Cesar2000-Economics of Coral Reefs.pdf

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duction or logging) would have an effect both on the water quality on the taro fields in the lower watershed as well as in the coral reef and the coastal fish ponds. Since all impacts were contained within the system (with clearly defined integrated property rights), decisions were being made taking these impacts into account and thereby balancing any tradeoffs involved. The Hawaiian ahupua’a system is the ideal world; it very rarely exists today. Usually externalities are present, and they lead to the results that we observe: mismanagement, overuse, needless destruction of precious resources”. One important issue in economic valuation studies is to whom the benefits will accrue and whether these are real or virtual. Travel costs for National Parks form the key welfare measure for the tourism function of coral reef ecosystems. Some of these costs are actually paid and accrue to local or foreign business operators. Most costs are, however, virtual. They describe a potential willingness-to-pay for a specific improvement in reef quality in a National Park. In the case of CVM, all values are virtual in the sense that there are no actual cash transactions associated. It is also important, for the economic analysis of a specific country, to distinguish between local and foreign tourists and between actual expenditures on travel costs and virtual figures. For the economic value of a National Park for a specific country, only the consumer surplus of local tourists should be used. And of the actual expenditures, only those accruing to the host country. . With CVM, if the economic valuation is done with respect to the value to a specific country, only the contingent valuation for the inhabitants of that country should be considered. A second and last important issue is the fact that valuing all the benefits of coral reefs is often frustrating and nearly impossible. Often, however, this is not needed. Assume we show that the net benefits to blast fishers is lower than the societal losses in sustainable fishing income and tourism revenues combined (see Pet-Soede et al. in this monograph). Then, no complicated techniques, such as TC and CVM are needed and no major data collection on the value of bio-prospecting, biotic services and physical structure services are necessary: two services that can be monetised easily already suffice to show the costs of inaction. Hopefully, economic valuation can help and raise the awareness to all those involved in order that we may enjoy the beauty of coral reefs forever. REFERENCES Ablong, W. E., Murphy, J. M., & White, A. T., (1998) “Integrated Coastal Management in Negros Oriental, Philippines: Participation in Coastal Habitat Assessment and Management”. Paper Presented at the International Tropical Marine Systems Management Symposium, 23–26 November, Townsville, Australia, 16 pp. Alcala, A. C., (1988) “Effects of Marine Reserves on Coral Fish Abundances and Yields of Philippine Coral Reefs”. AMBIO, Vol. 17, No. 3, pp. 194–199. Alcala, A. C., & Russ, G. R., (1990) “A Direct Test of the Effects of Protective Management on Abundance and Yield of Tropical Marine Resources”. J. Cons. int. Explor. Mer., Vol. 46, pp. 40–47. Alder, J., Sloan, N. A., & Uktolseya, H., (1994) “A Comparison of Management Planning and Implementation in Three Indonesian Marine Protected Areas”, Ocean and Coastal Management, Vol. 24, No. 3, pp. 179–198. Alvarez, A. A. (1995) “Dead Corals in Exchange for Live Fish Exports”. Marinelife, Vol. 2, No. 1, pp. 9–10. Andersson, J. E. C., & Ngazi, Z., (1995) “Marine Resource Use and the Establishment of a Marine Park: Mafia Island, Tanzania”. AMBIO, Vol. 24, Nos. 7–8, pp. 475–481. Andrews, G., (1998) “Mafia Island Marine Park, Tanzania: Implications of Applying a Marine Park Paradigm in a Developing Country”. ITMEMS, November, 15 pp. Barton, D. N., (1994) “Economic Factors and Valuation of Tropical Coastal Resources”. SMR-Report 14/94, Bergen, Norway, 128 pp. Bakus, G. J. (1982) “The Selection and Management of Coral Reef Preserves”. Ocean Management, Vol. 8, pp. 305–316. Bell, J. D., & Galzin, R., (1984) “Influence of Live Coral Cover on Coral Reef Fish Communities”. Marine Ecology – Progress Series, Vol. 15, pp. 265–274. Berg, H., Öhman, M. C., Troeng, S., & Lindén, O., (1998) “Environmental Economics of Coral Reef Destruction in Sri Lanka”. AMBIO, Vol. 27, No. 8, pp. 627–634. Bjork, M., Mohammed, S. M., Bjorklund, M., & Semesi, A., (1995) “Coralline Algae, Important Coral-reef Builders Threatened by Pollution”. AMBIO, Vol. 24, Nos. 7–8, pp. 502–505. 28 HERMAN S. J. CESAR:
Bohnsack, J. A., & Ault, J. S., (1996) “Management Strategies to Conserve Marine Biodiversity”. Oceanography, Vol. 9, No. 1, pp. 73–82. Brown, B. E., (1997) “Coral bleaching: Causes and Consequences”. Coral Reefs, Vol. 16, pp. S129–S138. Brown, B. E., & Dunne, R. P., (1988) “The Environmental Impact of Coral Mining on Coral Reefs in the Maldives”. Environmental Conservation, Vol. 15, No. 2, pp. 159–166. Brown, B. E., Le Tissier, M. D. A., Scoffin, T. P., & Tudhope, A. W. (1990) “Evaluation of the Environmental Impact of Dredging on Intertidal Coral Reefs at Ko Phuket, Thailand, Using Ecological and Physiological Parameters”. Marine Ecology : Progress Series, Vol. 65, No. 3, pp. 273–281. Bunce, L., Gustavson, K., Williams, J., & Miller, M., (1999) “Report: The human side of reef management: a case study analysis of the socioeconomic framework of Montego Bay Marine Park”. Coral Reefs, Vol.18, No. 4, pp. 369–380. Butler, J. N., Burnett-Herkes, J., Barnes, J. A., & Ward, J., (1993) “The Bermuda Fisheries: A Tragedy of the Commons Averted”. Environment, Vol. 35, No. 1, pp. 7–15, 25–33. Cesar, H. S. J., (1996) Economic analysis of Indonesian coral reefs. Working Paper Series “Work in Progress”, World Bank, Washington DC. 97 pp. Cesar, H., Lundin, C. G., Bettencourt, S., & Dixon, J., (1997) “Indonesian Coral Reefs — An Economic Analysis of a Precious but Threatened Resource”. AMBIO, Vol. 26, No. 6, pp. 345–360. Campos, W. L., Del Norte-Campos, A. G. C., & McManus, J. W., (1994) “Yield Estimates, Catch, Effort and Fishery Potential of the Reef Flat in Cape Bolinao, Philippines”. UP Marine Science Institute Contribution No. 221, University of Philippines, Manila, pp. 82–95. Christie, P., White, A. T., & Buhat, D., (1994) “Community- Based Coral Reef Management on San Salvador Island, the Philippines”. Society and Natural Resources, Vol. 7, pp. 103– 117. Costanza, R., d’Arge, R., de Groot, R., Farber, S., Grasso, M., Hannon, B., Limburg, K., Naeem, S., O’Neill, R. V., Paruelo, J., Raskin, R. G., & Sutton, P., (1997) “The value of the world’s ecosystem services and natural capital”. Nature, 387: 253–260. Davis, D., & Tisdell, C. (1995) “Recreational Scuba-Diving and Carrying Capacity in Marine Protected Areas”. Ocean & Coastal Management, Vol. 26, No. 1, pp. 19–40. Davis, D., & Tisdell, C. (1996) “Economic Management of Recreational Scuba Diving and the Environment”. Journal Of Environmental Management, Vol. 48, No. 3, pp. 229–248. Dennis, G. D., & Bright, T. J., (1988) “The Impact of a Ship Grounding on the Reef Fish Assemblage at Molasses Reef, Key Largo National Marine Sanctuary, Florida”. Proceedings of the 6 th International Coral Reef Symposium Australia, Vol. 2, pp. 213–218. Dixon J. A., Fallon Scura, L., Carpenter, R. A., & Sherman, P. B., (1988) Economic analysis of environmental impacts. 3 rd ed., Earthscan, London. Dixon J. A. (1989) “Coastal resources in Kosrae: an undeveloped economic resource”. Kosrae Island Management Plan, Vol. II, background paper, East-West Center. Dixon, J. A., (1998) “Economic values of coral reef: what are the issues” in Hatziolos, M. E., et al. (eds.) Coral reefs: challenges and opportunities for sustainable management. World Bank, Washington, pp. 157–162. Dixon, J. A., Scura, L. F., & van’t Hof, T., (1993) “Meeting Ecological and Economic Goals: Marine Parks in the Caribbean”. AMBIO, Vol. 22, pp. 117–125. Dixon, J. A., Scura, L. F., & van’t Hof, T., (1995) “Ecology and Microeconomics as ‘Joint Products’: The Bonaire Marine Park in the Caribbean” in Perrings, C. A., et al. (eds.) Biodiversity Conservation. Kluwer Academic Publishers, Dordrecht, pp. 127–145. Dulvy, N. K., Stanwell-Smith, D., Darwall, R. T., & Horrill, C. J., (1995) “Coral Mining at Mafia Island, Tanzania: A Management Dilemma”. AMBIO, Vol. 24, No. 6, pp. 358– 365. Fiske, S. J., (1992) “Sociocultural Aspects of Establishing Marine Protected Areas”. Ocean and Coastal Management, Vol. 18, pp. 25–46. Gabrié, C., Planes, S., Baldwin, J., Bonvallot, J., Chauvet, C., Vernaudon, Y., Payri, C., & Galzin, R., (1994) “Study of the Coral Reefs of Bora-Bora for the Development of a Conservation and Management Plan”. Ocean and Coastal Management, Vol. 25, No. 3, pp. 189–216. Galvez, R., Hingco, T. G., Bautista, C., & Tungpalan, M. T., (1989) “Sociocultural Dynamics of Blast Fishing and Sodium Cyanide Fishing in Two Fishing Villages in the Lingayen Gulf Area” in Silvestre, G., et al. (eds.) Towards Sustainable Development of the Coastal Resources of Lingayen Gulf, Philippines. ICLARM Conference Proceedings 17, pp. 43–62. Gittings, S. R., Bright, T. J., Choi, A., & Barnett, R. R., (1988) “The Recovery Process in a Mechanically Damaged Coral Reef Community: Recruitment and Growth”. Proceedings of the 6 th International Coral Reef Symposium Australia, Vol. 2, pp. 225– 229. Harriott, V. J., Davis, D., & Banks, S. A., (1997) “Recreational Diving and its Impact in Marine Protected Areas in Eastern Australia”. AMBIO, Vol. 26, No. 3, pp. 173–179. Hatcher, A. L., Wright, G. D., & Hatcher, B. G., (1990) “Resolving the Conflict Between Conservation Values and Extractive Use of the Abrolhos Coral Reefs”. Proc. Ecol. Soc. Aust., Vol. 16, pp. 55–70. CORAL REEFS: THEIR FUNCTIONS, THREATS AND ECONOMIC VALUE 29
Page 2 and 3: Collected Essays on the Economics o
Page 4 and 5: Table of Contents Acknowledgements
Page 6 and 7: Foreword Corals and coral reefs hav
Page 8 and 9: ● ● ● ● assessing the threa
Page 10 and 11: fishing is lucrative from the indiv
Page 12 and 13: Coral Reefs: Their Functions, Threa
Page 14 and 15: Table 1. Ecosystem functions and co
Page 16 and 17: Figure 1. Yield of Trochus Shells i
Page 18 and 19: Figure 2. Total Economic Value and
Page 20 and 21: Table 3. Total Net Benefits and Los
Page 22 and 23: Table 5. Valuation Techniques used
Page 24 and 25: people live from the Park, the high
Page 28 and 29: Hatcher, B. G., Johannes, R. E., &
Page 30 and 31: Thorhaug, A., (1992) “Oil Spills
Page 32 and 33: Authors Threats Mgt. Description Is
Page 38 and 39: Assessing the Benefits of Improving
Page 40 and 41: 2.2 Coral Reef Quality Change and t
Page 42 and 43: Five groups were given and the resp
Page 44 and 45: The total sample mean was similar a
Page 46 and 47: one of the five categories were nex
Page 48 and 49: 4.4 Protecting Rights and the Desir
Page 50 and 51: able for tourists versus locals was
Page 52 and 53: problem that where respondents are
Page 54 and 55: turists who regularly handle soil e
Page 56 and 57: expanding tourist industry based on
Page 58 and 59: ism and fisheries. Logging activiti
Page 60 and 61: Table 2. Fisheries gross revenue an
Page 62 and 63: an ‘Environmentally Critical Area
Page 64 and 65: 25,000 20,000 15,000 10,000 5,000 0
Page 66 and 67: sized animals — even at the most
Page 68 and 69: greater willingness among environme
Page 70 and 71: stroyed was 7.5 fish times 0.19 ope
Page 72 and 73: were affected by cyanide squirts fo
Page 74 and 75: Russ, G. R., (1991) “Coral reef f
Page 76 and 77:
eefs that are not too remote, can n
Page 78 and 79:
Table 2. Estimated net income (US$/
Page 80 and 81:
Table 4. Results of base case and t
Page 82 and 83:
ating the destruction of its coral
Page 84 and 85:
creased. Besides these direct effec
Page 86 and 87:
3. ECONOMIC ANALYSIS: SOCIETAL COST
Page 88 and 89:
3.2 Case Study 2: Sri Lanka The soc
Page 90 and 91:
A first difference between the two
Page 92 and 93:
Coral Bleaching in the Indian Ocean
Page 94 and 95:
leaching occurred in the Maldives,
Page 96 and 97:
months after the coral bleaching ev
Page 98 and 99:
Level of importance 35 30 25 20 15
Page 100 and 101:
trols. What is useful from the data
Page 102 and 103:
most disappointing: food and bevera
Page 104 and 105:
REFERENCES Anderson, R. C., Waheed,
Page 106 and 107:
also seem capable of providing many
Page 108 and 109:
Table 1. Summary of Findings of Eco
Page 110 and 111:
Table 2-A. Summary Table of Bioecon
Page 112 and 113:
lation for the spawning stock abund
Page 114 and 115:
3.2.1 DENSITY-DEPENDENT MIGRATION M
Page 116 and 117:
3.2.3 DENSITY-DEPENDENT AND UNI-DIR
Page 118 and 119:
4.2 Habitat Protection A critical a
Page 120 and 121:
REFERENCES Alcala, A. C., (1989)
Page 122 and 123:
Russ, G. R., & Alcala, A. C., (1996
Page 124 and 125:
poses of this review, the mechanism
Page 126 and 127:
Supervision and training of labour
Page 128 and 129:
Table 1. Comparison of restoration
Page 130 and 131:
elating to the case studies. Recrea
Page 132 and 133:
Value of reef products and services
Page 134 and 135:
Fitzharding, R. C., & Bailey-Brock,
Page 136 and 137:
1995). Global annual retail value o
Page 138 and 139:
Table 1. Market Prices in Hong Kong
Page 140 and 141:
2.3 Recent Trends The Asian financi
Page 142 and 143:
destructive, since corals are often
Page 144 and 145:
(input factors are indicated by blu
Page 146 and 147:
Table 2. Challenges of grouper cult
Page 148 and 149:
stages when natural mortality is hi
Page 150 and 151:
STRENGTHEN ENFORCEMENT AND MONITORI
Page 152 and 153:
32 Several efforts along these line
Page 154 and 155:
Jones, R., (1997) “Effects of Cya
Page 156 and 157:
▲ An Economic and Ecological Anal
Page 158 and 159:
The Park was re-established and rev
Page 160 and 161:
associated with dive tourism and th
Page 162 and 163:
Apparent stress threshold B A S 1 P
Page 164 and 165:
A Comparative Study of Socio-Econom
Page 166 and 167:
Table 1. Key Site Characteristics C
Page 168 and 169:
Level Target Respondent Information
Page 170 and 171:
Table 2. Variables Used in the Econ
Page 172 and 173:
Table 3. Tied P-Values for Differen
Page 174 and 175:
as, lagoons and coral reefs were pe
Page 176 and 177:
Table 5. Results of the Econometric
Page 178 and 179:
ties may not reveal their true perc
Page 180 and 181:
Salafsky, N., Cordes, B., John Park
Page 182 and 183:
ICZM guides jointly the activities
Page 184 and 185:
such as alternative means of beach
Page 186 and 187:
2.3.2 CONTRIBUTIONS TO UTILITY —
Page 188 and 189:
marginal benefit function, relating
Page 190 and 191:
the type of use, are not linked to
Page 192 and 193:
4. FUTURE DIRECTIONS FOR DECISION S
Page 194 and 195:
Huber, R. M., & Jameson, S. C., (19
Page 196 and 197:
Appendix. Economic valuation studie
Page 198 and 199:
Ecosystem and Approach ____________
Page 200 and 201:
Ecosystem and Approach ____________
Page 202 and 203:
Contemporary national development p
Page 204 and 205:
The PBPA contains four prominent ex
Page 206 and 207:
5. INTERACTIONS BETWEEN ECOSYSTEM S
Page 208 and 209:
Table 2. Categories of Ecosystems i
Page 210 and 211:
MEY shows the enormous level of ove
Page 212 and 213:
the ecosystem together. The total (
Page 214 and 215:
▲ tourism, coastal protection and
Page 216 and 217:
has dramatically decreased from abo
Page 218 and 219:
seaweed per year is generating abou
Page 220 and 221:
Table 4. Current (1999) annual net
Page 222 and 223:
The essential activities that can e
Page 224 and 225:
their overall economic benefit to i
Page 226 and 227:
Private Sector Management of Marine
Page 228 and 229:
ety of important conservation and o
Page 230 and 231:
50 40 # incidents 30 20 10 0 J A J
Page 232 and 233:
● Investment security is reduced
Page 234 and 235:
onmental practices, and therefore t
Page 236 and 237:
7.4 NGOs Are Not Always Accountable
Page 238 and 239:
Sterner, T, & Andersson, J., (1998)
Page 240 and 241:
perfect but not completed and origi
Page 242:
Jeff Muller, Economist, World Bank,
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