Rural economic welfare effects of forest carbon sink projects from a relative perspective

LUO Shunlan, HU Yuan, ZENG Weizhong, ZHENG Wenxue

JOURNAL OF NANJING FORESTRY UNIVERSITY ›› 2023, Vol. 47 ›› Issue (4) : 253-261.

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JOURNAL OF NANJING FORESTRY UNIVERSITY ›› 2023, Vol. 47 ›› Issue (4) : 253-261. DOI: 10.12302/j.issn.1000-2006.202111036

Rural economic welfare effects of forest carbon sink projects from a relative perspective

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Abstract

【Objective】 Absolute income does not fully reflect rural residents’ economic welfare. To address this, the present study analyzes the economic welfare effects of forest carbon sequestration projects on rural residents based on relative income. Using this information, we propose corresponding policy recommendations to promote the sustainable and healthy operation of forest carbon sequestration projects. 【Method】 Based on county statistics from 2007 to 2018 in the Sichuan Province, propensity score matching was used to empirically measure the economic welfare effects on rural residents within the pilot counties of the forest carbon sequestration project. 【Result】 In the full sample analysis, the absolute income level of rural residents in the pilot counties was generally lower compared with those in non-pilot counties, and the comparison between townships indicated obvious welfare losses; in the heterogeneity analysis, it appears that in ethnic minorities counties and poor counties implementation of forest carbon sequestration projects by rural residents produces a positive economic welfare effect. 【Conclusion】 On average, implementing forest carbon sequestration projects from the perspective of relative income led to a loss of subjective economic welfare in rural areas, as indicated by comparisons between townships. Taken together, the results suggest that implementing forest carbon sequestration projects in impoverished and ethnic minority areas can reduce the urban-rural income gap and improve economic welfare during vertical comparisons, thereby producing positive subjective economic welfare effects.

Key words

forest carbon sink / rural economy / comparative perspective

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LUO Shunlan , HU Yuan , ZENG Weizhong , et al. Rural economic welfare effects of forest carbon sink projects from a relative perspective[J]. JOURNAL OF NANJING FORESTRY UNIVERSITY. 2023, 47(4): 253-261 https://doi.org/10.12302/j.issn.1000-2006.202111036

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