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A guiding framework for ecosystem services monetization in ecological–economic modeling

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  • Mateo Cordier
  • José A. Pérez Agúndez
  • Walter Hecq
  • Bertrand Hamaide

Abstract

Monetary valuation techniques are often used for evaluating the effect of a change in ecosystem services on components of human wellbeing, even though they face several drawbacks. This paper seeks to reconcile monetary valuation techniques with methods that address ecosystem-economy interactions by developing a guiding framework that limits the use of monetary valuation to various market simulations. Simulations of scenarios of environmental measures are carried out with a semi-dynamic hybrid input-output model. The guiding framework ensures that monetary valuation techniques contribute to the understanding of the impact of economic activities on changes in ecosystems services and the feedback impact of these changes on economic activities. The framework operates according to three criteria: (i) the category of ecosystem components (intermediate products, ecosystem services, benefits obtained from the ecosystem), (ii) existence of a market, intention to exchange or possibility for restoration or preservation, and (iii) direct/indirect monetary valuation techniques. The methodology is then tested with a case-study. © 2014 Elsevier B.V.

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  • Mateo Cordier & José A. Pérez Agúndez & Walter Hecq & Bertrand Hamaide, 2014. "A guiding framework for ecosystem services monetization in ecological–economic modeling," ULB Institutional Repository 2013/159804, ULB -- Universite Libre de Bruxelles.
    • Handle: RePEc:ulb:ulbeco:2013/159804
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    Cited by:

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    5. Cordier, Mateo & Uehara, Takuro & Weih, Jeffrey & Hamaide, Bertrand, 2017. "An Input-output Economic Model Integrated Within a System Dynamics Ecological Model: Feedback Loop Methodology Applied to Fish Nursery Restoration," Ecological Economics, Elsevier, vol. 140(C), pages 46-57.
    6. Mateo Cordier & Takuro Uehara & Jeffrey Weih & Bertrand Hamaide, 2017. "An Input-output Economic Model Integrated Within a System Dynamics Ecological Model: Feedback Loop Methodology Applied to Fish Nursery Restoration," Post-Print hal-04166569, HAL.
    7. Barth, Nina-Christin & Döll, Petra, 2016. "Assessing the ecosystem service flood protection of a riparian forest by applying a cascade approach," Ecosystem Services, Elsevier, vol. 21(PA), pages 39-52.
    8. Potschin-Young, M. & Haines-Young, R. & Görg, C. & Heink, U. & Jax, K. & Schleyer, C., 2018. "Understanding the role of conceptual frameworks: Reading the ecosystem service cascade," Ecosystem Services, Elsevier, vol. 29(PC), pages 428-440.
    9. Yiting Chen & Zhanbin Li & Peng Li & Zipei Zhang & Yixin Zhang, 2021. "Identification of Coupling and Influencing Factors between Urbanization and Ecosystem Services in Guanzhong, China," Sustainability, MDPI, vol. 13(19), pages 1-21, September.
    10. Alexia Stokes & Géraldine Bocquého & Pascal Carrère & Raphaël Conde Salazar & Marc Deconchat & Léo Garcia & Antoine Gardarin & Christian Gary & Cédric Gaucherel & Mamadou Gueye & Mickael Hedde & Franç, 2023. "Services provided by multifunctional agroecosystems : Questions, obstacles and solutions," Post-Print hal-04056486, HAL.
    11. Stebbings, Emily & Hooper, Tara & Austen, Melanie C. & Papathanasopoulou, Eleni & Yan, Xiaoyu, 2021. "Accounting for benefits from natural capital: Applying a novel composite indicator framework to the marine environment," Ecosystem Services, Elsevier, vol. 50(C).
    12. Mateo Cordier & Walter Hecq & José A. Pérez Agúndez, 2015. "The problem of high restoration costs of marine habitats damaged in the past decades by harbour facilities: Extended Producer Responsibility as an option," Working Papers CEB 15-045, ULB -- Universite Libre de Bruxelles.
    13. Mateo Cordier & Thomas Poitelon & Walter Hecq, 2018. "Developing a shared environmental responsibility principle for distributing cost of restoring marine habitats destroyed by industrial harbors," Working Papers CEB 18-008, ULB -- Universite Libre de Bruxelles.
    14. Olosutean Horea, 2015. "Methods for Modeling Ecosystem Services: A Review," Management of Sustainable Development, Sciendo, vol. 7(1), pages 5-12, June.
    15. Chaigneau, Tomas & Brown, Katrina & Coulthard, Sarah & Daw, Tim M. & Szaboova, Lucy, 2019. "Money, use and experience: Identifying the mechanisms through which ecosystem services contribute to wellbeing in coastal Kenya and Mozambique," Ecosystem Services, Elsevier, vol. 38(C), pages 1-1.
    16. Nathalie Dumax & Anne Rozan & Bénédicte Rulleau, 2020. "“Adapted” Habitat Evaluation Procedure and Choice Experiment: Substitutes or Complements?," Water Economics and Policy (WEP), World Scientific Publishing Co. Pte. Ltd., vol. 6(02), pages 1-30, April.

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    Keywords

    Dynamic model; Ecological-economic interactions; Ecosystem services; Input-output model; Monetary valuation; Monetization limits;
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