Can Labor Out-Migration Reduce Firewood Consumption by Rural Households in Western Mountainous China

Abstract The relationship between out-migration of labor in the Qinling mountain area and households’ firewood consumption is explored. Migration and remittances reduce households’ firewood consumption due to increases in both income and opportunity cost of firewood collection. Previous studies have been equivocal because they ignored uncertainty in household economy, which is widespread in forest areas of less developed countries. This study provides additional insight by considering vulnerability and subjective assessment of poverty generated by unstable income and an uncertain future. We provide evidence that the amount of firewood consumed depends on income and opportunity cost of firewood collection, but also on a prudent consumption strategy, due to farmers’ subjective assessment of their future possible poverty. We also find out-migration of labor can reduce per capita firewood consumption but subjective poverty also acts against reduction of firewood consumption.