A Model of Optimal Labour and Soil Use with Shifting Cultivation

55 Pages Posted: 4 Dec 2001

See all articles by Unai Pascual

Unai Pascual

University of York - Derwent College

Edward B. Barbier

Colorado State University, Fort Collins - Department of Economics

Date Written: October 2001

Abstract

This paper analyses the relationship between rural poverty and soil degradation in the context of a shifting cultivating community. A deterministic optimal control model demonstrates how a representative household's labour allocation affects the natural resource base on which its livelihood largely depends. The comparative static examination of relevant parameters and welfare effects of changes in the real wage rate are discussed. The theoretical results obtained are calibrated with data from the Yucatan, Mexico.

Keywords: Natural resources, Soil, Mexico

JEL Classification: Q12, Q23, D13, I3

Suggested Citation

Pascual, Unai and Barbier, Edward B., A Model of Optimal Labour and Soil Use with Shifting Cultivation (October 2001). Available at SSRN: https://ssrn.com/abstract=291941 or http://dx.doi.org/10.2139/ssrn.291941

Unai Pascual (Contact Author)

University of York - Derwent College ( email )

Heslington
York YO10 5DD
United Kingdom

Edward B. Barbier

Colorado State University, Fort Collins - Department of Economics ( email )

Fort Collins, CO 80523-1771
United States

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