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Bundling Biodiversity

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  • Geoffrey Heal

    (Columbia Business School,)

Abstract

Biodiversity provides essential services to human societies. Many of these services are provided as public goods, so that they will typically be underprovided both by market mechanisms (because of the impossibility of excluding non-payers from using the services) and by government-run systems (because of the free rider problem). I suggest here that in some cases the public goods provided by biodiversity conservation can be bundled with private goods and their value to consumers captured in the price realized by the private goods. This may lead to an efficient level of provision. (JEL: H41, Q2, R41) Copyright (c) 2003 The European Economic Association.

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Bibliographic Info

Article provided by MIT Press in its journal Journal of the European Economic Association.

Volume (Year): 1 (2003)
Issue (Month): 2-3 (04/05)
Pages: 553-560

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Handle: RePEc:tpr:jeurec:v:1:y:2003:i:2-3:p:553-560

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Cited by:
  1. Gerrit Frackenpohl & Gert Pönitzsch, 2013. "Bundling Public with Private Goods," Bonn Econ Discussion Papers bgse05_2013, University of Bonn, Germany.
  2. Dam, Lammertjan & Heijdra, Ben J., 2011. "The environmental and macroeconomic effects of socially responsible investment," Journal of Economic Dynamics and Control, Elsevier, vol. 35(9), pages 1424-1434, September.
  3. Bo Chen, 2013. "Assignment Games with Externalities And Matching-Based Competition," Bonn Econ Discussion Papers bgse08_2013, University of Bonn, Germany.
  4. David Zilberman & Leslie Lipper & Nancy McCarthy, 2006. "Putting Payments for Environmental Services in the Context of Economic Development," Working Papers 06-15, Agricultural and Development Economics Division of the Food and Agriculture Organization of the United Nations (FAO - ESA).
  5. Jean-Michel Salles, 2011. "Valuing biodiversity and ecosystem services: why linking economic values with Nature?," Working Papers 11-24, LAMETA, Universtiy of Montpellier, revised Dec 2011.
  6. Heal, Geoffrey, 2004. "Economics of biodiversity: an introduction," Resource and Energy Economics, Elsevier, vol. 26(2), pages 105-114, June.

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