American Economic Journal: Applied Economics
no. 2, April 2023
We study Brazil's recent use of satellite technology to overcome law enforcement shortcomings resulting from weak institutional environments. DETER is a system that processes satellite imagery and issues near-real-time deforestation alerts to target environmental enforcement in the Amazon. We propose a novel instrumental variable approach for estimating enforcement's impact on deforestation. Clouds limiting DETER's capacity to detect clearings serve as a source of exogenous variation for the presence of environmental authorities. Findings indicate that monitoring and enforcement effectively curb deforestation. Results hold across several robustness checks.
Assunção, Juliano, Clarissa Gandour, and Romero Rocha.
"DETER-ing Deforestation in the Amazon: Environmental Monitoring and Law Enforcement."
American Economic Journal: Applied Economics,
Environmental, Energy, Health, and Safety Law
Illegal Behavior and the Enforcement of Law
Economic Development: Agriculture; Natural Resources; Energy; Environment; Other Primary Products
Renewable Resources and Conservation: Forestry
Renewable Resources and Conservation: Government Policy
Climate; Natural Disasters and Their Management; Global Warming
Environmental Economics: Government Policy