ABSTRACT

The economic and livelihood foundation of Ethiopia depends largely on primary resource extraction and export activities in agriculture. As a result, much of the Ethiopian landscape has been transformed by human activities. Some regions have been under the human influence for thousands of years, while others have only recently been altered by the expansion of agricultural, industrial, and mining activities. For Ethiopia to overcome widespread and extreme poverty, it needs sustained and sustainable economic development. Such efforts will require substantial increases in the use of its stock of natural capital: land, water, energy, pastures, forest and wildlife resources, and minerals. As citizens’ standard of living improves, resource demands increase. Improved standards of living mean high levels of consumption and increased demand for food, water, energy, shelter, and other essential goods and services. In meeting these livelihood needs, people will have to draw on the country’s natural resources.