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Forest plantation development, poverty, and inequality in Laos: A dynamic CGE microsimulation analysis

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  • Phimmavong, Somvang
  • Keenan, Rodney J.

Abstract

Lao People's Democratic Republic (hereafter Lao PDR or Laos) has implemented policies to expand plantations on the basis of their contribution to economic development, improvement of local livelihoods, poverty alleviation, developing linkages between the processing industry and smallholder growers, and improving environmental outcomes. Despite the significant inflow in foreign investment in forest plantations, few studies have attempted to analyse the contribution of foreign investment to income distribution and poverty. This paper uses a top-down macro-micro economic modelling framework to assess the impacts of plantation development policies on poverty and inequality in Laos. The results revealed that welfare and inequality would increase while poverty incidence would decrease. These results can be used to improve policies for economic development and poverty alleviation.

Suggested Citation

  • Phimmavong, Somvang & Keenan, Rodney J., 2020. "Forest plantation development, poverty, and inequality in Laos: A dynamic CGE microsimulation analysis," Forest Policy and Economics, Elsevier, vol. 111(C).
  • Handle: RePEc:eee:forpol:v:111:y:2020:i:c:s1389934119303387
    DOI: 10.1016/j.forpol.2019.102055
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    References listed on IDEAS

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    1. Koch, Susanne & Matviichuk, Elena, 2021. "Patterns of inequality in global forest science conferences: An analysis of actors involved in IUFRO World Congresses with a focus on gender and geography," Forest Policy and Economics, Elsevier, vol. 129(C).
    2. Chiarella, Cristina & Rufin, Philippe & Abeygunawardane, Dilini & Bey, Adia & Lisboa, Sá Nogueira & Zavale, Helder & Meyfroidt, Patrick, 2024. "Impacts of large-scale forestry investments on neighboring small-scale agriculture in northern Mozambique," EconStor Open Access Articles and Book Chapters, ZBW - Leibniz Information Centre for Economics, vol. 145, pages 1-15.
    3. Traldi, Rebecca & Silva, Julie A. & Potapov, Peter & Tyukavina, Alexandra & Epprecht, Michael & Gore, Meredith L. & Phompila, Chittana, 2023. "Cultivating inequality? Regional rubber dynamics and implications for voluntary sustainability programs in Lao PDR," World Development, Elsevier, vol. 170(C).
    4. Umed Temursho & Matthias Weitzel & Toon Vandyck, 2020. "Distributional impacts of reaching ambitious near-term climate targets across households with heterogeneous consumption patterns: A quantitative macro-micro assessment for the 2030 Climate Target Plan," JRC Research Reports JRC121765, Joint Research Centre.

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