Conference Agenda

Assessing the determinants of deforestation requires the consideration of dynamic interactions in space and in time, which has often been neglected in previous research. In this vein, the present study contributes to the literature on deforestation in the Brazilian Cerrado by applying a dynamic spatial Durbin approach with fixed effects to a panel of 434 municipalities for the period from 2002 to 2016. This spatial econometric assessment relying on new satellite-based data for the under-explored Cerrado biome provides some guidance for the design of future environmental policies targeting this region of vital ecological importance. The main findings corroborate that dynamic spatial interactions matter. Moreover, soy acreage expansion in a municipality seems to directly drive the municipality’s deforestation, whereas releasing the pressure on native vegetation in the neighborhood. The value of agricultural production also plays a significant role as it is negatively associated with the level of forest clearance. Finally, while subsidized agricultural credits exert a direct positive effect on deforestation, environmental fines due to illegal deforestation – in the current design – do not seem to be statistically related to clearance of native vegetation in the Cerrado biome. This paper is currently being reassessed using updated annual satellite data, higher-resolution imagery, expanded geo-climatic datasets, and revised regulatory variables to better reflect geopolitical developments, such as Brazil’s renewed environmental policies under President Lula’s administration and the European Union’s Deforestation Regulation (EUDR), both of which have significant implications for land use and deforestation in the Cerrado.

Hedgerows play a crucial role in agricultural landscapes, supporting biodiversity, soil conservation, and ecological resilience. In France, hedgerow density has declined by 50 percent between 1975 and 2004, a trend that existing agricultural policies have been unable to reverse. This study examines the relationship between organic farming and hedgerow density, arguing that organic farmers have stronger incentives to maintain these landscape features. Using comprehensive parcel-level data covering nearly all French agricultural plots from 2015 to 2022, we merge a detailed hedgerow database with the Land Parcel Identification System to estimate the impact of organic farming certification and farming practice transitions on hedgerow planting and maintenance. Using a first-difference model with farm-level fixed effects, we find that organic farmers are significantly more likely to plant hedgerows, increasing hedgerow density by 0.8 meters per hectare, while conventional farmers exhibit a net hedgerow loss of 0.4 meters per hectare over the same period. The transition to organic farming plays a critical role in shaping these outcomes, as farmers adapt their practices and become more aware of the ecological benefits of hedgerows during the conversion process. These findings highlight the joint benefits of organic farming and hedgerow conservation and suggest that policies aimed at hedgerow preservation should target organic farmers. By aligning conservation efforts with organic agriculture, policymakers can enhance ecosystem services while fostering more sustainable farming practices.

It is often claimed that ecosystem resilience serves as an insurance for ecosystem users. To test this hypothesis, we estimate the economic insurance value of ecosystem resilience for the Goulburn-Broken Catchment farmland in South-East Australia, which is threatened by salinization due to rising groundwater tables. We build on Walker et al. (2010) who provide an empirical estimate of the total economic value of resilience in this system assuming risk neutrality, and on Baumgärtner and Strunz (2014) who propose a model-based definition of the economic insurance value of ecosystem resilience under the assumption of risk aversion. We find that for constant relative risk aversion, ecosystem resilience does not provide a positive economic insurance value in this case because the system is already close to a regime shift and additional investment in resilience thus leads to higher uncertainty. We estimate an insurance value of around -2 million 1991 Australian Dollars, which amounts to 45 percent of the expected value of resilience estimated by Walker et al. (2010). Our analysis shows that assuming risk neutral ecosystem users may produce very imprecise estimates of the total economic value of ecosystem resilience.

This study examines the impact of enhanced crop and livestock productivity in Greece's agricultural sector using the FABLE Calculator. Our analysis reveals significant environmental and economic benefits: greenhouse gas emissions from agriculture decrease by 21% by 2030 and 52% by 2050 compared to business-as-usual scenarios. Production costs drop by nearly 50% long-term, primarily through reduced pesticide use. The productivity surge also reverses declining agricultural employment trends without increasing long-term labor costs. When combined with Greece's commitment to healthy dietary shifts, these benefits are further amplified. We provide policy recommendations focusing on precision agriculture and livestock management technologies.