Economic Impacts of deforestation
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Questions and Answers

What percentage of the world's palm oil is supplied by plantations in Kalimantan?

  • 60 percent (correct)
  • 40 percent
  • 100 percent
  • 80 percent

What is a primary economic benefit of palm oil plantations in Indonesia?

  • Reduction in agricultural productivity
  • Increase in local employment opportunities (correct)
  • Environmental conservation
  • Decrease in export activities

What is one of the long-term negative impacts of deforestation associated with palm oil production?

  • Soil degradation (correct)
  • Increased biodiversity
  • Higher carbon sequestration
  • Enhanced agricultural productivity

Which statement best describes the nature of the economic gains from deforestation?

<p>They create immediate benefits but are unsustainable. (A)</p> Signup and view all the answers

What is the main consequence of increased palm oil production in relation to the environment?

<p>It contributes to deforestation. (C)</p> Signup and view all the answers

Study Notes

Economic Impact of Palm Oil Production

  • Indonesia's production of palm oil contributes significantly to its economy, supplying approximately 60% of the global demand.
  • The palm oil industry creates jobs and increases local incomes in Kalimantan, employing over 1.5 million people.

Environmental Impact of Deforestation

  • Deforestation for palm oil plantations leads to soil degradation, impacting long-term agricultural productivity.
  • Short-term economic gains from deforestation are outweighed by potential long-term negative impacts, making this approach unsustainable.

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Description

Explore the dual impacts of palm oil production in Indonesia, focusing on its economic contributions and environmental consequences. Understand how the thriving palm oil industry affects local communities and the long-term sustainability of agriculture through deforestation.

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