Economic valuation of marine and coastal ecosystems: is it currently fit for purpose?

In this paper, we consider whether the current “state of the art” of environmental valuation is suitable for producing policy-relevant estimates of the benefits or costs of changes in marine and coastal ecosystems. We review recent changes in European legislation which has meant an increasing demand for economic valuation from the policy and regulatory community. The next section considers, at a more conceptual level, whether the economic “toolbox” and scientific evidence is up to the task of meeting the demand for more evidence-based policy. Finally, three case studies are used to explore the nature of the valuation task and review what is currently known. These case studies are of salt-marsh restoration, marine renewable energy investments, and deep sea conservation

Valuing adaptation under rapid change

AbstractThe methods used to plan adaptation to climate change have been heavily influenced by scientific narratives of gradual change and economic narratives of marginal adjustments to that change. An investigation of the theoretical aspects of how the climate changes suggests that scientific narratives of climate change are socially constructed, biasing scientific narratives to descriptions of gradual as opposed rapid, non-linear change. Evidence of widespread step changes in recent climate records and in model projections of future climate is being overlooked because of this. Step-wise climate change has the potential to produce rapid increases in extreme events that can cross institutional, geographical and sectoral domains.Likewise, orthodox economics is not well suited to the deep uncertainty faced under climate change, requiring a multi-faceted approach to adaptation. The presence of tangible and intangible values range across five adaptation clusters: goods; services; capital assets and infrastructure; social assets and infrastructure; and natural assets and infrastructure. Standard economic methods have difficulty in giving adequate weight to the different types of values across these clusters. They also do not account well for the inter-connectedness of impacts and subsequent responses between agents in the economy. As a result, many highly-valued aspects of human and environmental capital are being overlooked.Recent extreme events are already pressuring areas of public policy, and national strategies for emergency response and disaster risk reduction are being developed as a consequence. However, the potential for an escalation of total damage costs due to rapid change requires a coordinated approach at the institutional level, involving all levels of government, the private sector and civil society.One of the largest risks of maladaptation is the potential for un-owned risks, as risks propagate across domains and responsibility for their management is poorly allocated between public and private interests, and between the roles of the individual and civil society. Economic strategies developed by the disaster community for disaster response and risk reduction provide a base to work from, but many gaps remain.We have developed a framework for valuing adaptation that has the following aspects: the valuation of impacts thus estimating values at risk, the evaluation of different adaptation options and strategies based on cost, and the valuation of benefits expressed as a combination of the benefits of avoided damages and a range of institutional values such as equity, justice, sustainability and profit.The choice of economic methods and tools used to assess adaptation depends largely on the ability to constrain uncertainty around problems (predictive uncertainty) and solutions (outcome uncertainty). Orthodox methods can be used where both are constrained, portfolio methodologies where problems are constrained and robust methodologies where solutions are constrained. Where both are unconstrained, process-based methods utilising innovation methods and adaptive management are most suitable. All methods should involve stakeholders where possible.Innovative processes methods that enable transformation will be required in some circumstances, to allow institutions, sectors and communities to prepare for anticipated major change.Please cite this report as: Jones, RN, Young, CK, Handmer, J, Keating, A, Mekala, GD, Sheehan, P 2013 Valuing adaptation under rapid change, National Climate Change Adaptation Research Facility, Gold Coast, pp. 192.The methods used to plan adaptation to climate change have been heavily influenced by scientific narratives of gradual change and economic narratives of marginal adjustments to that change. An investigation of the theoretical aspects of how the climate changes suggests that scientific narratives of climate change are socially constructed, biasing scientific narratives to descriptions of gradual as opposed rapid, non-linear change. Evidence of widespread step changes in recent climate records and in model projections of future climate is being overlooked because of this. Step-wise climate change has the potential to produce rapid increases in extreme events that can cross institutional, geographical and sectoral domains.Likewise, orthodox economics is not well suited to the deep uncertainty faced under climate change, requiring a multi-faceted approach to adaptation. The presence of tangible and intangible values range across five adaptation clusters: goods; services; capital assets and infrastructure; social assets and infrastructure; and natural assets and infrastructure. Standard economic methods have difficulty in giving adequate weight to the different types of values across these clusters. They also do not account well for the inter-connectedness of impacts and subsequent responses between agents in the economy. As a result, many highly-valued aspects of human and environmental capital are being overlooked.Recent extreme events are already pressuring areas of public policy, and national strategies for emergency response and disaster risk reduction are being developed as a consequence. However, the potential for an escalation of total damage costs due to rapid change requires a coordinated approach at the institutional level, involving all levels of government, the private sector and civil society.One of the largest risks of maladaptation is the potential for un-owned risks, as risks propagate across domains and responsibility for their management is poorly allocated between public and private interests, and between the roles of the individual and civil society. Economic strategies developed by the disaster community for disaster response and risk reduction provide a base to work from, but many gaps remain.We have developed a framework for valuing adaptation that has the following aspects: the valuation of impacts thus estimating values at risk, the evaluation of different adaptation options and strategies based on cost, and the valuation of benefits expressed as a combination of the benefits of avoided damages and a range of institutional values such as equity, justice, sustainability and profit.The choice of economic methods and tools used to assess adaptation depends largely on the ability to constrain uncertainty around problems (predictive uncertainty) and solutions (outcome uncertainty). Orthodox methods can be used where both are constrained, portfolio methodologies where problems are constrained and robust methodologies where solutions are constrained. Where both are unconstrained, process-based methods utilising innovation methods and adaptive management are most suitable. All methods should involve stakeholders where possible.Innovative processes methods that enable transformation will be required in some circumstances, to allow institutions, sectors and communities to prepare for anticipated major change

Current state of the art in preference-based measures of health and avenues for further research

Preference-based measures of health (PBMH) have been developed primarily for use in economic evaluation. They have two components: a standardised, multidimensional system for classifying health states and a set of preference weights or scores that generate a single index score for each health state defined by the classification, where full health is one and zero is equivalent to death. A health state can have a score of less than zero if regarded as worse than being dead. These PMBH can be distinguished from non-preference-based measures by the way the scoring algorithms have been developed, in that they are estimated from the values people place on different aspects of health rather than a simple summative scoring procedure or weights obtained from techniques based on item response patterns (e.g. factor analysis or Rasch analysis). The use of PBMH has grown considerably over the last decade with the increasing use of economic evaluation to inform health policy, for example through the establishment of bodies such as the National Institute for Clinical Excellence in England and Wales, the Health Technology Board in Scotland, and similar agencies in Australia and Canada. Preference-based measures have become a common means of generating health state values for calculating quality-adjusted life years (QALY). The status of PBMH was considerably enhanced by the recommendations of the U.S. Public Health Service Panel on Cost-Effectiveness in Health and Medicine to use them in economic evaluation (6). A key requirement for PBHM in economic evaluation is that they allow comparison across programs. While PBMH have been developed primarily for use in economic evaluation, they have also been used to measure health in populations. PBHM provide a better means than a profile measure of determining whether there has been an overall improvement in self-perceived health. The preference-based nature of their scoring algorithms also offers an advantage over non-preference-based measures since the overall summary score reflects what is important to the general population. A non-preference-based measure does not provide an indication to policy makers of the overall importance of health differences between groups or of changes over time. The purpose of this paper is to critically review methods of designing preference-based measures. The paper begins by reviewing approaches to deriving preference weights for PBMH, and this is followed by a brief description and comparison of five common PBMH. The main part of the paper then critically reviews the core components of these measures, namely the classifications for describing health states, the source of their values, and the methods for estimating the scoring algorithm. The final section proposes future research priorities for this field

Current state of the art in preference-based measures of health and avenues for further research

Preference-based measures of health (PBMH) have been developed primarily for use in economic evaluation. They have two components, a standardized, multidimensional system for classifying health states and a set of preference weights or scores that generate a single index score for each health state defined by the classification, where full health is one and zero is equivalent to death. A health state can have a score of less than zero if regarded as worse than being dead. These PMBH can be distinguished from non-preference-based measures by the way the scoring algorithms have been developed, in that they are estimated from the values people place on different aspects of health rather than a simple summative scoring procedure or weights obtained from techniques based on item response patterns (e.g., factor analysis or Rasch analysis). The use of PBMH has grown considerably over the last decade with the increasing use of economic evaluation to inform health policy. Preference-based measures have become a common means of generating health state values for calculating quality-adjusted life years (QALY). The status of PBMH was considerably enhanced by the recommendations of the U.S. Public Health Service Panel on Cost-Effectiveness in Health and Medicine to use them in economic evaluation. A key requirement for PBHM in economic evaluation is that they allow comparison across programmes. While PBMH have been developed primarily for use in economic evaluation, they have also been used to measure health in populations. PBHM provide a better means than a profile measure of determining whether there has been an overall improvement in self-perceived health. The preference-based nature of their scoring algorithms also offers an advantage over non-preference-based measures since the overall summary score reflects what is important to the general population. A non-preference-based measure does not provide an indication to policy makers of the overall importance of health differences between groups or of changes over time. The purpose of this paper is to critically review methods of designing preference based measures. The paper begins by reviewing approaches to deriving preference weights for PBMH, and this is followed by a brief description and comparison of five common PBMH. The main part of the paper then critically reviews the core components of these measures, namely the classifications for describing health states, the source of their values, and the methods for estimating the scoring algorithm. The final section proposes future research priorities for this field.preference-based health measures

Is Urban Decay Bad? Is Urban Revitalization Bad Too?

Many observers argue that urban revitalization harms the poor, primarily by raising rents. Others argue that urban decline harms the poor by reducing job opportunities, the quality of local public services, and other neighborhood amenities. While both decay and revitalization can have negative effects if moving costs are sufficiently high, in general the impact of neighborhood change on utility depends on the strength of price responses to neighborhood quality changes. Data from the American Housing Survey are used to estimate a discrete choice model identifying households' willingness-to-pay for neighborhood quality. These willingness-to-pay estimates are then compared to the actual price changes that accompany observed changes in neighborhood quality. The results suggest that price increases associated with revitalization are smaller than most households' willingness to pay for neighborhood improvements. The results imply that, in general, neighborhood revitalization is more favorable than neighborhood decline.

Rapid Assessment of Drinking-water Quality: A Handbook for Implementation

Given that the use of an "improved" drinking-water source is a not a foolproof perfect guarantee of the water's safety, this handbook was developed to probe into the question, to what extent the quality of drinking-water from "improved" sources deviates from the assumption that it is safe. This handbook describes methods and procedures applied in the Rapid Assessment of Drinking-water Quality (RADWQs) carried out by WHO and UNICEF in five pilot countries -- they can be adopted by any authority or institution that wants to prepare a snapshot of the quality of "improved" sources of drinking-water, as a first step towards strengthening drinking-water quality regulatio

Rapid asssessment of drinking-water quality: a handbook for implementation

The JMP Rapid assessment of drinking-water quality (RADWQ) was conceived by WHO and UNICEF to explore the quality of drinking-water from "improved" sources. Results in five pilot countries showed a wide range of conditions, from full compliance with the WHO Drinking-water Quality Guidelines to specific sources in a given country only meeting standards in 34% of the samples. Further efforts along the lines of RADWQ will take global water quality testing out of the strict sphere of monitoring into the broader field of capacity development. The RADWQ handbook describes the methods and procedures applied by WHO and UNICEF in the five countries, for adoption by any authority or institution that wants to prepare a snapshot of the quality of "improved" sources of drinking-water, as a first step towards strengthening drinking-water quality regulations

Evaluation of the main achievements of cohesion policy programmes and projects over the longer term in 15 selected regions (from 1989-1993 programme period to the present)

Against a background of inconclusive evidence of the results of EU Cohesion policy since 1989, the aim of this study has been to evaluate the main achievements of EU Cohesion policy programmes and projects and their effectiveness and utility over the longer term in 15 selected regions of the EU15. Specifically, the main objectives of the study were twofold: (i) to examine the achievements of all programmes co-financed by the ERDF and, where applicable, the Cohesion Fund, which have been implemented in the 15 selected regions from 1989 to 2012 (regional programmes and national programmes implemented in the regions); and (ii) to assess the relevance of programmes and the effectiveness and utility of programme achievement

Community health workers and stand-alone or integrated case management of malaria: a systematic literature review.

A systematic literature review was conducted to assess the effectiveness of strategies to improve community case management (CCM) of malaria. Forty-three studies were included; most (38) reported indicators of community health worker (CHW) performance, 14 reported on malaria CCM integrated with other child health interventions, 16 reported on health system capacity, and 13 reported on referral. The CHWs are able to provide good quality malaria care, including performing procedures such as rapid diagnostic tests. Appropriate training, clear guidelines, and regular supportive supervision are important facilitating factors. Crucial to sustainable success of CHW programs is strengthening health system capacity to support commodity supply, supervision, and appropriate treatment of referred cases. The little evidence available on referral from community to health facility level suggests that this is an area that needs priority attention. The studies of integrated CCM suggest that additional tasks do not reduce the quality of malaria CCM provided sufficient training and supervision is maintained