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Less Favored Areas Under Pressure: Conditional Incentive Based Approach To Deal With Externalities, Gideon Kruseman

Gideon Kruseman

Less favoured areas are characterized by having relatively high population densities compared to the carrying capacity of the natural resources, in combination with poor market access and adverse agro-climatic conditions. Very often less favoured areas face external pressures due to high population growth, climatic change and globalisation with unequal benefits. The result is that more often than not, less favoured areas move into development pathways consisting of a vicious circle of environmental degradation and poverty.

In this paper we argue that conditional incentive based rural development where positive incentives are used as income support to targeted populations in less favoured …