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Economic policies and the environment: The case of tree planting on low-income farms in the Philippines

TR Number

Date

1998

Journal Title

Journal ISSN

Volume Title

Publisher

Cambridge, UK ; New York, NY: Cambridge University Press

Abstract

This paper assesses the influences of economic policies and agricultural prices on farmers' land use decisions and the environmental consequences. The author applies a stochastic dynamic household model to study the tree planting decisions made by small holder farmers in the Philippines. The simulation results reveal that both the relative prices and the variability of the prices significantly influence tree planting choices. Although low-income farmers are wary of the risks of tree crop adoption, the aversion to risk can be with policies that make tree crops more attractive choices. This paper also discusses the influence of cropping patterns on soil erosion and local biodiversity.

Description

Metadata only record

Keywords

Biodiversity, Economic policy, Environmental impacts, Soil erosion, Tropical zones, Agriculture, Agrobiodiversity, Modeling, Economic modeling and analysis, Vulnerability and risk, Tree crops, Stochastic dynamic household model, Low-income farms, Price risk, Price variability, Cropping patterns, Mango, Farm/Enterprise Scale

Citation

Environment and Development Economics 3(1): 83-104