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Property Rights and Deforestation: The Choice of Fuelwood Source in Rural Viet Nam

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  • Martin Linde-Rahr

Abstract

This paper analyses the choice of fuelwood supply sources in rural Viet Nam, of which one, the open-access area, is subjected to deforestation. A random parameter logit estimation allows us to calculate cross elasticities between the various sources, using derived shadow prices for fuelwood from each source. We find a relatively stronger substitution effect emerging between user-right plantation and open-access areas. This implies that a policy intervention of fuel from plantations might be an efficient option to halt deforestation. Analysis of producer surplus measures explains the reluctance by households to accept managerial responsibilities of open-access areas.

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  • Martin Linde-Rahr, 2003. "Property Rights and Deforestation: The Choice of Fuelwood Source in Rural Viet Nam," Land Economics, University of Wisconsin Press, vol. 79(2), pages 217-234.
    • Handle: RePEc:uwp:landec:v:79:y:2003:i:2:p:217-234
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    1. Niklas Vahlne & Erik O. Ahlgren, 2014. "Energy Efficiency at the Base of the Pyramid: A System-Based Market Model for Improved Cooking Stove Adoption," Sustainability, MDPI, vol. 6(12), pages 1-21, November.
    2. Gelo, Dambala & Koch, Steven F., 2012. "Does one size fit all? Heterogeneity in the valuation of community forestry programs," Ecological Economics, Elsevier, vol. 74(C), pages 85-94.
    3. Javier Escobal & Sonia Laszlo, 2008. "Measurement Error in Access to Markets," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 70(2), pages 209-243, April.
    4. Gebreegziabher, Zenebe & van Kooten, G. Cornelis, 2013. "Does community and household tree planting imply increased use of wood for fuel? Evidence from Ethiopia," Forest Policy and Economics, Elsevier, vol. 34(C), pages 30-40.
    5. John H. Y. Edwards & Christian Langpap, 2005. "Startup Costs and the Decision to Switch from Firewood to Gas Fuel," Land Economics, University of Wisconsin Press, vol. 81(4).
    6. Joshi, Janak & Bohara, Alok K., 2017. "Household preferences for cooking fuels and inter-fuel substitutions: Unlocking the modern fuels in the Nepalese household," Energy Policy, Elsevier, vol. 107(C), pages 507-523.
    7. Jumbe, Charles B.L. & Angelsen, Arild, 2011. "Modeling choice of fuelwood source among rural households in Malawi: A multinomial probit analysis," Energy Economics, Elsevier, vol. 33(5), pages 732-738, September.
    8. Mekonnen, Alemu & Bluffstone, Ramdall, 2008. "Is There a Link between Common Property Forest Management and Private Tree Growing? Evidence of Behavioral Effects from Highland Ethiopia," RFF Working Paper Series dp-08-29-efd, Resources for the Future.
    9. Palmer, Charles & Macgregor, James, 2009. "Fuelwood scarcity, energy substitution, and rural livelihoods in Namibia," Environment and Development Economics, Cambridge University Press, vol. 14(6), pages 693-715, December.
    10. Alemu Mekonnen & Hosaena Ghebru & Stein T. Holden & Menale Kassie, 2013. "The Impact of Land Certification on Tree Growing on Private Plots of Rural Households: Evidence from Ethiopia," Palgrave Macmillan Books, in: Stein T. Holden & Keijiro Otsuka & Klaus Deininger (ed.), Land Tenure Reform in Asia and Africa, chapter 13, pages 308-330, Palgrave Macmillan.
    11. Bluffstone, Randy, 2014. "Child Labor, the Wealth Paradox, and Common Forest Management in Bolivia," RFF Working Paper Series edf-dp-14-16, Resources for the Future.
    12. Alemu Mekonnen & Randall Bluffstone, 2017. "Does Community Forest Collective Action Promote Private Tree Planting? Evidence from Ethiopia," International Business Research, Canadian Center of Science and Education, vol. 10(5), pages 86-106, May.
    13. Bluffstone, Randy & Robinson, Elizabeth & Guthiga, Paul, 2013. "REDD+and community-controlled forests in low-income countries: Any hope for a linkage?," Ecological Economics, Elsevier, vol. 87(C), pages 43-52.
    14. Beyene, Abebe D. & Koch, Steven F., 2013. "Property rights, institutions and choice of fuelwood source in rural Ethiopia," Forest Policy and Economics, Elsevier, vol. 30(C), pages 30-38.
    15. Mani Nepal & Alok K. Bohara & Robert P. Berrens, 2007. "The Impacts of Social Networks and Household Forest Conservation Efforts in Rural Nepal," Land Economics, University of Wisconsin Press, vol. 83(2), pages 174-191.
    16. Bluffstone, Randy & Robinson, Elizabeth & Guthiga, Paul, 2012. "Deforestation and forest degradation are estimated to account for between 12 percent and 20 percent of annual greenhouse gas emissions. These activities, largely in the developing world, released abou," RFF Working Paper Series dp-12-11-efd, Resources for the Future.

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    More about this item

    JEL classification:

    • D23 - Microeconomics - - Production and Organizations - - - Organizational Behavior; Transaction Costs; Property Rights
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry

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