The states in the Brazilian Amazon have made progress in reducing poverty and improving social indicators in the last decade. Despite this progress, the poverty rate in the Amazon is among the highest in Brazil. As of 2000, rural poverty is the greatest challenge. In Par?, not only is the...

This paper compares the Total Economic Value of standing Amazonian rain forest with the Net Present Value of alternative agricultural land uses. It is shown that, at the current level of deforestation, the potential benefits of deforestation are higher than the expected costs. As the level of...