Understanding risk and coping strategies in forest-agriculture landscapes: Can the structure of environmental incentives (as credit, insurance or payments) influence land use behavior?

In this project, CIFOR is examining the risk and coping strategies in forest-agriculture landscapes, and whether the structure of environmental incentives influences land-use behavior.

We are examining how farmers with different levels of farming intensity and forest dependence are exposed to risks related to climatic, market-based and resource tenure/access and resulting income fluctuations, and the livelihood strategies that they use to reduce exposure to, and cope with risks.

As part of this project CIFOR is also examining how environmental incentives can be better structured for effective and sustained behavioral change to achieve the desired environmental outcomes.

We are employing experimental economic methods to assess preferences for the delivery of incentives as direct payments, formal credit and insurance against risk.

Results of this research will be of particular interest to institutions in the rural development sector, and institutions developing or implementing environmental incentive systems such as payment for environmental services (PES) or REDD+.