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The Impacts of Forest Plantation on Household’s Income

DOI: 10.4236/oalib.1105587, PP. 1-17

Subject Areas: Environmental Economics

Keywords: Household’s Income, Forest Plantation, Impact, DID Method

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Abstract

This study uses differences in differences (DID) method combined with OLS regression to assess the impact of forest plantations on household income and livelihoods in rural areas of Bac Kan Province in Vietnam based on the 2017 household living standard field survey data and VRAFC 2011 database. Results indicated that forest plantations have no impact on improving the household’s income. This is explained by income from forest plantation that is uneven among households in 2017 and household’s income survey data that is often inaccurate because the prolongation of the production cycle in planted forest activities and error in income calculate. On the other hand, the study also found the impact of households gender, off-farm employment, household size, a land area owned, land security and rural credit on incomes and expenditure of households in the study area. We recommend that some policies such as land tenure reform, diversification economic activities and rural employment, to enhance the ability to access resources and improve capacity participation in non-farm activities should be proposed to help improve households living standards in rural areas of Bac Kan Province in particular and Vietnam in general.

Cite this paper

Cuong, T. , Chinh, T. T. Q. and Xie, Y. (2019). The Impacts of Forest Plantation on Household’s Income. Open Access Library Journal, 6, e5587. doi: http://dx.doi.org/10.4236/oalib.1105587.

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