Journal
RESOURCE AND ENERGY ECONOMICS
Volume 33, Issue 1, Pages 55-78Publisher
ELSEVIER SCIENCE BV
DOI: 10.1016/j.reseneeco.2010.01.003
Keywords
Bio-economic modelling; Competing land-use; Ecotourism; Integrated conservation and development projects; Poaching; Wildlife and habitat conservation
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We analyze why integrated conservation and development projects (ICDPs) fail to achieve their conservation goals. We develop a bio-economic model of open access habitat and wildlife exploitation, which is consistent with farming and hunting societies living in close proximity to forest reserves in developing countries. We show that the ICDP creates incentives to conserve habitat and wildlife, but socially optimal levels of conservation cannot be achieved, because of externalities among the local communities. We show how a social planner can achieve the socially optimal levels of habitat and wildlife by a more encompassing tax/subsidy regime. (C) 2010 Elsevier BM. All rights reserved.
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