The Externalities Of The Land Usage In The Forest Sector

Oksana Sakal

Economics of Nature and the Environment, 2013, 139-146

Abstract: Theoretical and methodological principles of formation and internalization of externalities are analyzed. The essence of land use externalities in the forest sector are defined, and suggested possible solutions. Problems internalization of land use externalities currently determined by the complexity of their evaluation and the lack of techniques, deficiencies of the existing legal and regulatory methods of software, architecture mechanism for regulating environmental and economic activities, lack of motivation and incentives. Regulation of externalities and coordination of public and private interests in the process of internalizing possible means of direct and indirect influence of the state on business processes and market mechanisms. The complexity of the environment, and therefore social relations associated with its elements, manifested as network externalities of scale-free network exclusivity makes management decisions to ensure public welfare in each case. Identified and classified land use externalities in the forestry sector by source externality. The classification of externalities is offered as a basis for improving the mechanisms of development of land-tenure.

Date: 2013
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Persistent link: https://EconPapers.repec.org/RePEc:ene:journl:y:2013:p:139-146

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