Public expenses, credit and natural capital: Substitution or complementarity?
Résumé
Improving access to capital through credit and public spendings is an important step
toward development and poverty alleviation. At the same time, deforestation-related
activities, like agricultural expansion, can be seen as relying on natural capital, through the
depletion of forest resources and the use of land in an extensive way. It is then important to
better understand how a better access to capital influences the use of land as a natural
capital. This paper assesses the relationship between financial development, public
spendings and deforestation. Are they substitute or complement? Our econometric analysis
shows that deforestation is positively correlated to access to credit and public spendings,
which gives some evidence that natural capital is a complement to credit and public
spendings.
Domaines
Economies et finances
Origine :
Fichiers produits par l'(les) auteur(s)
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