There is a large number of hill people in northern Thailand, who practices shifting cultivation. In order to analyze the soil ecological problems involved in the transition from traditional shifting cultivation to more intensive upland farming, the authors carried out comparative studies on the dynamics of organic matter and its related properties in soils both in the traditional shifting cultivation systems adopted by Karen people and more intensive upland farming practiced by Thai and Hmong people in the area. The contents of organic matter and available N in the surface 10 cm layers of soil from the fields continuously cultivated were lower than those in soils under prolonged fallow (more than 10 y) or natural forest. Based on the rate of soil respiration, the amount of organic matter decomposed within 1 y was estimated to reach nearly 10% of that stored in the upper 50 cm layers of the soil profile in the upland crop fields. These results indicate that the organic matter-related resources markedly decreased under continuous cropping. The contents of C, N, and P in the microbial biomass of the surface 10 cm layers of soil ranged from 0.37 to 2.09 mg C g−l soil, from 22.7 to 188 µg N g−l soil, and from 6.1 to 65.7 µg P g−l soil, respectively. Since the contents of microbial C, N, and P in the surface soils were generally higher under prolonged fallow and natural forests than in the fields continuously cultivated, the microbial activity and/or the amounts of C, N, and P available for biological activity seemed to have declined under continuous upland farming. The incubation experiment to assess the N mineralization pattern showed two remarkable characteristics: 1) there was an initial time lag until active mineralization of N occurred in the soils from young fallow forest and 2) the soil burning effect was observed after burning in the fields under prolonged fallow. The active process of nitrification after N mineralization was always associated with a sharp fall in soil pH, suggesting that soil acidification was promoted and basic cations were lost from the soils. In conclusion, rapid deterioration of the soil organic matter-related properties in cropping fields can be considered to be one of the ecological reasons why upland fields must be returned to fallow again a few years after forest reclamation in traditional shifting cultivation systems. Therefore, in alternative farming systems with more intensive land use, it is essential to apply organic materials into soils to decrease the rate of soil degradation, or to improve the soil fertility, in avoiding soil acidification along with nitrification.