Coupling Farmer Livelihood and Ecosystem Conservation in the Rural Community of Northwest China

Abstract

Grain for Green Program (GFGP) was initiated as payment for ecosystem services (PES) in the northwest China. Using survey and land use and land cover data, we explored the function of the PES on both the environment and socioeconomic options for achieving economic and ecological co-evolution. The results showed the area of forest, per capita bio-capacity and household livelihood had increased after the first stage of GFGP. The migration of population and the increased of forest area increased the per capita bio-capacity. The total income of households in 2010-2012 had increased compared with that in 2002. The GFGP had significantly contributed to increase the total income of GFGP participants. The evolution game theory analysis indicated the government needed to implement the GFGP, recognize the high value of ecosystem service and make sure the sum of opportunity benefit and GFGP subsidy was 2 times higher than the planting income under the circumstances of limited rationality of farmers and government to sustain the win-win outcome. Our study provides a general framework to improve the understanding of the PES effects on household level, it also will provide insights into design and implementation of ecological restoration in China and other countries.

Keywords: Ecosystem conservation, Household livelihood, Co-evolution, Difference-in-difference (DID), Payment for ecosystem services (PES)