Losing Territory: The Effect of Administrative Splits on Land Use in the Tropics
Publication | December 2023
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State decentralization is often promoted to improve public service delivery, but its effects on forest conservation are ambiguous.
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This study exploits the discontinuous changes in government responsibilities through district splitting at new administrative borders in Indonesia. Using a spatial boundary discontinuity design, we find a 35% deforestation decline within new districts relative to existing districts both immediately before and after splits. The results point to strategic investment behavior by existing governments that maximizes medium-run land-use revenues.
Contents
- Introduction
- Background
- Theoretical framework
- Data and methodology
- Results
- Conclusion
- Appendix
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