The Amazon Needs the Rule of Law, Not the Rule of Chainsaw
At the origin of deforestation, there is a problem of what economists call ‘microeconomic incentives’, that is, the (risk-weighted) costs and benefits for the perpetrators. Avoiding forest damage means acting on this calculation. Having bills approved is not enough. For deforesters to take them into account in their calculations, enforcement must be effective. The risk-adjusted cost-benefit calculation favors compliance with the law only when, in case of disobedience, the probability of capture and significant punishment are sufficiently high.