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The implication of property rights for joint agriculture–timber productivity in the Brazilian Amazon

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  • Otsuki, Tsunehiro
  • Hardie, Ian W.
  • Reis, Eustáquio J.

Abstract

This paper examines the effects of the Brazilian governments' title granting policies on the efficiency of agricultural and timber production in the Brazilian Amazon. A two-stage procedure is used that combines Data Envelopment Analysis (DEA) and a Tobit regression. Provision of private land titles before 1995 is found to positively affect the technical efficiency of agricultural and joint agriculture–timber production in 1995. Governmental expenditures, including expenditures to secure property rights, also are found to increase technical efficiency in the agricultural industry. The analysis indicates that revenue efficiency can be improved by producing more roundwood and less agricultural product. Land-granting policies may favorably affect environmental conservation by intensifying land use in agriculture, but they also may harm development by discouraging timber production.

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  • Otsuki, Tsunehiro & Hardie, Ian W. & Reis, Eustáquio J., 2002. "The implication of property rights for joint agriculture–timber productivity in the Brazilian Amazon," Environment and Development Economics, Cambridge University Press, vol. 7(2), pages 299-323, May.
    • Handle: RePEc:cup:endeec:v:7:y:2002:i:02:p:299-323_00
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    References listed on IDEAS

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    1. Lopez, Ramon & Niklitschek, Mario, 1991. "Dual economic growth in poor tropical areas," Journal of Development Economics, Elsevier, vol. 36(2), pages 189-211, October.
    2. Mendelsohn, Robert, 1994. "Property Rights and Tropical Deforestation," Oxford Economic Papers, Oxford University Press, vol. 46(0), pages 750-756, Supplemen.
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    Cited by:

    1. Daniel Solís & Boris E. Bravo‐Ureta & Ricardo E. Quiroga, 2009. "Technical Efficiency among Peasant Farmers Participating in Natural Resource Management Programmes in Central America," Journal of Agricultural Economics, Wiley Blackwell, vol. 60(1), pages 202-219, February.
    2. Marchand, Sébastien, 2012. "The relationship between technical efficiency in agriculture and deforestation in the Brazilian Amazon," Ecological Economics, Elsevier, vol. 77(C), pages 166-175.
    3. Araujo, Claudio & Bonjean, Catherine Araujo & Combes, Jean-Louis & Combes Motel, Pascale & Reis, Eustaquio J., 2009. "Property rights and deforestation in the Brazilian Amazon," Ecological Economics, Elsevier, vol. 68(8-9), pages 2461-2468, June.
    4. Agnes Gold & Stefan Gold, 2019. "Drivers of Farm Efficiency and Their Potential for Development in a Changing Agricultural Setting in Kerala, India," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 31(4), pages 855-880, September.
    5. Henrique Batista de Barros, Pedro & Henrique Leite de Castro , Gustavo & Menezes-Filho, Naercio, 2022. "The human capital effect on productivity and agricultural frontier expansion in Brazil," TD NEREUS 6-2022, Núcleo de Economia Regional e Urbana da Universidade de São Paulo (NEREUS).
    6. Simar, Leopold & Wilson, Paul W., 2007. "Estimation and inference in two-stage, semi-parametric models of production processes," Journal of Econometrics, Elsevier, vol. 136(1), pages 31-64, January.
    7. Puppim de Oliveira, Jose Antonio, 2008. "Property rights, land conflicts and deforestation in the Eastern Amazon," Forest Policy and Economics, Elsevier, vol. 10(5), pages 303-315, April.
    8. Ester Gutiérrez & Sebastián Lozano, 2022. "Cross-country comparison of the efficiency of the European forest sector and second stage DEA approach," Annals of Operations Research, Springer, vol. 314(2), pages 471-496, July.
    9. Igliori, Danilo Camargo, 2005. "Determinants Of Technical Efficiency In Agriculture And Cattle Ranching: A Spatial Analysis For The Brazilian Amazon," Environmental Economy and Policy Research Discussion Papers 31927, University of Cambridge, Department of Land Economy.
    10. Ferreira, Marcelo Dias Paes & Féres, José Gustavo, 2020. "Farm size and Land use efficiency in the Brazilian Amazon," Land Use Policy, Elsevier, vol. 99(C).
    11. Marchand, Sébastien, 2016. "The colonial origins of deforestation: an institutional analysis," Environment and Development Economics, Cambridge University Press, vol. 21(3), pages 318-349, June.
    12. Kelvin Balcombe & Iain Fraser & Laure Latruffe & Mizanur Rahman & Laurence Smith, 2008. "An application of the DEA double bootstrap to examine sources of efficiency in Bangladesh rice farming," Applied Economics, Taylor & Francis Journals, vol. 40(15), pages 1919-1925.
    13. U Pascual, 2001. "Soil Degradation and Technical Efficiency in Shifting Cultivation: The Case of Yucatán (Mexico)," Economics Discussion Paper Series 0116, Economics, The University of Manchester.
    14. Sébastien MARCHAND, 2010. "Technical Ef?ciency, Farm Size and Tropical Deforestation in the Brazilian Amazonian Forest," Working Papers 201012, CERDI.
    15. Eliane Gomes & João Soares de Mello & Geraldo Souza & Lidia Angulo Meza & João Mangabeira, 2009. "Efficiency and sustainability assessment for a group of farmers in the Brazilian Amazon," Annals of Operations Research, Springer, vol. 169(1), pages 167-181, July.

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