Firewood Collections and Economic Growth in Rural Nepal 1995-2010: Evidence from a Household Panel
43 Pages Posted: 19 Mar 2013
Date Written: March 2013
Abstract
A household panel data set is used to investigate the effects of economic growth on firewood collection in Nepal between 1995 and 2010. Results from preceding cross-sectional analyses are found to be robust: (a) rising consumptions for all but the top decile were associated with increased firewood collections, contrary to the Poverty-Environment hypothesis; (b) sources of growth matter: increased livestock was associated with increased collections, and falling household size, increased education, non-farm business assets and road connectivity with reduced collections. Nepal households collected 25% less firewood over this period, mostly explained by falling livestock, and rising education, connectivity and out-migration.
Keywords: deforestation, Environmental Kuznets Curve, growth, Nepal
JEL Classification: D12, O1, Q2
Suggested Citation: Suggested Citation
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