Controlling tropical deforestation : an analysis of alternative policies
After discussing ownership issues related to tropical forests, the author develops a simple general equilibrium model to represent - at least in a stylized way - the salient aspects of the deforestation process. He uses the model to generate first- and second-best policy options for controlling deforestation and, later, to assess the environmental consequences of government policies often cited in the literature on deforestation. Property rights, though important for understanding the process of tropical deforestation, do not necessarily point to a simple or straightfoward fix for environmental problems, particularly in developing countries. The sheer size, communal nature of service flows, and pervasiveness of individual access to tropical forests make monitoring and enforcement costly in some situations and unimaginable in others. Redefining nominal rights in ways that appear to correct inefficiencies may yield gains in some cases, but an approach to environmental protection that leans heavily on this prescription seems aimed more at symptoms than at causes, says the author. Moreover, policy approaches based on the use of Pigovian taxes or marketable permit schemes may yield efficiency gains in some cases, but such approaches generally involve the same monitoring and enforcement problems that prevent the market from solving allocation problems. Simple, direct solutions to deforestation and other environmental problems are unavailable, but an ability to understand the environmental and welfare consequences of policies adopted for other reasons is useful - if only to help policymakers avoid mistakes that would otherwise go unrecognized. The model the author develops for this purpose is highly stylized and intended primarily to provide a systematic way of thinking about the environmental and welfare effects of government policy - for example, by considering patterns of substitution among inputs and outputs, in cases where an environmental resource to which people have free access is exploited. If the use of first-best policies is infeasible - whether because of monitoring costs, transboundary effects, or other reasons - then it becomes important to have detailed knowledge of patterns of substitution and complementarity among ordinary inputs and environmental resources, and information on the use of various environmental resources in the production of specific goods and services. Knowledge of such factors can permit policymakers to pursue policy goals in situations where first-best instruments are unavailable.
|Date of creation:||30 Nov 1992|
|Contact details of provider:|| Postal: 1818 H Street, N.W., Washington, DC 20433|
Phone: (202) 477-1234
Web page: http://www.worldbank.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.:
- repec:cdl:ucsbec:4-92 is not listed on IDEAS
- Pitt, Mark M., 1985. "Equity, externalities and energy subsidies The case of kerosine in Indonesia," Journal of Development Economics, Elsevier, vol. 17(3), pages 201-217, April.
- Lopez, Ramon & Niklitschek, Mario, 1991. "Dual economic growth in poor tropical areas," Journal of Development Economics, Elsevier, vol. 36(2), pages 189-211, October.
- Jeffrey R. Vincent, 1990. "Rent Capture and the Feasibility of Tropical Forest Management," Land Economics, University of Wisconsin Press, vol. 66(2), pages 212-223.
- William F. Hyde & Roger A. Sedjo, 1992. "Managing Tropical Forests: Reflections on the Rent Distribution Discussion," Land Economics, University of Wisconsin Press, vol. 68(3), pages 343-350.
- Roger A. Sedjo & A. Clark Wiseman, 1983. "The Effectiveness of an Export Restriction on Logs," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 65(1), pages 113-116.
- Stavins, Robert N & Jaffe, Adam B, 1990. "Unintended Impacts of Public Investments on Private Decisions: The Depletion of Forested Wetlands," American Economic Review, American Economic Association, vol. 80(3), pages 337-352, June.
When requesting a correction, please mention this item's handle: RePEc:wbk:wbrwps:1029. 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: (Roula I. Yazigi)
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.