IDEAS home Printed from https://ideas.repec.org/a/wsi/wepxxx/v03y2017i02ns2382624x16500089.html
   My bibliography  Save this article

Valuing Coastal Natural Capital in a Bioeconomic Framework

Author

Listed:
  • Craig A. Bond

    (Rand Corporation, USA)

Abstract

The wetlands of the Gulf Coast region of the United States are under pressure from relative sea level rise and subsidence pressures that threaten to alter fishery breeding grounds and increase expected damage from stochastic storm events, among other issues. Barrier islands, marshes, and swamps are thus forms of natural capital that serve an intermediate role in supporting fishery stocks, as well as a final demand role in providing direct protection to infrastructure. In order to make good policy choices related to land loss, the values associated with these interacting stocks must be estimated. In this paper, the numerical approach of Fenichel and Abbott (2014) is extended as a proof of concept in order to illustrate the valuation of fish and wetlands stocks, allowing for the recovery of final demand and intermediate service values, and taking into account the scarcity value of each resource. Examples of policies which, when implemented, will change the subsequent valuation of each resource are also presented.

Suggested Citation

  • Craig A. Bond, 2017. "Valuing Coastal Natural Capital in a Bioeconomic Framework," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 3(02), pages 1-26, April.
    • Handle: RePEc:wsi:wepxxx:v:03:y:2017:i:02:n:s2382624x16500089
    DOI: 10.1142/S2382624X16500089
    as

    Download full text from publisher

    File URL: http://www.worldscientific.com/doi/abs/10.1142/S2382624X16500089
    Download Restriction: Access to full text is restricted to subscribers
    File URL: https://libkey.io/10.1142/S2382624X16500089?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Zhang Junjie, 2011. "Behavioral Response to Stock Abundance in Exploiting Common-Pool Resources," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 11(1), pages 1-27, August.
    2. Kenneth Arrow & Partha Dasgupta & Karl-Göran Mäler, 2003. "Evaluating Projects and Assessing Sustainable Development in Imperfect Economies," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 26(4), pages 647-685, December.
    3. Hamilton, Kirk & Clemens, Michael, 1999. "Genuine Savings Rates in Developing Countries," The World Bank Economic Review, World Bank, vol. 13(2), pages 333-356, May.
    4. Junjie Zhang & Martin D. Smith, 2011. "Estimation of a Generalized Fishery Model: A Two-Stage Approach," The Review of Economics and Statistics, MIT Press, vol. 93(2), pages 690-699, May.
    5. Kenneth L. Judd, 1998. "Numerical Methods in Economics," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262100711, December.
    6. Kirk Hamilton, 1996. "Pollution And Pollution Abatement In The National Accounts," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 42(1), pages 13-33, March.
    7. Richard T. Woodward & Richard C. Bishop, 2003. "Sector-Level Decisions in a Sustainability-Constrained Economy," Land Economics, University of Wisconsin Press, vol. 79(1), pages 1-14.
    8. Arrow, Kenneth J. & Dasgupta, Partha & Goulder, Lawrence H. & Mumford, Kevin J. & Oleson, Kirsten, 2012. "Sustainability and the measurement of wealth," Environment and Development Economics, Cambridge University Press, vol. 17(3), pages 317-353, June.
    9. Boyd, James & Krupnick, Alan, 2013. "Using Ecological Production Theory to Define and Select Environmental Commodities for Nonmarket Valuation," Agricultural and Resource Economics Review, Cambridge University Press, vol. 42(1), pages 1-32, April.
    10. Dasgupta, Partha & Mäler, Karl-Göran, 2000. "Net national product, wealth, and social well-being," Environment and Development Economics, Cambridge University Press, vol. 5(1), pages 69-93, February.
    11. Nick Hanley & Louis Dupuy & Eoin McLaughlin, 2015. "Genuine Savings And Sustainability," Journal of Economic Surveys, Wiley Blackwell, vol. 29(4), pages 779-806, September.
    12. Boyd, James & Banzhaf, Spencer, 2007. "What are ecosystem services? The need for standardized environmental accounting units," Ecological Economics, Elsevier, vol. 63(2-3), pages 616-626, August.
    13. Stephen Farber, 1996. "Welfare Loss Of Wetlands Disintegration: A Louisiana Study," Contemporary Economic Policy, Western Economic Association International, vol. 14(1), pages 92-106, January.
    14. Dasgupta, Partha, 2001. "Human Well-Being and the Natural Environment," OUP Catalogue, Oxford University Press, number 9780199247882.
    15. Melstrom, Richard T. & Horan, Richard D., 2013. "Managing excessive predation in a predator-endangered prey setting," Ecological Economics, Elsevier, vol. 90(C), pages 85-93.
    16. Hamilton, Kirk, 1994. "Green adjustments to GDP," Resources Policy, Elsevier, vol. 20(3), pages 155-168, September.
    17. Edward B. Barbier, 2007. "Valuing ecosystem services as productive inputs [‘Valuing groundwater recharge through agricultural production in the Hadejia-Jama’are wetlands in northern Nigeria’]," Economic Policy, CEPR, CESifo, Sciences Po;CES;MSH, vol. 22(49), pages 178-229.
    18. Eli P. Fenichel & Joshua K. Abbott, 2014. "Natural Capital: From Metaphor to Measurement," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 1(1), pages 1-27.
    19. Finnoff, David & Tschirhart, John, 2003. "Harvesting in an eight-species ecosystem," Journal of Environmental Economics and Management, Elsevier, vol. 45(3), pages 589-611, May.
    20. Barbier, Edward B., 2012. "A spatial model of coastal ecosystem services," Ecological Economics, Elsevier, vol. 78(C), pages 70-79.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Addicott, Ethan T. & Fenichel, Eli P., 2019. "Spatial aggregation and the value of natural capital," Journal of Environmental Economics and Management, Elsevier, vol. 95(C), pages 118-132.
    2. Eli P Fenichel & Yukiko Hashida, 2019. "Choices and the value of natural capital," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 35(1), pages 120-137.
    3. Kroetz, Kailin & Kuwayama, Yusuke & Vexler, Caroline, 2019. "What is a Fish Out of Water? The Economics Behind the Joint Management of Water Resources and Aquatic Species in the United States," RFF Working Paper Series 19-09, Resources for the Future.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Nick Hanley & Louis Dupuy & Eoin McLaughlin, 2015. "Genuine Savings And Sustainability," Journal of Economic Surveys, Wiley Blackwell, vol. 29(4), pages 779-806, September.
    2. McGrath, Luke & Hynes, Stephen & McHale, John, 2019. "Augmenting the World Bank's estimates: Ireland's genuine savings through boom and bust," Ecological Economics, Elsevier, vol. 165(C), pages 1-1.
    3. Yamaguchi, Rintaro, 2020. "Available capital, utilized capital, and shadow prices in inclusive wealth accounting," Ecological Economics, Elsevier, vol. 169(C).
    4. McLaughlin, Eoin & Ducoing, Cristián & Hanley, Nick, 2024. "Challenges of wealth-based sustainability metrics: A critical appraisal," Ecological Economics, Elsevier, vol. 224(C).
    5. Luke McGrath & Stephen Hynes & John McHale, 2022. "The Air we Breathe: Estimates of Air Pollution Extended Genuine Savings for Europe," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 68(1), pages 161-188, March.
    6. Ferreira, Susana & Moro, Mirko, 2010. "Constructing Genuine Savings Indicators for Ireland, 1995-2005," Stirling Economics Discussion Papers 2010-10, University of Stirling, Division of Economics.
    7. Luke McGrath & Stephen Hynes & John McHale, 2020. "Linking Sustainable Development Assessment in Ireland and the European Union with Economic Theory," The Economic and Social Review, Economic and Social Studies, vol. 51(2), pages 327-355.
    8. Yamaguchi, Rintaro & Managi, Shunsuke, 2019. "Backward- and Forward-looking Shadow Prices in Inclusive Wealth Accounting: An Example of Renewable Energy Capital," Ecological Economics, Elsevier, vol. 156(C), pages 337-349.
    9. Perrings, Charles, 2014. "Environment and development economics 20 years on," Environment and Development Economics, Cambridge University Press, vol. 19(3), pages 333-366, June.
    10. Rintaro Yamaguchi, 2021. "Genuine Savings and Sustainability with Resource Diffusion," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 80(2), pages 451-471, October.
    11. Louis Dupuy, 2012. "International Trade and Sustainability : A survey," Working Papers hal-00701426, HAL.
    12. Louis Dupuy, 2012. "International Trade and Sustainability: A survey," Larefi Working Papers 201201, Larefi, Université Bordeaux 4.
    13. Gren, Ing-Marie & Isacs, Lina, 2009. "Ecosystem services and regional development: An application to Sweden," Ecological Economics, Elsevier, vol. 68(10), pages 2549-2559, August.
    14. Mubashir Qasim & Les Oxley & Eoin McLaughlin, 2020. "Genuine savings as a test of New Zealand weak sustainability," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(1), pages 89-127, January.
    15. Koji Tokimatsu & Louis Dupuy & Nick Hanley, 2019. "Using Genuine Savings for Climate Policy Evaluation with an Integrated Assessment Model," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 72(1), pages 281-307, January.
    16. Geir B. Asheim & Rintaro Yamaguchi, 2023. "Comprehensive National Accounting for Carbon Emissions," CESifo Working Paper Series 10562, CESifo.
    17. Adrian Boos, 2015. "Genuine Savings as an Indicator for “Weak” Sustainability: Critical Survey and Possible Ways forward in Practical Measuring," Sustainability, MDPI, vol. 7(4), pages 1-37, April.
    18. Pezzey, John C.V. & Burke, Paul J., 2014. "Towards a more inclusive and precautionary indicator of global sustainability," Ecological Economics, Elsevier, vol. 106(C), pages 141-154.
    19. Matthias Blum & Eoin McLaughlin & Nick Hanley, 2019. "Accounting for Sustainable Development over the Long‐Run: Lessons from Germany," German Economic Review, Verein für Socialpolitik, vol. 20(4), pages 410-446, November.
    20. Céline Antonin & Thomas Melonio & Xavier Timbeau, 2012. "L'epargne nette ré-ajustée," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(1), pages 259-286.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wsi:wepxxx:v:03:y:2017:i:02:n:s2382624x16500089. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Tai Tone Lim (email available below). General contact details of provider: http://www.worldscinet.com/wep/wep.shtml .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.