To Value Functions or Services? An Analysis of Ecosystem Valuation Approaches
Monetary valuation of ecosystem services is a widely used approach to quantify the benefits supplied by the natural environment to society. An alternative approach is the monetary valuation of ecosystem functions, which is defined as the capacity of the ecosystem to supply services. Using two European case-study areas, this paper explores the relative advantages of the two valuation approaches. This is done using a conceptual analysis, a qualitative application, and an overall comparison of both approaches. It is concluded that both approaches can be defended on theoretical grounds, and - if properly applied - will provide the same value estimates. However, valuation of ecosystem services is preferred from a practical point of view. Because there is no one-to-one match between functions and services, researchers should be consistent in their valuation approach. To avoid overlooking or overlapping of values, valuation should either be solely based on functions, or solely based on services.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Turner, R. Kerry & Paavola, Jouni & Cooper, Philip & Farber, Stephen & Jessamy, Valma & Georgiou, Stavros, 2003. "Valuing nature: lessons learned and future research directions," Ecological Economics, Elsevier, vol. 46(3), pages 493-510, October.
- Oliver Fromm, 2000. "Ecological Structure and Functions of Biodiversity as Elements of Its Total Economic Value," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 16(3), pages 303-328, July.
- Ing-Marie Gren & Carl Folke & Kerry Turner & Ian Batemen, 1994. "Primary and secondary values of wetland ecosystems," Environmental & Resource Economics, European Association of Environmental and Resource Economists, vol. 4(1), pages 55-74, February.
- Turner, R. K. & Adger, W. N. & Brouwer, R., 1998. "Ecosystem services value, research needs, and policy relevance: a commentary," Ecological Economics, Elsevier, vol. 25(1), pages 61-65, April.
- Straton, Anna, 2006. "A complex systems approach to the value of ecological resources," Ecological Economics, Elsevier, vol. 56(3), pages 402-411, March.
- Costanza, Robert & d'Arge, Ralph & de Groot, Rudolf & Farber, Stephen & Grasso, Monica & Hannon, Bruce & Limburg, Karin & Naeem, Shahid & O'Neill, Robert V. & Paruelo, Jose, 1998. "The value of ecosystem services: putting the issues in perspective," Ecological Economics, Elsevier, vol. 25(1), pages 67-72, April.
- Hein, Lars & van Koppen, Kris & de Groot, Rudolf S. & van Ierland, Ekko C., 2006. "Spatial scales, stakeholders and the valuation of ecosystem services," Ecological Economics, Elsevier, vol. 57(2), pages 209-228, May.
- Drepper, Friedhelm R. & Mansson, Bengt A., 1993. "Intertemporal valuation in an unpredictable environment," Ecological Economics, Elsevier, vol. 7(1), pages 43-67, February.
- Barbier, Edward B., 2000. "Valuing the environment as input: review of applications to mangrove-fishery linkages," Ecological Economics, Elsevier, vol. 35(1), pages 47-61, October.
- Turner, R. Kerry & van den Bergh, Jeroen C. J. M. & Soderqvist, Tore & Barendregt, Aat & van der Straaten, Jan & Maltby, Edward & van Ierland, Ekko C., 2000. "Ecological-economic analysis of wetlands: scientific integration for management and policy," Ecological Economics, Elsevier, vol. 35(1), pages 7-23, October.
- Cicchetti, Charles J & Freeman, A Myrick, III, 1971. "Option Demand and Consumer Surplus: Further Comment," The Quarterly Journal of Economics, MIT Press, vol. 85(3), pages 528-39, August.
- Maler, Karl-Goran, 2000. "Development, ecological resources and their management: A study of complex dynamic systems," European Economic Review, Elsevier, vol. 44(4-6), pages 645-665, May.
When requesting a correction, please mention this item's handle: RePEc:env:journl:ev17:ev1726. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Andrew Johnson)
If references are entirely missing, you can add them using this form.