Subsidies and Cattle Production in the Amazon: An Economic Policy Analysis

Cattle production has been a major source of agricultural deforestation in Brazil's Amazon rainforest. Brazilian credit subsidies have been blamed for speeding cattle expansion and thus deforestation. A stochastic coefficients regression approach was used to quantify the effects of credit subsidies and world prices on cattle numbers in five Amazon rigions for the 1963-83 period. Results show that cattle production has been positively correlated to both prices and credit. Elasticities show that these relationships strengthened over time and that production has been more responsive to credit than to world prices.


Issue Date:
1992
Publication Type:
Conference Paper/ Presentation
PURL Identifier:
http://purl.umn.edu/197874
Page range:
183-190
Total Pages:
8




 Record created 2017-04-01, last modified 2017-08-28

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