This paper contributes to the economics of deforestation by presenting a formal, infinite horizon dynamic model describing the use of tropical forest resources. As an alternative to clearing the forest, a landowner has the option to sell it to an international carbon crediting program. The model...

The nonindustrial private forest (NIPF) owner's consumption and harvesting decisions are investigated under inheritance and capital income taxes using a two-period model. The impact of the forest-owner's age is introduced into the analysis through a parameter of perceived probability of...

The impacts of carbon payments and income taxes on curbing tropical forest loss are analyzed under a market equilibrium framework. The supply of cleared forest land was derived by using a two-period utility maximization model when the carbon sequestration of a private forestholder is credited....