Global biofuels production is one of the topics that amply illustrates the complexity of harmonising the different variables of sustainable development. Pursuing environmental protection and implementing social standards, while assuring economic feasibility in industrial activities is vital for developing countries to compete in the global economy.

We analyze how land conservation policies affect income distribution looking at changes in wages and rents. Land conservation policies restrict the land for agricultural use. We study how these restrictions affect workers and landowners incomes. Aggregate rents rise when protected areas increase despite the reduction of land availability. Real wages decrease as a consequence of higher prices.

We exploited very detailed data on deforestation and roads investments
over time to provide estimates of spatial spillovers from road investments in
the Brazilian Amazon.

This paper seeks to provide the theoretical underpinnings for the optimal pricing of protected areas used in recreational activities, from the perspective of a local park agency interested in maximizing welfare.