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EIPOT Final Project Report - Stockholm Environment Institute

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ERA-NET SKEP <strong>Project</strong> <strong>EIPOT</strong> (www.eipot.eu)<br />

“Development of a methodology for the assessment of global environmental impacts of traded goods and services”<br />

Robust<br />

• Defensible theory<br />

• Sensitivity<br />

• Data quality<br />

• Reliability<br />

• Consistency<br />

• Comparability<br />

• Boundaries<br />

The <strong>EIPOT</strong> document on the RACER evaluation framework (Lutter and Giljum 2008) provides a more<br />

detailed description and explanation of these sub-criteria.<br />

3.2 RACER evaluation framework<br />

Our proposed evaluation framework enables an analysis of methods qualitatively and quantitatively.<br />

The qualitative step provides, for each sub-criterion, a description of advantages and disadvantages of<br />

the methods. In the second step, these descriptions are quantified by allocating numerical scores to<br />

each of the sub-criteria, on a three-level scale between zero and two. This scoring can be used to rate<br />

whether a method does not fulfil a criterion at all (zero), fulfils it only partly (one), or is appropriate to<br />

answer the criterion’s question (two).<br />

For each of the five main RACER criteria, an average score was calculated for each method. We<br />

refrained from weighting these values or from summing them into one overall score. Instead, we<br />

compared the five individual RACER scores for each method to produce a more comprehensive<br />

picture of the differences between methods. Presenting average scores in radar diagrams provides an<br />

easily readable overview of the evaluation. An overall, weighted or unweighted, RACER score for<br />

each of the methods was not calculated as the aggregation of major categories was considered too<br />

ambiguous. Not all criteria are of equal importance for decision-making. If decision-making is to be<br />

based on correct information, credibility and robustness may be better indicators than acceptance.<br />

The fact that a method is accepted does not necessarily mean it is the best way to support decisions.<br />

An unsuitable method could become accepted because the proponents are better marketers, have<br />

more resources for dissemination or are better connected. Conversely, if a method is chosen that is<br />

credible and robust, it can (on its merit) become accepted through good published information. Just<br />

because a method is difficult does not mean it should receive lower priority than an easy method. If<br />

the best method for decision-making is difficult, then it just means it has to be supported by experts.<br />

One example is perhaps the support for economic policy decisions that are often based on information<br />

provided by a handful of economists who use general equilibrium models or econometric models.<br />

These are difficult to implement and use, but they are the state-of-the-art in economic modelling. It<br />

would not be advisable to replace these with a more simple method just because the latter was easier.<br />

These considerations would make a reasonable argument for multiplying the individual RACER scores<br />

with different weights, arguably higher for ‘relevance’, ‘credibility’ and ‘robustness’ and lower for ‘easy’<br />

and ‘acceptance’. However, there is no widely accepted consensus about the value of these weights<br />

and it was therefore decided not to apply weighting factors. Instead, qualitative considerations were<br />

used in specifying a method, enabling us to distinguish between the performance of different<br />

methodologies with respect to categories regarded as of more or less importance to the project’s aim.<br />

This means that the methodology which had been ranked best in the RACER analysis is not<br />

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