In this paper, we develop a new theoretical model that explains the forest transition not at a local, but at a worldwide level, in a trade liberalisation scenario. Our model has economic geography foundations: transport costs affect the distribution of firms between countries. We also introduce...

In this paper, the basic assumption is that the environment provides two different kinds of services. First, the environment may serve as an input to the production of conventional goods. For example, the exploitation of an oil source from which one firm extracts the oil which in turn is used as...