Deforestation and Seigniorage in Developing Countries: A Tradeoff?

Abstract : Most of countries covered by natural forests are developing countries, with limited ability to levy taxes and restrained access to international credit markets. Consequently, they are amenable to draw heavily on two sources of government financing, namely seigniorage and deforestation revenues. First, we develop a theoretical model emphasizing a substitution effect between seigniorage and deforestation revenues. Second, a panel-data econometric analysis over the 1990–2010 period confirms our findings. Consequently, a tighter monetary policy hastens deforestation. Third, we extend the theoretical model and show that international transfers dedicated to forest protection can upturn the positive link between tighter monetary policies and deforestation, and then discuss the relevance of this finding with respect to recent institutional arrangements.
Type de document :
Article dans une revue
Ecological Economics, 2015, pp.220-230
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Soumis le : mercredi 24 juin 2015 - 09:17:50
Dernière modification le : mardi 19 février 2019 - 13:24:21


  • HAL Id : halshs-01167201, version 1


Jean-Louis Combes, Pascale Combes Motel, Alexandru Minea, Patrick Villieu. Deforestation and Seigniorage in Developing Countries: A Tradeoff?. Ecological Economics, 2015, pp.220-230. 〈halshs-01167201〉



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