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Research Report

Income is Not Enough:: The Effect of Economic Incentives on Forest Product Conservation

Eva Wollenberg
Ani Adiwinata Nawir
Asung Uluk
Herry Pramono
Copyright Date: Jan. 1, 2001
Pages: 101
OPEN ACCESS
https://www.jstor.org/stable/resrep02016
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Table of Contents

  1. (pp. v-v)
    Eva Wollenberg, Ani Adiwinata Nawir, Asung Uluk and Herry Pramono
  2. (pp. 1-6)
    Eva Wollenberg, Ani Adiwinata Nawir, Asung Uluk and Herry Pramono

    Data from damar agroforest and hill dipterocarp forest sites in Indonesia suggest that income alone is inadequate for explaining why people conserve a non-timber forest product. The explanatory value of several cash income-based indicators was tested and the results showed that these indicators provide only a partial explanation of people’s conservation behaviour. Instead, an understanding based on how the income potentially drives a conservation action, expectations about the role of the income in the household economy, and social values, capacities and institutions provides a more complete picture of how economic incentives affect people’s harvesting behaviour. We found that an income...

  3. (pp. 7-12)

    To test the hypothesis that income alone is not sufficient to explain conservation incentives, research was undertaken at two sites where: (1) forest-based incomes were significant and reliance on those incomes was high; (2) the forest was presumably managed sustainably; (3) notable outside threats to conservation of the forest existed – these would be the situations most challenging for sustainable management; and (4) local experiences were likely to be visible in policy arenas and thereby contribute to policy change. Within these constraints, the sites were selected to represent contrasting forest conditions for informing policy: an agroforest in a densely populated...

  4. (pp. 13-24)

    Indigenous forest management systems, such as the agroforests of Krui and the extractive use of the Kayan Mentarang natural forest, are often pointed to as examples of the capacity of local people to conserve forests. In this section we report on our findings about forest management at the sites, the broader context of management and the potential for conservation outcomes for each forest type. The comparison also highlights the variety of forest contexts in Indonesia and the need for policies that accommodate such diversity.

    We begin with an overview of the study sites, and then compare the physical settings and...

  5. (pp. 25-40)

    One village was selected for study in each of the districts of Pesisir Tengah (Central Pesisir), Pesisir Utara (North Pesisir) and Pesisir Selatan (South Pesisir). The patterns of repong damar cultivation in each district differ (see Dupain 1994) and the study was designed to capture this variation (Table 4.1). Central Pesisir had the largest extent of mature repong, with the villagers of Penengahan reputed for their commitment to and specialisatio n in the tradition of cultivating damar. Penengahan was the closest village to the market town and main road. It also had the highest population, a high population density and...

  6. (pp. 41-52)

    During the latter half of the 20th century, forest dwellers in Indonesia, as elsewhere, have gained access to significantly larger amounts of cash income as transportation to markets has improved and opportunities for cash exchange and employment have increased. Market demands and the growing importance of cash in household livelihood strategies have created powerful economic incentives for harvesting of marketable forest products in areas like Krui and Kayan Mentarang.

    In this section we report our findings about the levels of income that villagers in Krui and Kayan Mentarang derive from the forest. We show the different sources of this income,...

  7. (pp. 53-72)

    Unlike subsistence-oriented use that is limited by consumption needs, the economic incentives associated with products exchanged in markets create a more open-ended demand that can lead to rapid overuse of a resource, especially in larger international markets. In this chapter we examine the cases of Krui and Kayan Mentarang in an attempt to gain a better understanding of the influences that determined whether economic incentives encouraged conservation or promoted overuse of forest products.

    In Krui and Kayan Mentarang, people’s cash incomes were derived primarily from one product from one species. In Krui, that product was the resin of the damar...

  8. (pp. 73-76)

    Data from Krui and Kayan Mentarang suggest that income alone is inadequate for explaining why people conserve a nontimber forest product. The explanatory value of a number of cash income-based indicators was tested and the results showed that these indicators provide only a partial rationale for people’s conservation behaviour. Instead, an understanding based on the logic of cause and effect between an income and a conservation action, expectations about the role of the income in the household economy, and social values, capacities and institutions provide a more complete picture of how economic incentives affect people’s harvesting behaviour. We stress that...