RT Journal Article SR Electronic T1 Cloud Cover and Satellite Images of Deforestation JF Land Economics JO Land Econ FD University of Wisconsin Press SP 166 OP 173 DO 10.3368/le.83.2.166 VO 83 IS 2 A1 Butler, J. S. A1 Moser, Christine YR 2007 UL http://le.uwpress.org/content/83/2/166.abstract AB Most studies of deforestation rely on land-cover data interpreted from satellite images. However, it is often difficult, particularly in moist forest areas, to obtain cloud-free images. Dropping or imputing missing values from satellite data relies on the assumption of independence of irrelevant alternatives (IIA), which implies that clouds are independent of the occurrence of forests. We test whether IIA holds for the case of Madagascar. We reject IIA for the amount of forest lost, demonstrating that estimates of deforestation and studies that use deforestation data from satellite images could potentially be biased without the proper corrections for cloud cover. (JEL Q23)