Do Payments for Environmental Services Affect Forest Cover? A Farm-Level Evaluation from Costa Rica
Rodrigo Arriagada (),
Paul Ferraro,
Erin O. Sills,
Subhrendu Pattanayak and
Silvia Cordero-Sancho
Land Economics, 2012, vol. 88, issue 2
Abstract:
Payments for environmental services (PES) are popular despite little empirical evidence of their effectiveness. We estimate the impact of PES on forest cover in a region known for exemplary implementation of one of the best-known and longest-lived PES programs. Our evaluation design combines sampling that incorporates prematching, data from remote sensing and household surveys, and empirical methods that include partial identification with weak assumptions, difference-in-differences matching estimators, and tests of sensitivity to unobservable heterogeneity. PES in our study site increased participating farm forest cover by about 11% to 17% of the mean area under PES contract over eight years.
JEL-codes: Q57 Q58 (search for similar items in EconPapers)
Date: 2012
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Citations: View citations in EconPapers (96)
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Persistent link: https://EconPapers.repec.org/RePEc:uwp:landec:v:88:y:2012:ii:1:p:382-399
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