The Effect of Forest Access on the Market for Fuelwood in India

69 Pages Posted: 17 Mar 2022

See all articles by Branko Bošković

Branko Bošković

University of Alberta - Department of Marketing, Business Economics & Law

Ujjayant Chakravorty

Tufts University

Martino Pelli

Université de Sherbrooke; University of Montreal - Center for Interuniversity Research in Econometrics; Center for Interuniversity Research and Analysis on Organization (CIRANO)

Anna Risch

University Grenoble Alpes

Multiple version iconThere are 2 versions of this paper

Date Written: January 25, 2022

Abstract

Fuelwood collection by poor people is often cited as the most important cause of deforestation in developing countries. Using household survey data from India, we show that households located farther away from the forest spend more time in fuelwood collection. These households are likely to sell more fuelwood and buy less. That is, reduced access to forests increases fuelwood collection and sale. This counter-intuitive behavior is triggered by the higher fixed costs of households living farther from the forest arising from larger travel times. By combining two different datasets, we can quantify net fuelwood sales out of a village. We show that a fifth of the fuelwood collected is consumed outside of rural areas, in nearby towns and cities. Our estimates suggest that fuelwood burning may account for roughly 14-20% of the typical daily P M2.5 load in a city like Delhi.

Keywords: energy access, cooking fuels, deforestation, forest cover, fuelwood collection

JEL Classification: D13, O13, Q2

Suggested Citation

Bošković, Branko and Chakravorty, Ujjayant and Pelli, Martino and Risch, Anna, The Effect of Forest Access on the Market for Fuelwood in India (January 25, 2022). Available at SSRN: https://ssrn.com/abstract=4017766 or http://dx.doi.org/10.2139/ssrn.4017766

Branko Bošković

University of Alberta - Department of Marketing, Business Economics & Law ( email )

Edmonton, Alberta T6G 2R6
Canada

Ujjayant Chakravorty

Tufts University ( email )

Medford, MA 02155
United States

Martino Pelli (Contact Author)

Université de Sherbrooke ( email )

2500, Blvd de l'Université
Sherbrooke, Quebec J1K 2R1
Canada

HOME PAGE: http://sites.google.com/site/martinopelli

University of Montreal - Center for Interuniversity Research in Econometrics ( email )

C.P. 6128, Succursale Centre-ville
Montreal, Quebec H3C 3J7
Canada

Center for Interuniversity Research and Analysis on Organization (CIRANO) ( email )

2020 rue University, 25th floor
Montreal H3C 3J7, Quebec
Canada

Anna Risch

University Grenoble Alpes ( email )

151 Rue des Universités
Saint-Martin-d'Hères, 38400
France

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