Rural Poverty Alleviation and Forest Conservation

Abstract

I estimate the impact of rural poverty alleviation on forest conservation by analyzing the implementation of a large-scale poverty alleviation effort across more than 100 counties in contiguous areas of extreme poverty in rural China, beginning in 2011. My analysis employs a high-resolution (30m) annual land cover dataset from 2000–2020, encompassing periods around the implementation of rural poverty alleviation, and applies a generalized difference-in-differences empirical strategy. I find that rural poverty alleviation had a positive impact on forest cover, with an annual marginal effect of an 18 km2 increase in forest area. Whether assessing the carbon storage increase directly from the marginal effect of forest area alone or considering the land-use changes underlying the forest area increase, the value of marginal carbon storage—estimated using the social cost of carbon—approximates five times the cost of poverty alleviation. Multiple sources of evidence suggest that the positive effects on forest conservation are primarily driven by relocation efforts associated with rural poverty alleviation. These findings highlight a novel, highly cost-effective approach to conserve forests through poverty alleviation efforts. By addressing extreme poverty, this strategy not only supports the well-being of impoverished rural communities but also promotes environmental restoration, creating a mutually reinforcing pathway for sustainable development.

Yanxu Long
Yanxu Long
PhD Candidate

My primary research focus is on the intersection of environmental and development economics, with secondary interests in ecosystem services and natural capital accounting.