Discrete Choice Survey Experiments: A Comparison Using Flexible Models

This study investigates the convergent validity of discrete choice contingent valuation (CV) and contingent rating/ranking (CR) methods using flexible econometric methods. Our results suggest that CV and CR can produce consistent data (achieve convergent validity) when respondent’s preferred choices and the same changes in environmental quality are considered. We also find that CR models that go beyond modeling the preferred choice and include additional ranks cannot be pooled with the CV models. Accounting for preference heterogeneity via random coefficient models and their flexible structure does not make rejection of the hypothesis of convergent validity less likely, but instead rejects the hypothesis to about the same degree or perhaps more frequently than fixed parameter models commonly used in the literature.valuation, stated preferences, data pooling, random coefficients, Rayleigh, habitat conservation

LOGIT MODELS FOR POOLED CONTINGENT VALUATION AND CONTINGENT RATING AND RANKING DATA: VALUING BENEFITS FROM FOREST BIODIVERSITY CONSERVATION

Contingent valuation and contingent rating and ranking methods for measuring willingness-to-pay for non-market goods are compared by using random coefficient models and data pooling methods. Pooled models on CV data and CR data on the preferred choice accept pooling if scale differences between the model estimates of CV and CR methods are allowed for. More detailed response models, such as pooled CV model and rank-ordered models for two or three ranks, reject pooling of the data.Resource /Energy Economics and Policy,

Conservation Return on Investment Analysis: A Review of Results, Methods, and New Directions

Conservation investments are increasingly evaluated on the basis of their return on investment (ROI). Conservation ROI analysis quantitatively measures the costs, benefits, and risks of investments so conservancies can rank or prioritize them. This paper surveys the existing conservation ROI and related literatures. We organize our synthesis around the way studies treat recurring, core elements of ROI, as a guide for practitioners and consumers of future ROI analyses. ROI analyses involve quantification of a consistent set of elements, including the definition and measurement of the conservation objective as well as identification of the relevant baselines, the type of conservation investments evaluated, and investment costs. We document the state of the art, note some open questions, and provide suggestions for future improvements in data and methods. We also describe ways ROI analysis can be extended to a broader suite of conservation outcomes than biodiversity conservation, which is the typical focus.return on investment, conservation planning, reserve site selection

Natural climate solutions for the United States

© The Author(s), 2018. This article is distributed under the terms of the Creative Commons Attribution License. The definitive version was published in Science Advances 4 (2018): eaat1869, doi:10.1126/sciadv.aat1869.Limiting climate warming to <2°C requires increased mitigation efforts, including land stewardship, whose potential in the United States is poorly understood. We quantified the potential of natural climate solutions (NCS)—21 conservation, restoration, and improved land management interventions on natural and agricultural lands—to increase carbon storage and avoid greenhouse gas emissions in the United States. We found a maximum potential of 1.2 (0.9 to 1.6) Pg CO2e year−1, the equivalent of 21% of current net annual emissions of the United States. At current carbon market prices (USD 10 per Mg CO2e), 299 Tg CO2e year−1 could be achieved. NCS would also provide air and water filtration, flood control, soil health, wildlife habitat, and climate resilience benefits.This study was made possible by funding from the Doris Duke Charitable Foundation. C.A.W. and H.G. acknowledge financial support from NASA’s Carbon Monitoring System program (NNH14ZDA001N-CMS) under award NNX14AR39G. S.D.B. acknowledges support from the DOE’s Office of Biological and Environmental Research Program under the award DE-SC0014416. J.W.F. acknowledges financial support from the Florida Coastal Everglades Long-Term Ecological Research program under National Science Foundation grant no. DEB-1237517

LOGIT MODELS FOR POOLED CONTINGENT VALUATION AND CONTINGENT RATING AND RANKING DATA: VALUING BENEFITS FROM FOREST BIODIVERSITY CONSERVATION

Contingent valuation and contingent rating and ranking methods for measuring willingness-to-pay for non-market goods are compared by using random coefficient models and data pooling methods. Pooled models on CV data and CR data on the preferred choice accept pooling if scale differences between the model estimates of CV and CR methods are allowed for. More detailed response models, such as pooled CV model and rank-ordered models for two or three ranks, reject pooling of the data

Incentive Payment Programs for Environmental Protection: A Framework for Eliciting and Estimating Landowners' Willingness to Participate

This paper considers the role of incentive payment programs in eliciting, estimating, and predicting landowners' conservation enrollments. Using both program participation and the amount of land enrolled, we develop two econometric approaches for predicting enrollments. The first is a multivariate censored regression model that handles zero enrollments and heterogeneity in the opportunity cost of enrollments by combining an inverse hyperbolic sine transformation of enrollments with alternative-specific correlation and random parameters. The second is a beta-binomial model, which recognizes that in practice elicited enrollments are essentially integer valued. We apply these approaches to Finland, where the protection of private nonindustrial forests is an important environmental policy problem. We compare both econometric approaches via cross-validation and find that the beta-binomial model predicts as well as the multivariate censored model yet has fewer parameters. The beta-binomial model also facilitates policy predictions and simulations, which we use to illustrate the framework

Influence of proximity to and type of foraging habitat on value of insect pollination in the tropics, with applications to Kenya

Insect pollination improves the yield of most crop species and contributes to one-third of global crop production. The importance of this ecosystem service in improving agricultural production has largely been overlooked, however, in favour of practices that improve soil conditions such as fertiliser use and supplementary irrigation. Using economic modelling, this study estimates the value of insect pollination under different land-use types in Kenya. Our model assumes that a combination of land-use type and the foraging distance of insect pollinators influences the intensity of pollination and the value of agricultural output. To demonstrate the hypothesised relationships, areas under different land-use types, e.g. forest, grassland and cropland, and their distances from households were used as proxies for insect pollination. Concentric buffer zones representing foraging distances of pollinators from the land-use types were drawn at 250 m, 500 m, 1 000 m, 2 000 m and 3 000 m from the farms, and areas under each land use in the buffer zones were estimated for the years 2004, 2007 and 2010. Using the random-effects model and an output distance-function stochastic frontier model, the land-use areas, other factors of production and climate variables were regressed on the value of agricultural output in each buffer zone to determine their contribution to agricultural output resulting from insect pollination. The results indicate higher crop productivity on farms bordering forests and grasslands. This implies that insect pollinators are important for crop production, and increasing the number of pollinator habitats closer to the farms will increase food production in the tropics

Air Emissions of Ammonia and Methane from Livestock Operations: Valuation and Policy Options

The animal husbandry industry is a major emitter of methane, which is an important greenhouse gas. The industry is also a major emitter of ammonia, which is a precursor of fine particulate matter, arguably the number-one environment-related public health threat facing the nation. We present an integrated process model of the engineering economics of technologies to reduce methane and ammonia emissions at dairy operations in California. Three policy options are explored: greenhouse gas offset credits for methane control, particulate matter offset credits for ammonia control, and expanded net metering policies to provide revenue for the sale of electricity generated from captured methane gas. Individually, any of these policies appears to be sufficient to provide the economic incentive for farm operators to reduce emissions. We report on initial steps to fully develop the integrated process model that will provide guidance for policymakers

Establishing the SEEA Ecosystem Accounting as a global standard

In March 2021, the UN Statistical Commission adopted the System of Environmental-Economic Accounting Ecosystem Accounting. The SEEA EA provides detailed guidance measuring the extent and condition of ecosystems, and how to quantify ecosystem services. This paper presents the SEEA EA in terms of the various types of ecosystem accounts, its origins, purposes and applications. A first handbook was published in 2013 followed by a period of testing. A revision process was launched in 2018 involving a wide range of experts in ecology, environmental economics and statistics. They proposed new or updated classifications for ecosystems and ecosystem condition, a reference list of ecosystem services and improved the internal consistency of the different ecosystem accounts. These proposals were reviewed in two global consultation rounds yielding strong support for a standard approach to ecosystem accounting. Finally, the conceptual framework and the physical accounts (extent, condition and services) are adopted as an international statistical standard. The guidance on monetary accounts (ecosystem services, ecosystem assets, sequence of accounts) is considered as internationally recognised principles and recommendations. Countries are encouraged to develop ecosystem accounts for use in policy and decision-making processes in both public and private sector and contribute to its further methodological development