| Title: | Spatial complementarity of forests and farms: accounting for ecosystem services. |
| Authors: | Pattanayak, S.K. Butry, D.T. USDA, FS |
| Source: | American journal of agricultural economics. 2005 Nov., v. 87, no. 4, p. 995-1008. |
| NALT Subjects: | forests farms forest ecology case studies econometric models watersheds water erosion forest hydrology economic impact spatial variation farm labor estimation natural resource management social welfare Indonesia |
| Other Subjects: | ecosystem processes ecosystem services forest conservation |
| Issue Date: | Nov-2005 |
| Abstract: | Our article considers the economic contributions of forest ecosystem services, using a case study from Flores, Indonesia, in which forest protection in upstream watersheds stabilize soil and hydrological flows in downstream farms. We focus on the demand for a weak complement to the ecosystem services-farm labor-and account for spatial dependence due to economic interactions, ecosystem processes, and data integration. The estimated models have theoretically expected properties across eight different specifications. We find strong evidence that forest ecosystem services provide economically substantive benefits to local people and that these services would be substantially undervalued if spatial dependence is ignored. |
| URI: | http://hdl.handle.net/10113/6833 |
| Appears in Collections: | USDA Research and Information
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