Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services

The article discusses whether deforestation in the Amazonian region should be considered a typical case of market failure and computes the opportunity cost of economic activities that promote deforestation relative to uses that keep the forest intact. For environmental resources threatened by Amazon...

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Autores principales: Diniz, Marcelo Bentes, Alves, Vanesa Da Paixão, diniz, Márcia Jucá Teixeira
Formato: Texto
Lenguaje:English
Publicado: 2019
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Acceso en línea:http://hdl.handle.net/11362/44560
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spelling oai-11362-445602019-08-28T20:35:04Z Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services Diniz, Marcelo Bentes Alves, Vanesa Da Paixão diniz, Márcia Jucá Teixeira DEFORESTACION DEGRADACION FORESTAL ASPECTOS ECONOMICOS COSTOS ANALISIS COSTO-BENEFICIO USO DE LA TIERRA AGRICULTURA INDUSTRIA GANADERA SILVICULTURA ECONOMIA AMBIENTAL GESTION AMBIENTAL DEFORESTATION FOREST DEGRADATION ECONOMIC ASPECTS COSTS COST-BENEFIT ANALYSIS LAND USE AGRICULTURE LIVESTOCK INDUSTRY SILVICULTURE ENVIRONMENTAL ECONOMICS ENVIRONMENTAL MANAGEMENT The article discusses whether deforestation in the Amazonian region should be considered a typical case of market failure and computes the opportunity cost of economic activities that promote deforestation relative to uses that keep the forest intact. For environmental resources threatened by Amazon deforestation, forms of productive land use (“opportunity” uses) are considered in terms of the net benefit values of primary land-based activities. The accounting exercise conducted in this study calculates the net benefit per hectare obtained from the direct use value (DUV) for different land use alternatives (timber, non-timber, livestock and agriculture); the indirect use value (IUV) related to carbon storage; and the non-use value (NUV) (existence value). The results show that the opportunity cost of deforestation in 2009 was positive for the most common land use, livestock activity. Such findings indicate a market failure. Nonetheless, this is not the only possible outcome when considering alternative land uses. 2019-04-08T21:46:13Z 2019-04-08T21:46:13Z 2018-12-17 Texto Sección o Parte de un Documento http://hdl.handle.net/11362/44560 LC/PUB.2018/26-P 6 en CEPAL Review CEPAL Review 126 .pdf application/pdf BRASIL BRAZIL
institution Cepal
collection Cepal
language English
topic DEFORESTACION
DEGRADACION FORESTAL
ASPECTOS ECONOMICOS
COSTOS
ANALISIS COSTO-BENEFICIO
USO DE LA TIERRA
AGRICULTURA
INDUSTRIA GANADERA
SILVICULTURA
ECONOMIA AMBIENTAL
GESTION AMBIENTAL
DEFORESTATION
FOREST DEGRADATION
ECONOMIC ASPECTS
COSTS
COST-BENEFIT ANALYSIS
LAND USE
AGRICULTURE
LIVESTOCK INDUSTRY
SILVICULTURE
ENVIRONMENTAL ECONOMICS
ENVIRONMENTAL MANAGEMENT
spellingShingle DEFORESTACION
DEGRADACION FORESTAL
ASPECTOS ECONOMICOS
COSTOS
ANALISIS COSTO-BENEFICIO
USO DE LA TIERRA
AGRICULTURA
INDUSTRIA GANADERA
SILVICULTURA
ECONOMIA AMBIENTAL
GESTION AMBIENTAL
DEFORESTATION
FOREST DEGRADATION
ECONOMIC ASPECTS
COSTS
COST-BENEFIT ANALYSIS
LAND USE
AGRICULTURE
LIVESTOCK INDUSTRY
SILVICULTURE
ENVIRONMENTAL ECONOMICS
ENVIRONMENTAL MANAGEMENT
Diniz, Marcelo Bentes
Alves, Vanesa Da Paixão
diniz, Márcia Jucá Teixeira
Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services
description The article discusses whether deforestation in the Amazonian region should be considered a typical case of market failure and computes the opportunity cost of economic activities that promote deforestation relative to uses that keep the forest intact. For environmental resources threatened by Amazon deforestation, forms of productive land use (“opportunity” uses) are considered in terms of the net benefit values of primary land-based activities. The accounting exercise conducted in this study calculates the net benefit per hectare obtained from the direct use value (DUV) for different land use alternatives (timber, non-timber, livestock and agriculture); the indirect use value (IUV) related to carbon storage; and the non-use value (NUV) (existence value). The results show that the opportunity cost of deforestation in 2009 was positive for the most common land use, livestock activity. Such findings indicate a market failure. Nonetheless, this is not the only possible outcome when considering alternative land uses.
format Texto
author Diniz, Marcelo Bentes
Alves, Vanesa Da Paixão
diniz, Márcia Jucá Teixeira
author_facet Diniz, Marcelo Bentes
Alves, Vanesa Da Paixão
diniz, Márcia Jucá Teixeira
author_sort Diniz, Marcelo Bentes
title Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services
title_short Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services
title_full Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services
title_fullStr Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services
title_full_unstemmed Does Amazonian land use display market failure? An opportunity-cost approach to the analysis of Amazonian environmental services
title_sort does amazonian land use display market failure? an opportunity-cost approach to the analysis of amazonian environmental services
publishDate 2019
url http://hdl.handle.net/11362/44560
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