Protection and Profit: Empirical Evidence of Governmental and Market-based Forest Policies

Julika Herzberg ()
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Julika Herzberg: Aachen university

MAGKS Papers on Economics from Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung)

Abstract: In this paper, I study the effectiveness of privately managed FSC certified forests and public sustainability reserves distributed over the entire Brazilian Amazon from 2002-2015. The paper uses high-resolution data on forest cover derived from satellite images and organized in a grid of 1 km2 cells. Using a difference-in-differences estimator in a regression discontinuity environment, I find an increase in deforestation of an annual area of 8,057 ha in FSC forests after the certification. Public sustainability zones' impact on deforestation is also positive but declines over time. The effectiveness of both type of zones improves if they are located closer to (export) markets or existing infrastructure.

Keywords: deforestation; commodity prices; sustainable forest management (search for similar items in EconPapers)
JEL-codes: J43 O13 O14 Q15 Q17 (search for similar items in EconPapers)
Pages: 101 pages
Date: 2019
New Economics Papers: this item is included in nep-agr, nep-big and nep-env
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Persistent link: https://EconPapers.repec.org/RePEc:mar:magkse:201901

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