Estimates of the Economic Cost of Deforestation in the Amazon

IPEA Working Paper No. 910

29 Pages Posted: 2 Apr 2003

See all articles by Ronaldo Seroa da Motta

Ronaldo Seroa da Motta

Universidade do Estado do Rio de Janeiro (UERJ)

Date Written: September 2002

Abstract

This valuation exercise presents an estimation of total economic cost associated with deforestation in the Brazilian Amazon for the year 2000. Although some crucial methodological problems could not be totally overcome, we had the opportunity to apply more consistent and robust estimation procedures than the previous studies on the matter. We show that our final estimation value of US$ 108,1 per hectare year would be enough to promote forest sustainable uses. Along this line we discuss several ways in which some externalities counted into this value - particularly the global ones - could be captured by local producers.

Note: Paper is available in Portuguese only.

Keywords: Costs, deforestation, the Amazon

JEL Classification: I1, O1, Q0, Q1, Q2

Suggested Citation

Seroa da Motta, Ronaldo, Estimates of the Economic Cost of Deforestation in the Amazon (September 2002). IPEA Working Paper No. 910, Available at SSRN: https://ssrn.com/abstract=374881 or http://dx.doi.org/10.2139/ssrn.374881

Ronaldo Seroa da Motta (Contact Author)

Universidade do Estado do Rio de Janeiro (UERJ) ( email )

Av Borges de Medeiros 3709 ap 401
ap 401
Lagoa, 22470-001
Brazil
21997775494 (Phone)

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