This study investigates the role remittance play in sustaining forest and livelihoods.
The experiment is based on China’s largest payments for ecosystem services policy, Congversion of Cropland to Forest Program (CCFP).
Major findings:
Policy payments increase the probability of sending remittance by out-migrants to their origin households.
There is substantial forest regeneration and greening surrounding households sending out-migrants and receiving remittance.
But forest experience declining and browning in proximity to households with migrants but not receiving remittance.
The primary mechanism is that remittance reduces the reliance of households on natural capital from forests, particularly fuelwood.