The Impact of the Three-North Shelter Forest Program on Rural Income – Evidence from Inner Mongolia in China
This paper studies the direct and spillover effects of the Three-North Shelter Forest Program (TNSFP) on rural income. Using a spatial Durbin model on a panel dataset from 101 counties in Inner Mongolia from 1993 to 2015, we show that the TNSFP had a significantly positive effect on rural income and that different afforestation methods and forest types affect rural income in different ways. The main channels include investment, income, health, and so on.