Valuation of Biodiversity Benefits (OECD)

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Dennis KingDennis King earned his Ph.D. in natural resource economics in 1977 from the University ofRhode Island (USA). His research and consulting practice focuses on natural resources industries andmarkets and the economics of environmental conservation and restoration. He is the author of overone hundred reports, papers, and book chapters and has been project manager on over fiftyinterdisciplinary research projects addressing international, national, and regional economic,development, and environmental issues. He developed and taught pioneering undergraduate andgraduate level courses in natural resource economics, marine resource economics, and ecologicaleconomics, has provided expert testimony on environmental-economic conflicts before U.S.congressional committees, and has been an expert witness in over 40 cases involving private litigationover natural resource related economic losses. Dr. King serves on several national and stateenvironmental and economic advisory boards, has been a member of National Research Council andNational Academy of Science committees, and is a frequent consultant to congressional committees,regulatory bodies, and industry/government councils.His most recent work focuses on integrated economic and risk analysis applied to ecosystemrestoration, biodiversity protection, and invasive species management. He is also developing newapplications of investment and portfolio analysis to apply in ranking environmental problems. He isthe developer of several widely used analytical tools for assessing and comparing ecosystem servicesand values, and for debiting and crediting environmental trades. Earlier accomplishments includedeveloping fishery-related risk assessment tools for Lloyd’s of London, fleet investment andmanagement models for two of the world’s largest seafood companies, integrated fishery managementmodels and fishing access rental agreements for the 17 country South Pacific Forum Fisheries Agency,and heading an interdisciplinary team evaluating long-term natural resource investment projects inAfrica.Ståle NavrudStåle Navrud is an associate professor in environmental and resource economics at theDepartment of Economics and Social Sciences at the Agricultural University of Norway. Hespecialises in environmental valuation techniques, cost-benefit analysis and their applications to policymaking in both developed and developing countries. He has 15 years of experience in conductingvaluation studies, with applications to biodiversity preservation, ecosystem functions, water pollution(freshwater and marine), environmental impacts of energy production (especially hydropower andwind farms), traffic noise; and impacts of air pollution on health, terrestrial ecosystems and culturalheritage. He has published around 30 journal articles and book chapters, edited the books “Pricing theEuropean Environment” (Scandinavian University Press/Oxford University Press 1992) and “ValuingCultural Heritage”, (forthcoming; Edward Elgar Publishing), and is the European co-ordinator for theweb-based database for environmental valuation studies, EVRI (Environmental Valuation ReferenceInventory).185
Robert O’NeillDr. O’Neill received his doctorate in Ecology in 1967 and spent his research career at OakRidge National Laboratory where he is a Corporate Fellow in the Environmental Sciences Division.He has been a pioneer in ecosystem modeling, error/risk analysis, hierarchy theory, and landscapeecology. He has 250 publications, including 5 books. He has received a number of awards includingthe prestigious McArthur Award from the Ecological Society of America.Peter NijkampPeter Nijkamp (1946) graduated from the Erasmus University in Rotterdam, in the area ofeconometrics. He holds a Ph.D. (cum laude) in non-linear mathematical programming for industrialplanning from the same University. Since 1975 he is professor in regional and urban economics and ineconomic geography at the Free University, Amsterdam. His main research interests cover planevaluation, multicriteria analysis, regional and urban planning, transport systems analysis, mathematicalmodelling, technological innovation, and resource management. In the past years he hasfocused his research in particular on quantitative methods for policy analysis, as well as onbehavioural analysis of economic subjects. He has a broad expertise in the area of public policy,services planning, infrastructure management and environmental protection. In all these fields he haspublished various books and numerous articles. He has been an advisor to several Dutch Ministries,regional and local policy councils, employers’ organizations, private institutions, the Commission ofthe European Union (EU), the Organisation for Economic Cooperation and Development (OECD), theEuropean Conference of Ministers in Transport (ECMT), the Asian Development Bank (ADB), theEuropean Roundtable of Industrialists, ICOMOS, the World Bank, and many other institutions.He has been a guest professor at several universities in Europe, Asia and America. He isdoctor honoris causa at the Vrije Universiteit in Brussels and fellow of the Royal Dutch Academy ofScience and the World Academy of Arts and Sciences. He is past-president of the Regional ScienceAssociation International and chairman of the Network on European Communications and TransportActivity Research (NECTAR). Peter Nijkamp is the 1996 recipient of the most prestigious SpinozaAward in the Netherlands. He is chairman of the Dutch Social Science Council and member of theBoard of the Royal Dutch Academy, while he is also chairman of the new Research School TRAIL (acollaborative initiative of the Erasmus University Rotterdam and Delft Technical University).Paulo NunesPaulo Nunes holds a bachelor degree in Economics from the Lisbon New University (1993),a Master of Arts (1994) and a Ph.D. (1999) in Economics from the Catholic University Leuven. Mostof his research work was done as a Marie Curie Fellow. Since September 1999 Nunes is a SeniorEconomist in the Department of Spatial Economics, Faculty of Economics and Econometrics, FreeUniversity, Amsterdam, The Netherlands. He also a visiting research officer at the Center forEconomic Studies, Faculty of Economics, Catholic University Leuven, Belgium. His general researchinterests extend to environmental, resource and ecological economics. His specific interests coverenvironmental resources evaluation and policy formulation; welfare theory and cost-benefit analysis;biodiversity analysis and monetary valuation; contingent valuation method. Paulo Nunes has also workedas a consultant for the Portuguese Ministry of Environment, coordinated an international research186
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«ENVIRONMENTValuation ofBiodiversi
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ORGANISATION FOR ECONOMIC CO-OPERAT
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TABLE OF CONTENTSPART 1 ...........
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PART 4 ............................
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Why value biodiversity?There are th
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Figure 1.1 Total economic value: us
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from biodiversity at the local leve
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in the database and also for undert
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in the policy context. This is high
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Table 1.3 Policy Options for the Cl
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Box 1.2 Value of Turkey’s Forests
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of the most important implications
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Additionally, valuation does not ju
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value is the habitat, many differen
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are very modest. More recently, new
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Table 2.2 Estimates of the Medicina
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The importance of indirect use valu
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pharmaceutical use, although the li
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McAllister, D., (1991). Estimating
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Simpson, D and Craft, A.. (1996).
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practice, the overlap between these
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aimed at giving more precise quanti
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structural values. There are a numb
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Reid (forthcoming) discusses the po
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Ecotourism as a Way to Generate Loc
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endangered Indian rhino and other t
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ReferencesBann, C., and M. Clemens
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PART 261
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many European countries, CBA has a
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(1) Cost and time constraintsThe co
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activity day, there is greater vari
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added independent variable C s= cha
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error in valuing respiratory sympto
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ReferencesArrow, K.J., R. Solow, E.
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OECD (1995). The Economic Appraisal
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CHAPTER 5:by José Manuel LIMA E SA
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linkages usually lead to diverse co
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A discrete choice approach to quest
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Table 5.2 Model-based point estimat
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is potentially very large for multi
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P3 is already in the mix is 2.51, s
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PART 391
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measures of value. An appendix to t
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features (such as parks, beaches or
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included in cost-benefit analysis o
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A Discussion of Past Efforts to Dev
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Satellite AccountsIn addition to th
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which many people argue are associa
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approach to competing uses of water
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Figure 6.2 Trade-Off AnalysisEnviro
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However, the farmers need not bear
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Appendix 1: Theory and Application
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iwhere C is the income adjustment n
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complete. If there are more than on
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Horowitz, Joel. L. and Jordan. J. L
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CHAPTER 7:by Dennis M. KING and Lis
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Box 7.1 Definition of terms related
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Box 7.2 Categories of Ecosystem Ser
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Box 7.4 Dollar-based ecosystem valu
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Non-monetary indicators of ecosyste
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Figure 7.1 Effects of Wetland Locat
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Page 127 and 128: 2) Service capacity sub-indexIndica
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Page 131 and 132: (1) Functional CapacityIndexFigure
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Page 135 and 136: Service(on or off site)Recreational
Page 137 and 138: Table 7.3 Service Risk Sub-index De
Page 139 and 140: Measuring Service Preference Weight
Page 141 and 142: Table 7.4 Illustration of Paired Co
Page 143 and 144: PART 4151
Page 145 and 146: Ecological foundations for biodiver
Page 147 and 148: Phenotic diversity is a measure bas
Page 149 and 150: Operationalisation of the biotic-ri
Page 151 and 152: ten attributes that could score a m
Page 153 and 154: The choice of the scale relates to
Page 155 and 156: Nature measurement methodIn 1995, t
Page 157 and 158: Table 8.4 Value orientations and en
Page 159 and 160: Table 8.5 Identification of monetar
Page 161 and 162: Table 8.6 Valuation studiesSingle s
Page 163 and 164: in waterway systems for nine impact
Page 165 and 166: to other contexts, conditions, loca
Page 167 and 168: ReferencesAkcakaya, H.R. (1994).
Page 169 and 170: de Groot, R.S. (1994). “Environme
Page 171 and 172: Mace, G. M. & S. N. Stuart. (1994).
Page 173 and 174: Turner, R.K., Perrings, C. and Folk
Page 175: John A. DixonJohn A. Dixon is Lead
Page 179 and 180: Steven StewartSteven Stewart is Ass
Page 181: OECD PUBLICATIONS, 2, rue André-Pa
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