Payments for ecosystem services (PES) is widely employed in various settings; however, in what contexts and whether PES programs achieve their objectives by improving local livelihoods and conservation goals is still being debated. This dissertation assessed the impact of the Payments for Forest Environmental Service (PFES) policy on financial, natural and institutional capitals in order to respond to the critical question on whether and how much the PFES policy has contributed to poverty reduction and ecological enhancement. A case study from ...