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Agricultural intensification, local labor markets, and deforestation in the Philippines

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  • SHIVELY, GERALD
  • PAGIOLA, STEFANO

Abstract

This paper examines agricultural intensification and its impact on deforestation in a frontier region of the Philippines. Panel data covering the period 1994–2000 are used to study labor demand and resource reallocation in response to lowland irrigation development. Results illustrate how irrigation has led to changes in employment, incomes, and activities at the forest margin. Findings indicate that the off-farm employment opportunities created by irrigation development have helped to reduce rates of forest clearing. Although some initial employment gains have been reversed, wage-induced increases in agricultural productivity in the uplands have reduced forest pressure. Results show that lowland irrigation has had direct, indirect, and lagged effects on rates of forest clearing, and that a virtuous cycle may be at play, with irrigation leading to both poverty reduction and reduced forest pressure.

Suggested Citation

  • Shively, Gerald & Pagiola, Stefano, 2004. "Agricultural intensification, local labor markets, and deforestation in the Philippines," Environment and Development Economics, Cambridge University Press, vol. 9(2), pages 241-266, May.
    • Handle: RePEc:cup:endeec:v:9:y:2004:i:02:p:241-266_00
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    Cited by:

    1. Teklewold, Hailemariam, 2011. "Farming or burning? shadow prices and farmer’s impatience on the allocation of multi-purpose resource in the mixed farming system of Ethiopia," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 116080, European Association of Agricultural Economists.
    2. Araujo, Claudio & Combes, Jean-Louis & Féres, José Gustavo, 2019. "Determinants of Amazon deforestation: the role of off-farm income," Environment and Development Economics, Cambridge University Press, vol. 24(2), pages 138-156, April.
    3. Andersen, Lykke E. & Groom, Ben & Killick, Evan & Ledezma, Juan Carlos & Palmer, Charles & Weinhold, Diana, 2017. "Modelling Land Use, Deforestation, and Policy: A Hybrid Optimisation-Heterogeneous Agent Model with Application to the Bolivian Amazon," Ecological Economics, Elsevier, vol. 135(C), pages 76-90.
    4. Babigumira, Ronnie & Angelsen, Arild & Buis, Maarten & Bauch, Simone & Sunderland, Terry & Wunder, Sven, 2014. "Forest Clearing in Rural Livelihoods: Household-Level Global-Comparative Evidence," World Development, Elsevier, vol. 64(S1), pages 67-79.
    5. Nelson B. Villoria & Derek Byerlee & James Stevenson, 2014. "The Effects of Agricultural Technological Progress on Deforestation: What Do We Really Know?," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 36(2), pages 211-237.
    6. Saraly Andrade de Sá & Charles Palmer & Stefanie Engel, 2012. "Ethanol Production, Food and Forests," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 51(1), pages 1-21, January.
    7. Veronesi, Marcella & Reutemann, Tim & Zabel, Astrid & Engel, Stefanie, 2015. "Designing REDD+ schemes when forest users are not forest landowners: Evidence from a survey-based experiment in Kenya," Ecological Economics, Elsevier, vol. 116(C), pages 46-57.
    8. Groom, Ben & Palmer, Charles, 2014. "Relaxing constraints as a conservation policy," Environment and Development Economics, Cambridge University Press, vol. 19(4), pages 505-528, August.
    9. Barbier,Edward B., 2007. "Natural Resources and Economic Development," Cambridge Books, Cambridge University Press, number 9780521706513.
    10. Antoine Leblois, 2021. "Mitigating the impact of bad rainy seasons in poor agricultural regions to tackle deforestation," Post-Print hal-03111007, HAL.
    11. Shively, Gerald & Yao, Richard, 2015. "Poverty, Income Inequality, and Irrigation Development: Longitudinal Evidence from Palawan, Philippines," Asian Journal of Agriculture and Development, Southeast Asian Regional Center for Graduate Study and Research in Agriculture (SEARCA), vol. 12(1), pages 1-18, June.
    12. Taruvinga, Amon & Mushunje, Abbyssinia, 2012. "Buffer zone income dynamics for the sub-district producer community: Implications for rural off-farm income, income inequality and the development of household agriculture," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126377, International Association of Agricultural Economists.
    13. Kramer, Daniel Boyd & Urquhart, Gerald & Schmitt, Kristen, 2009. "Globalization and the connection of remote communities: A review of household effects and their biodiversity implications," Ecological Economics, Elsevier, vol. 68(12), pages 2897-2909, October.
    14. Carr, Jamie A. & Petrokofsky, Gillian & Spracklen, Dominick V. & Lewis, Simon L. & Roe, Dilys & Trull, Nicholas & Vidal, Adriana & Wicander, Sylvia & Worthington-Hill, John & Sallu, Susannah M., 2021. "Anticipated impacts of achieving SDG targets on forests - a review," Forest Policy and Economics, Elsevier, vol. 126(C).
    15. Namara, Regassa E. & Hanjra, Munir A. & Castillo, Gina E. & Ravnborg, Helle Munk & Smith, Lawrence & Van Koppen, Barbara, 2010. "Agricultural water management and poverty linkages," Agricultural Water Management, Elsevier, vol. 97(4), pages 520-527, April.
    16. Mazunda, John & Shively, Gerald, 2015. "Measuring the forest and income impacts of forest user group participation under Malawi's Forest Co-management Program," Ecological Economics, Elsevier, vol. 119(C), pages 262-273.
    17. Beauchamp, Emilie & Clements, Tom & Milner-Gulland, E.J., 2018. "Exploring trade-offs between development and conservation outcomes in Northern Cambodia," Land Use Policy, Elsevier, vol. 71(C), pages 431-444.
    18. Elisabeth Hettig & Jann Lay & Kacana Sipangule, 2016. "Drivers of Households’ Land-Use Decisions: A Critical Review of Micro-Level Studies in Tropical Regions," Land, MDPI, vol. 5(4), pages 1-32, October.
    19. Ly, Alpha & Chakir, Raja & Creti, Anna, 2024. "Electrification or deforestation? Evidence from household practices in Côte d’Ivoire," Energy Economics, Elsevier, vol. 136(C).
    20. Robinson, Lance W. & Ericksen, Polly J. & Chesterman, Sabrina & Worden, Jeffrey S., 2015. "Sustainable intensification in drylands: What resilience and vulnerability can tell us," Agricultural Systems, Elsevier, vol. 135(C), pages 133-140.
    21. Bayou Demeke & Ian Coxhead, 2005. "The Effect of National Policies and Labor Market on Land Use Decisions in Developing Countries: An Application of Maximum Simulated Likelihood to System of Censored Acreages with Panel Data," Others 0503007, University Library of Munich, Germany.

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