Agricultural Trade and Deforestation: the Role of New Roads

Douglas Gollin () and Julien Wolfersberger

Working Papers from HAL

Abstract: In this paper, we study how new roads affect the spatial patterns of agricultural production and consequently impact deforestation and development outcomes, focusing on the historical experience of Brazil. We find that the expansion of Brazil's road network since the 1990s can account for up to one quarter of the total amount of deforestation that the country has experienced, with significant variation across regions. Perhaps surprisingly, our results suggest that the increase in agricultural income attributable to road construction has been more limited. Turning to the future, we examine the potential impact of Brazil's official infrastructure plans, and we quantify the ecological costs of improving market access in currently isolated areas.

Keywords: Trade Frictions; Natural Resources; Spatial Economics (search for similar items in EconPapers)
Date: 2024-11-04
Note: View the original document on HAL open archive server: https://agroparistech.hal.science/hal-04171124v3
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