TY - JOUR
T1 - The estimation of long term impacts of China's key priority forestry programs on rural household incomes
AU - Liu, Can
AU - Mullan, Katrina
AU - Liu, Hao
AU - Zhu, Wenqing
AU - Rong, Qingjiao
N1 - Publisher Copyright:
© 2014 Department of Forest Economics, Swedish University of Agricultural Sciences, Umeå.
PY - 2014/8/1
Y1 - 2014/8/1
N2 - We use a large unique household panel dataset spanning 16 years to estimate the impacts of three Key Priority Forestry Programs (the KPFPs) in China on household incomes. The programs are the most significant of China's forest policies namely the Sloping Land Conversion Program (the SLCP), the Natural Forest Protection Program (the NFPP), and the Desertification Combating Program around Beijing and Tianjin (the DCBT). A fixed effect model with clustered standard errors is used to identify programs' impacts based on variation in participation across households and time. In addition to estimating the total impacts of these programs, individually and in combination, we disaggregate the effects by income source, stage of policy implementation, and duration of participation. Overall, the impacts of the KPFPs on rural households' income vary with time of enrollment and policy stage. We observe that the KPFPs in their initial stages of implementation, and for the early years of household participation, had negative, or at best neutral impacts on household incomes, in particular incomes from land. However, the later stages of the SLCP and the DCBT have tended to raise land-based incomes, and the NFPP has ceased to have a negative effect. This is likely to be in part the result of adjustments made by rural households over time in response to changes in the programs, as well as in market and environmental conditions.
AB - We use a large unique household panel dataset spanning 16 years to estimate the impacts of three Key Priority Forestry Programs (the KPFPs) in China on household incomes. The programs are the most significant of China's forest policies namely the Sloping Land Conversion Program (the SLCP), the Natural Forest Protection Program (the NFPP), and the Desertification Combating Program around Beijing and Tianjin (the DCBT). A fixed effect model with clustered standard errors is used to identify programs' impacts based on variation in participation across households and time. In addition to estimating the total impacts of these programs, individually and in combination, we disaggregate the effects by income source, stage of policy implementation, and duration of participation. Overall, the impacts of the KPFPs on rural households' income vary with time of enrollment and policy stage. We observe that the KPFPs in their initial stages of implementation, and for the early years of household participation, had negative, or at best neutral impacts on household incomes, in particular incomes from land. However, the later stages of the SLCP and the DCBT have tended to raise land-based incomes, and the NFPP has ceased to have a negative effect. This is likely to be in part the result of adjustments made by rural households over time in response to changes in the programs, as well as in market and environmental conditions.
KW - China
KW - Ecological restoration
KW - Forest economics
KW - Priority forestry programs
KW - Rural development
KW - Rural households' income
UR - http://www.scopus.com/inward/record.url?scp=84908277320&partnerID=8YFLogxK
U2 - 10.1016/j.jfe.2014.08.001
DO - 10.1016/j.jfe.2014.08.001
M3 - Article
AN - SCOPUS:84908277320
SN - 1104-6899
VL - 20
SP - 267
EP - 285
JO - Journal of Forest Economics
JF - Journal of Forest Economics
IS - 3
ER -