The forest and forest seetar are mo re prone to illegaZ activities and corrupt acts than other sectors. Corruption may have deteriorating impact on the forest cover by allowing, for instance, illegaZ logging, illegaZ timbering, smuggling oj forest products ete. Deforestation in the existence of corruption is expected to be higher than without corruption. We hypothesized that corruption could contribute to deforestation. We Jound a statistically significant strong positive relation between corruption and deforestation across different countries. This jinding remains valid in both univariale and multivariate models. Also, the model takes the potential heteroscedasticity problem, comman in crass-seetion studies, info account and makes correction if necessary. One of the remedies launched in combating corruption in forest sector is privatization of state fo res ts (and private forest ownership). In order to test this proposition, we tested the relationship between corruption and privatization and we found a statistically significant strong negative relationship. Then, we searched for the relationship between deforestation and privatization in the forest sector. Our cross-country study indicates that there is a statistically significant strong negative relation between deforestation and privatization in the forest seefor across different countries and this jinding remains valid in both univariate and multivariate models.
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