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Does Land Tenure Insecurity Drive Deforestation in the Brazilian Amazon?

Listed author(s):
  • Claudio Araujo

    (CERDI - Centre d'études et de recherches sur le developpement international - CNRS - Université d'Auvergne - Clermont-Ferrand I)

  • Catherine Araujo Bonjean

    (CERDI - Centre d'études et de recherches sur le developpement international - CNRS - Université d'Auvergne - Clermont-Ferrand I)

  • Jean-Louis Combes

    (CERDI - Centre d'études et de recherches sur le developpement international - CNRS - Université d'Auvergne - Clermont-Ferrand I)

  • Pascale Combes Motel

    (CERDI - Centre d'études et de recherches sur le developpement international - CNRS - Université d'Auvergne - Clermont-Ferrand I)

  • Eustaquio J. Reis

    (IPEA - Instituto de Pesquisa Econômica Aplicada - Ministère de l'Economie)

The purpose of this paper is to highlight the detrimental impact of land tenure insecurity on deforestation in the Brazilian Amazon. It is related to recent controversies about the detrimental impact of land laws on deforestation, which seem to legitimize land encroachments. The latter is mainly the result of land tenure insecurity which is a key characteristic of this region and results from a long history of interactions between rural social unrest and land reforms or land laws. A simple model is developed where strategic interactions between farmers lead to excessive deforestation. One of the empirical implications of the model is a positive relationship between land tenure insecurity and the extent of deforestation. The latter is tested on data from a panel of Brazilian Amazon municipalities. The negative effect of land tenure insecurity proxied by the number of squatters on deforestation is not rejected when estimations are controlled for the possible endogeneity of squatters. One of the main policy implications is that ex post legalizations of settlements must be accompanied by the enforcement of environmental obligations.

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Paper provided by HAL in its series Working Papers with number halshs-00553158.

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Date of creation: 06 Jan 2011
Handle: RePEc:hal:wpaper:halshs-00553158
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