Economic Policy Reforms and Sustainable Land Use in Developing Countries: Issues and Approaches

Abstract

An important factor in land degradation and farmers’ investment in soil conservation in developing countries are the changes in the socio-economic environment of farm households resulting from economic policy reform measures taken at higher levels. This chapter provides an overview of the mechanisms through which economic reforms may affect soil degradation and conservation investments,and discusses some recent developments in quantitative approaches that can be used for analysing these relationships. It starts with a discussion of the soil degradation problem and its effects on agricultural production. Next,the potential implications of economic policy reforms for the sustainability of agricultural land use are discussed. Relevant factors at the macro,meso, household and plot level,and the potential relationships between them,are reviewed. The resulting analytical framework takes into account the role of market imperfections and institutional factors in shaping the relation between economic policy instruments and farm household decision making. Recent developments in quantitative modelling may contribute to improving our understanding of the complex effects of economic policies on changes in soil quality. Major approaches in this respect, and their potential contributions,are briefly reviewed. The chapter ends with a discussion of the objectives of the book and a brief overview of its structure.