo, Adalberto, 2012. "Welfare Outcomes and the Advance of the Deforestation Frontier in the Brazilian Amazon," World Development, Elsevier, vol. 40(4), pages 850-864.
- Susana Ferreira, 2004. "Deforestation, Property Rights, and International Trade," Land Economics, University of Wisconsin Press, vol. 80(2), pages 174-193.
- Damette, Olivier & Delacote, Philippe, 2012. "On the economic factors of deforestation: What can we learn from quantile analysis?," Economic Modelling, Elsevier, vol. 29(6), pages 2427-2434.
- Olivier Damette & Philippe Delacote, 2011. "On the economic factors of deforestation: what can we learn from quantile analysis?," Working Papers 1110, Chaire Economie du climat.
- Olivier Damette & Philippe Delacote, 2012. "On the economic factors of deforestation: what can we learn from quantile analysis?," Post-Print hal-01019816, HAL.
- Angelsen, Arild & Kaimowitz, David, 1999. "Rethinking the Causes of Deforestation: Lessons from Economic Models," World Bank Research Observer, World Bank Group, vol. 14(1), pages 73-98, February.
- Gregmar Galinato & Suzette Galinato, 2013. "The Role of Government Spending on Deforestation and Carbon Dioxide Emissions from Land Use Change," Working Papers 2013-14, School of Economic Sciences, Washington State University.
- Nickell, Stephen J, 1981. "Biases in Dynamic Models with Fixed Effects," Econometrica, Econometric Society, vol. 49(6), pages 1417-1426, November.
- Barro, Robert J, 1990. "Government Spending in a Simple Model of Endogenous Growth," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 103-126, October.
- Robert J. Barro, 1988. "Government Spending in a Simple Model of Endogenous Growth," NBER Working Papers 2588, National Bureau of Economic Research, Inc.
- Barro, Robert J., 1990. "Government Spending in a Simple Model of Endogeneous Growth," Scholarly Articles 3451296, Harvard University Department of Economics.
- Barro, R.J., 1988. "Government Spending In A Simple Model Of Endogenous Growth," RCER Working Papers 130, University of Rochester - Center for Economic Research (RCER).
- Joseph Stiglitz, 1974. "Growth with Exhaustible Natural Resources: Efficient and Optimal Growth Paths," Review of Economic Studies, Oxford University Press, vol. 41(5), pages 123-137.
- Godoy, Ricardo & O'neill, Kathleen & Groff, Stephen & Kostishack, Peter & Cubas, Adoni & Demmer, Josephien & Mcsweeney, Kendra & Overman, Johannes & Wilkie, David & Brokaw, Nicholas & Martinez, Marque, 1997. "Household determinants of deforestation by amerindians in honduras," World Development, Elsevier, vol. 25(6), pages 977-987, June.
- Partha Dasgupta & Geoffrey Heal, 1974. "The Optimal Depletion of Exhaustible Resources," Review of Economic Studies, Oxford University Press, vol. 41(5), pages 3-28.
- Edward B. Barbier, 2003. "The Role of Natural Resources in Economic Development," Australian Economic Papers, Wiley Blackwell, vol. 42(2), pages 253-272, 06.
- Edward Barbier, 2002. "The Role of Natural Resources in Economic Development," Centre for International Economic Studies Working Papers 2002-27, University of Adelaide, Centre for International Economic Studies.
- Edward B. Barbier, 2001. "The Economics of Tropical Deforestation and Land Use: An Introduction to the Special Issue," Land Economics, University of Wisconsin Press, vol. 77(2), pages 155-171.
- Damette, Olivier & Delacote, Philippe, 2011. "Unsustainable timber harvesting, deforestation and the role of certification," Ecological Economics, Elsevier, vol. 70(6), pages 1211-1219, April.
- repec:dau:papers:123456789/10234 is not listed on IDEAS
- Susana Ferreira & Jeffrey Vincent, 2010. "Governance and Timber Harvests," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 47(2), pages 241-260, October.
- Henk Folmer & G. Cornelis van Kooten, 2006. "Deforestation," Working Papers 2006-06, University of Victoria, Department of Economics, Resource Economics and Policy Analysis Research Group.
- Giovanni Ruta & Kirk Hamilton, 2007. "The Capital Approach to Sustainability," Chapters,in: Handbook of Sustainable Development, chapter 3 Edward Elgar Publishing.
- Choumert, Johanna & Combes Motel, Pascale & Dakpo, Hervé K., 2013. "Is the Environmental Kuznets Curve for deforestation a threatened theory? A meta-analysis of the literature," Ecological Economics, Elsevier, vol. 90(C), pages 19-28.
- Johanna Choumert & Pascale Combes Motel & K. Herve Dakpo, 2013. "Is the Environmental Kuznets Curve for deforestation a threatened theory? A meta-analysis of the literature," Post-Print halshs-00806629, HAL.
- Bulte, Erwin H. & Damania, Richard & Lopez, Ramon, 2007. "On the gains of committing to inefficiency: Corruption, deforestation and low land productivity in Latin America," Journal of Environmental Economics and Management, Elsevier, vol. 54(3), pages 277-295, November.
- David Roodman, 2009. "A Note on the Theme of Too Many Instruments," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 71(1), pages 135-158, February.
- David Roodman, 2007. "A Note on the Theme of Too Many Instruments," Working Papers 125, Center for Global Development.
- Cropper, Maureen & Griffiths, Charles, 1994. "The Interaction of Population Growth and Environmental Quality," American Economic Review, American Economic Association, vol. 84(2), pages 250-254, May.
- Culas, Richard J., 2007. "Deforestation and the environmental Kuznets curve: An institutional perspective," Ecological Economics, Elsevier, vol. 61(2-3), pages 429-437, March.
- Manuel Arellano & Stephen Bond, 1991. "Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations," Review of Economic Studies, Oxford University Press, vol. 58(2), pages 277-297.
- Tom Doan, "undated". "RATS program to replicate Arellano-Bond 1991 dynamic panel," Statistical Software Components RTZ00169, Boston College Department of Economics.
- Bhattarai, Madhusudan & Hammig, Michael, 2001. "Institutions and the Environmental Kuznets Curve for Deforestation: A Crosscountry Analysis for Latin America, Africa and Asia," World Development, Elsevier, vol. 29(6), pages 995-1010, June.
- Kahn, James R. & McDonald, Judith A., 1995. "Third-world debt and tropical deforestation," Ecological Economics, Elsevier, vol. 12(2), pages 107-123, February.
- Ge, Ying & Qiu, Jiaping, 2007. "Financial development, bank discrimination and trade credit," Journal of Banking & Finance, Elsevier, vol. 31(2), pages 513-530, February.
- Hung, Fu-Sheng & Cothren, Richard, 2002. "Credit market development and economic growth," Journal of Economics and Business, Elsevier, vol. 54(2), pages 219-237.
- Andrew D. Foster & Mark R. Rosenzweig, 2003. "Economic Growth and the Rise of Forests," The Quarterly Journal of Economics, Oxford University Press, vol. 118(2), pages 601-637. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:cdi:wpaper:1549. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Vincent Mazenod)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.