IDEAS home Printed from https://ideas.repec.org/a/sae/inrsre/v27y2004i3p348-373.html
   My bibliography  Save this article

Transferable Development Rights and Forest Protection: An Exploratory Analysis

Author

Listed:
  • Kenneth M. Chomitz

    (Development Research Group, World Bank, Washington, D.C., kchomitz@worldbank.org)

Abstract

As agricultural frontiers expand, and habitats contract, potential conflicts between conservation and development goals increase. Transferable development rights (TDR) programs offer a means of minimizingthe opportunitycosts (in foregoneagricultural rents) of protectinga desired quantity of habitat. These programs may be particularly applicable to Brazil, where long-standing regulations require a fixed proportion of each property to be set aside as a forest reserve. The article develops a simple, geographically explicit simulation model to examine the economic and environmental impact of a hypothetical TDR program under alternative implementation scenarios. Dataonlandcover and land productivity from the Brazilianstate of Minas Gerais are used to calibrate the model. The model shows substantial reductions in conservation cost from widening the geographical scope of trading. Restricting the program to large landholders drastically reduces transactions costs while only mildly reducing the amount of forest placed under protection.

Suggested Citation

  • Kenneth M. Chomitz, 2004. "Transferable Development Rights and Forest Protection: An Exploratory Analysis," International Regional Science Review, , vol. 27(3), pages 348-373, July.
    • Handle: RePEc:sae:inrsre:v:27:y:2004:i:3:p:348-373
    DOI: 10.1177/0160017604266030
    as

    Download full text from publisher

    File URL: https://journals.sagepub.com/doi/10.1177/0160017604266030
    Download Restriction: no
    File URL: https://libkey.io/10.1177/0160017604266030?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Simpson, R David & Sedjo, Roger A & Reid, John W, 1996. "Valuing Biodiversity for Use in Pharmaceutical Research," Journal of Political Economy, University of Chicago Press, vol. 104(1), pages 163-185, February.
    2. Stavins Robert N., 1995. "Transaction Costs and Tradeable Permits," Journal of Environmental Economics and Management, Elsevier, vol. 29(2), pages 133-148, September.
    3. Parks P. J. & Kramer R. A., 1995. "A Policy Simulation of the Wetlands Reserve Program," Journal of Environmental Economics and Management, Elsevier, vol. 28(2), pages 223-240, March.
    4. Theodore Panayotou, 1994. "Conservation of biodiversity and economic development: The concept of transferable development rights," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 4(1), pages 91-110, February.
    5. Stavins, Robert N & Jaffe, Adam B, 1990. "Unintended Impacts of Public Investments on Private Decisions: The Depletion of Forested Wetlands," American Economic Review, American Economic Association, vol. 80(3), pages 337-352, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Chomitz, Kenneth M. & Thomas, Timothy S. & Salazar Brandao, Antonio, 2004. "Creating markets for habitat conservation when habitats are heterogeneous," Policy Research Working Paper Series 3429, The World Bank.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Swallow, Stephen K., 1996. "Economic Issues in Ecosystem Management: An Introduction and Overview," Agricultural and Resource Economics Review, Cambridge University Press, vol. 25(2), pages 83-100, October.
    2. Cubbage, Frederick & Harou, Patrice & Sills, Erin, 2007. "Policy instruments to enhance multi-functional forest management," Forest Policy and Economics, Elsevier, vol. 9(7), pages 833-851, April.
    3. Robert N. Stavins, 1999. "The Costs of Carbon Sequestration: A Revealed-Preference Approach," American Economic Review, American Economic Association, vol. 89(4), pages 994-1009, September.
    4. Peter Park & Edward Barbier & Joanne Burgess, 1998. "The Economics of Forest Land Use in Temperate and Tropical Areas," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 11(3), pages 473-487, April.
    5. Robert N. Stavins, 2017. "The Evolution Of Environmental Economics: A View From The Inside," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 62(02), pages 251-274, June.
    6. Lubowski, Ruben N. & Plantinga, Andrew J. & Stavins, Robert N., 2003. "Determinants of Land-Use Change In the United States 1982-1997," Discussion Papers 10714, Resources for the Future.
    7. Ruben N. Lubowski & Andrew J. Plantinga & Robert N. Stavins, 2008. "What Drives Land-Use Change in the United States? A National Analysis of Landowner Decisions," Land Economics, University of Wisconsin Press, vol. 84(4), pages 529-550.
    8. Isik, Murat & Yang, Wanhong, 2004. "An Analysis of the Effects of Uncertainty and Irreversibility on Farmer Participation in the Conservation Reserve Program," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 29(2), pages 1-18, August.
    9. Polasky, Stephen & Costello, Christopher & Solow, Andrew, 2005. "The Economics of Biodiversity," Handbook of Environmental Economics, in: K. G. Mäler & J. R. Vincent (ed.), Handbook of Environmental Economics, edition 1, volume 3, chapter 29, pages 1517-1560, Elsevier.
    10. Parks, Peter J. & Schorr, James P., 1997. "Sustaining Open Space Benefits in the Northeast: An Evaluation of the Conservation Reserve Program," Journal of Environmental Economics and Management, Elsevier, vol. 32(1), pages 85-94, January.
    11. Joël Houdet & Michel Trommetter & Jacques Weber, 2009. "Changing business perceptions regarding biodiversity: from impact mitigation towards new strategies and practices," Working Papers hal-00412875, HAL.
    12. repec:ags:aaea22:336006 is not listed on IDEAS
    13. Wenjuan Cheng & Alessio D’Amato & Giacomo Pallante, 2020. "Benefit sharing mechanisms for agricultural genetic diversity use and on-farm conservation," Economia Politica: Journal of Analytical and Institutional Economics, Springer;Fondazione Edison, vol. 37(1), pages 337-355, April.
    14. Robert N. Stavins, 1998. "A Methodological Investigation of the Costs of Carbon Sequestration," Journal of Applied Economics, Taylor & Francis Journals, vol. 1(2), pages 231-277, November.
    15. Maksym Polyakov & Daowei Zhang, 2008. "Property Tax Policy and Land-Use Change," Land Economics, University of Wisconsin Press, vol. 84(3), pages 396-408.
    16. Michael J. Roberts & Ruben N. Lubowski, 2007. "Enduring Impacts of Land Retirement Policies: Evidence from the Conservation Reserve Program," Land Economics, University of Wisconsin Press, vol. 83(4), pages 516-538.
    17. Sandler, Austin M. & Rashford, Benjamin S., 2018. "Misclassification error in satellite imagery data: Implications for empirical land-use models," Land Use Policy, Elsevier, vol. 75(C), pages 530-537.
    18. Bell, Kathleen P. & Irwin, Elena G., 2002. "Spatially explicit micro-level modelling of land use change at the rural-urban interface," Agricultural Economics, Blackwell, vol. 27(3), pages 217-232, November.
    19. Linda Fernandez & Larry Karp, 1998. "Restoring Wetlands Through Wetlands Mitigation Banks," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 12(3), pages 323-344, October.
    20. Stephen Polasky, 2009. "Conservation economics: economic analysis of biodiversity conservation and ecosystem services," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 10(1), pages 1-20, March.
    21. Stavins, Robert, 2000. "A Two-Way Street Between Environmental Economics and Public Policy," Working Paper Series rwp00-005, Harvard University, John F. Kennedy School of Government.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:sae:inrsre:v:27:y:2004:i:3:p:348-373. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: SAGE Publications (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.