Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia

This paper informs the national and international policy discussions related to the adoption of the United Nations Reducing Emissions from Deforestation and Forest Degradation Programme. Effective program instruments must carefully consider incenti...

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Main Authors: Dissanayake, Sahan T. M., Beyene, Abebe Damte, Bluffstone, Randall, Gebreegziabher, Zenebe, Martinsson, Peter, Mekonnen, Alemu, Toman, Michael, Vieider, Ferdinand M.
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2015
Subjects:
GAS
AIR
CO2
WTP
WTA
Online Access:http://documents.worldbank.org/curated/en/2015/06/24602989/preferences-redd-contract-attributes-low-income-countries-choice-experiment-ethiopia
http://hdl.handle.net/10986/22169
id okr-10986-22169
recordtype oai_dc
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ECOSYSTEM SERVICES
FOREST DEGRADATION
ENVIRONMENTAL QUALITY
GREENHOUSE GAS ABATEMENT COST
FOREST MANAGEMENT
VALUATION
REDUCING EMISSIONS
NATURE
GREENHOUSE GAS EMISSIONS
CARBON
FINANCIAL RESOURCES
TIMBER
ANIMALS
HEALTHY FORESTS
MONITORING
EMISSIONS
POLITICAL ECONOMY
CARBON MARKETS
CARBON SEQUESTRATION SERVICES
BIOGAS
FORESTRY PRODUCTS
WELFARE
ATMOSPHERE
SUSTAINABLE MANAGEMENT
INCENTIVES
TROPICAL FOREST
MODELS
GAS
INTERNATIONAL FORESTRY RESEARCH
LIVESTOCK GRAZING
GLOBAL GREENHOUSE GAS
SUSTAINABLE DEVELOPMENT
TREES
AIR
GREENHOUSE GAS
WILLINGNESS TO PAY
FERTILIZERS
CARBON MITIGATION
BIOMASS
CARBON NEUTRAL
RENEWABLE ENERGY SOURCES
CO2
CARBON CONCENTRATIONS
FOREST PRODUCTS
FOREST SECTOR
EFFICIENCY IMPROVEMENTS
ENERGY SOURCES
CAPACITY
CHOICE EXPERIMENTS
HETEROGENEITY
PREFERENCES
OPTIONS
CARBON SEQUESTRATION
CONVENTION ON CLIMATE CHANGE
WTP
POLLUTION
FORESTRY
FOREST ECOSYSTEM
TROPICAL REGIONS
WTA
ENVIRONMENTAL CHANGE
FOREST RESOURCES
FOREST LOSS
ENVIRONMENTAL ECONOMICS
GAS EMISSIONS
NATURAL RESOURCES
FUEL SWITCHING
FUELS
UNEP
CONTINGENT VALUATION
ABATEMENT COST
EFFICIENCY
GREENHOUSE GASES
CARBON EMISSIONS
RESOURCES
FOREST CARBON
FUEL WOOD
GREENHOUSE
ENVIRONMENTAL VALUATION
ECOSYSTEM
MARSH
LEAD
GREENHOUSE GAS ABATEMENT
CLIMATE CHANGE
ENVIRONMENTAL GOODS
FOREST COVER
VALUES
DEFORESTATION
CLIMATE
ABATEMENT
FORESTS
FOREST CARBON STOCKS
LAND AREA
CLIMATE CHANGE MITIGATION
CARBON IN FORESTS
LOGGING
FOREST
OPPORTUNITY COSTS
ENVIRONMENT
WEATHER PATTERNS
ECONOMICS
DISCOUNT RATES
TRADE
LAND
COST OF CARBON
CARBON PRICES
ECOSYSTEMS
SIMULATION
LOCAL COMMUNITIES
EMISSIONS FROM DEFORESTATION
ANNUAL GREENHOUSE GAS
FOREST BIOMASS
CARBON STOCKS
STATED PREFERENCE METHODS
COMMUNITY FORESTRY
CARBON MARKET
LESS
FOREST FIRES
WILLINGNESS TO ACCEPT
RATE OF DEFORESTATION
CLIMATE STABILIZATION
COMMUNITY
VARIANCE
RENEWABLE ENERGY
VARIETY
ENVIRONMENTAL
GASES
FOREST AREA
GLOBAL FOREST
FRAMEWORK CONVENTION ON CLIMATE CHANGE
PRICES
BENEFITS
ILLEGAL LOGGING
LAND ECONOMICS
ENERGY
spellingShingle ECOSYSTEM SERVICES
FOREST DEGRADATION
ENVIRONMENTAL QUALITY
GREENHOUSE GAS ABATEMENT COST
FOREST MANAGEMENT
VALUATION
REDUCING EMISSIONS
NATURE
GREENHOUSE GAS EMISSIONS
CARBON
FINANCIAL RESOURCES
TIMBER
ANIMALS
HEALTHY FORESTS
MONITORING
EMISSIONS
POLITICAL ECONOMY
CARBON MARKETS
CARBON SEQUESTRATION SERVICES
BIOGAS
FORESTRY PRODUCTS
WELFARE
ATMOSPHERE
SUSTAINABLE MANAGEMENT
INCENTIVES
TROPICAL FOREST
MODELS
GAS
INTERNATIONAL FORESTRY RESEARCH
LIVESTOCK GRAZING
GLOBAL GREENHOUSE GAS
SUSTAINABLE DEVELOPMENT
TREES
AIR
GREENHOUSE GAS
WILLINGNESS TO PAY
FERTILIZERS
CARBON MITIGATION
BIOMASS
CARBON NEUTRAL
RENEWABLE ENERGY SOURCES
CO2
CARBON CONCENTRATIONS
FOREST PRODUCTS
FOREST SECTOR
EFFICIENCY IMPROVEMENTS
ENERGY SOURCES
CAPACITY
CHOICE EXPERIMENTS
HETEROGENEITY
PREFERENCES
OPTIONS
CARBON SEQUESTRATION
CONVENTION ON CLIMATE CHANGE
WTP
POLLUTION
FORESTRY
FOREST ECOSYSTEM
TROPICAL REGIONS
WTA
ENVIRONMENTAL CHANGE
FOREST RESOURCES
FOREST LOSS
ENVIRONMENTAL ECONOMICS
GAS EMISSIONS
NATURAL RESOURCES
FUEL SWITCHING
FUELS
UNEP
CONTINGENT VALUATION
ABATEMENT COST
EFFICIENCY
GREENHOUSE GASES
CARBON EMISSIONS
RESOURCES
FOREST CARBON
FUEL WOOD
GREENHOUSE
ENVIRONMENTAL VALUATION
ECOSYSTEM
MARSH
LEAD
GREENHOUSE GAS ABATEMENT
CLIMATE CHANGE
ENVIRONMENTAL GOODS
FOREST COVER
VALUES
DEFORESTATION
CLIMATE
ABATEMENT
FORESTS
FOREST CARBON STOCKS
LAND AREA
CLIMATE CHANGE MITIGATION
CARBON IN FORESTS
LOGGING
FOREST
OPPORTUNITY COSTS
ENVIRONMENT
WEATHER PATTERNS
ECONOMICS
DISCOUNT RATES
TRADE
LAND
COST OF CARBON
CARBON PRICES
ECOSYSTEMS
SIMULATION
LOCAL COMMUNITIES
EMISSIONS FROM DEFORESTATION
ANNUAL GREENHOUSE GAS
FOREST BIOMASS
CARBON STOCKS
STATED PREFERENCE METHODS
COMMUNITY FORESTRY
CARBON MARKET
LESS
FOREST FIRES
WILLINGNESS TO ACCEPT
RATE OF DEFORESTATION
CLIMATE STABILIZATION
COMMUNITY
VARIANCE
RENEWABLE ENERGY
VARIETY
ENVIRONMENTAL
GASES
FOREST AREA
GLOBAL FOREST
FRAMEWORK CONVENTION ON CLIMATE CHANGE
PRICES
BENEFITS
ILLEGAL LOGGING
LAND ECONOMICS
ENERGY
Dissanayake, Sahan T. M.
Beyene, Abebe Damte
Bluffstone, Randall
Gebreegziabher, Zenebe
Martinsson, Peter
Mekonnen, Alemu
Toman, Michael
Vieider, Ferdinand M.
Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia
geographic_facet Africa
Ethiopia
relation Policy Research Working Paper;No. 7296
description This paper informs the national and international policy discussions related to the adoption of the United Nations Reducing Emissions from Deforestation and Forest Degradation Programme. Effective program instruments must carefully consider incentives, opportunity costs, and community interactions. A choice experiment survey was applied to rural Ethiopian communities to understand respondents’ preferences toward the institutional structure of the program contracts. The results show that respondents have particular preferences about how Reducing Emissions from Deforestation and Forest Degradation programs are structured with regard to the manner in which the payments are divided between the households and the communities, the restrictions on using grazing land, and the level of payments received for the program. Surprisingly, restrictions on firewood collection do not significantly impact contract choice. The paper further analyzes the structure of the preferences by using attribute interaction terms and socio-demographic interaction terms. The analysis finds significant regional variation in preferences, indicating that Reducing Emissions from Deforestation and Forest Degradation should be tailored to specific regions. Finally, the marginal willingness to pay for attributes is calculated using the traditional preference space approach, as well as the more recent willingness-to-pay approach.
format Working Paper
author Dissanayake, Sahan T. M.
Beyene, Abebe Damte
Bluffstone, Randall
Gebreegziabher, Zenebe
Martinsson, Peter
Mekonnen, Alemu
Toman, Michael
Vieider, Ferdinand M.
author_facet Dissanayake, Sahan T. M.
Beyene, Abebe Damte
Bluffstone, Randall
Gebreegziabher, Zenebe
Martinsson, Peter
Mekonnen, Alemu
Toman, Michael
Vieider, Ferdinand M.
author_sort Dissanayake, Sahan T. M.
title Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia
title_short Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia
title_full Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia
title_fullStr Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia
title_full_unstemmed Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia
title_sort preferences for redd+ contract attributes in low-income countries : a choice experiment in ethiopia
publisher World Bank, Washington, DC
publishDate 2015
url http://documents.worldbank.org/curated/en/2015/06/24602989/preferences-redd-contract-attributes-low-income-countries-choice-experiment-ethiopia
http://hdl.handle.net/10986/22169
_version_ 1764450336999735296
spelling okr-10986-221692021-04-23T14:04:07Z Preferences for REDD+ Contract Attributes in Low-Income Countries : A Choice Experiment in Ethiopia Dissanayake, Sahan T. M. Beyene, Abebe Damte Bluffstone, Randall Gebreegziabher, Zenebe Martinsson, Peter Mekonnen, Alemu Toman, Michael Vieider, Ferdinand M. ECOSYSTEM SERVICES FOREST DEGRADATION ENVIRONMENTAL QUALITY GREENHOUSE GAS ABATEMENT COST FOREST MANAGEMENT VALUATION REDUCING EMISSIONS NATURE GREENHOUSE GAS EMISSIONS CARBON FINANCIAL RESOURCES TIMBER ANIMALS HEALTHY FORESTS MONITORING EMISSIONS POLITICAL ECONOMY CARBON MARKETS CARBON SEQUESTRATION SERVICES BIOGAS FORESTRY PRODUCTS WELFARE ATMOSPHERE SUSTAINABLE MANAGEMENT INCENTIVES TROPICAL FOREST MODELS GAS INTERNATIONAL FORESTRY RESEARCH LIVESTOCK GRAZING GLOBAL GREENHOUSE GAS SUSTAINABLE DEVELOPMENT TREES AIR GREENHOUSE GAS WILLINGNESS TO PAY FERTILIZERS CARBON MITIGATION BIOMASS CARBON NEUTRAL RENEWABLE ENERGY SOURCES CO2 CARBON CONCENTRATIONS FOREST PRODUCTS FOREST SECTOR EFFICIENCY IMPROVEMENTS ENERGY SOURCES CAPACITY CHOICE EXPERIMENTS HETEROGENEITY PREFERENCES OPTIONS CARBON SEQUESTRATION CONVENTION ON CLIMATE CHANGE WTP POLLUTION FORESTRY FOREST ECOSYSTEM TROPICAL REGIONS WTA ENVIRONMENTAL CHANGE FOREST RESOURCES FOREST LOSS ENVIRONMENTAL ECONOMICS GAS EMISSIONS NATURAL RESOURCES FUEL SWITCHING FUELS UNEP CONTINGENT VALUATION ABATEMENT COST EFFICIENCY GREENHOUSE GASES CARBON EMISSIONS RESOURCES FOREST CARBON FUEL WOOD GREENHOUSE ENVIRONMENTAL VALUATION ECOSYSTEM MARSH LEAD GREENHOUSE GAS ABATEMENT CLIMATE CHANGE ENVIRONMENTAL GOODS FOREST COVER VALUES DEFORESTATION CLIMATE ABATEMENT FORESTS FOREST CARBON STOCKS LAND AREA CLIMATE CHANGE MITIGATION CARBON IN FORESTS LOGGING FOREST OPPORTUNITY COSTS ENVIRONMENT WEATHER PATTERNS ECONOMICS DISCOUNT RATES TRADE LAND COST OF CARBON CARBON PRICES ECOSYSTEMS SIMULATION LOCAL COMMUNITIES EMISSIONS FROM DEFORESTATION ANNUAL GREENHOUSE GAS FOREST BIOMASS CARBON STOCKS STATED PREFERENCE METHODS COMMUNITY FORESTRY CARBON MARKET LESS FOREST FIRES WILLINGNESS TO ACCEPT RATE OF DEFORESTATION CLIMATE STABILIZATION COMMUNITY VARIANCE RENEWABLE ENERGY VARIETY ENVIRONMENTAL GASES FOREST AREA GLOBAL FOREST FRAMEWORK CONVENTION ON CLIMATE CHANGE PRICES BENEFITS ILLEGAL LOGGING LAND ECONOMICS ENERGY This paper informs the national and international policy discussions related to the adoption of the United Nations Reducing Emissions from Deforestation and Forest Degradation Programme. Effective program instruments must carefully consider incentives, opportunity costs, and community interactions. A choice experiment survey was applied to rural Ethiopian communities to understand respondents’ preferences toward the institutional structure of the program contracts. The results show that respondents have particular preferences about how Reducing Emissions from Deforestation and Forest Degradation programs are structured with regard to the manner in which the payments are divided between the households and the communities, the restrictions on using grazing land, and the level of payments received for the program. Surprisingly, restrictions on firewood collection do not significantly impact contract choice. The paper further analyzes the structure of the preferences by using attribute interaction terms and socio-demographic interaction terms. The analysis finds significant regional variation in preferences, indicating that Reducing Emissions from Deforestation and Forest Degradation should be tailored to specific regions. Finally, the marginal willingness to pay for attributes is calculated using the traditional preference space approach, as well as the more recent willingness-to-pay approach. 2015-07-16T14:41:46Z 2015-07-16T14:41:46Z 2015-06 Working Paper http://documents.worldbank.org/curated/en/2015/06/24602989/preferences-redd-contract-attributes-low-income-countries-choice-experiment-ethiopia http://hdl.handle.net/10986/22169 English en_US Policy Research Working Paper;No. 7296 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Ethiopia