IDEAS home Printed from https://ideas.repec.org/a/now/jirere/101.00000074.html

Environmental and Natural Resource Economics Decisions Under Risk and Uncertainty: A Survey

Author

Listed:
  • Shaw, W. Douglass

Abstract

This survey paper presents the reader with the economics of risk and uncertainty, narrowly focusing on environmental and natural resources problems. Risk involves known, but uncertainty or ambiguity involves unknown, probabilities, or at least a lack of precision about them. Some theoretical review is provided for decision making under both risk and uncertainty, but emphasis is on critically reviewing the newest relevant empirical work. Topics covered include elicitation of risks or subjective probabilities, nonmarket valuation, value of a statistical life, but also optimal extraction of resources. The paper concludes by offering suggestions for future directions of research.

Suggested Citation

  • Shaw, W. Douglass, 2016. "Environmental and Natural Resource Economics Decisions Under Risk and Uncertainty: A Survey," International Review of Environmental and Resource Economics, now publishers, vol. 9(1-2), pages 1-130, July.
    • Handle: RePEc:now:jirere:101.00000074
    DOI: 10.1561/101.00000074
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.1561/101.00000074
    Download Restriction: no
    File URL: https://libkey.io/10.1561/101.00000074?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Conrad, Jon M. & Kotani, Koji, 2007. "Erratum to "When to drill? Trigger prices for the arctic national wildlife refuge" [Resour. Energy Econ. 27(4) (2005) 273-286]," Resource and Energy Economics, Elsevier, vol. 29(3), pages 244-245, September.
    2. William F. Bassett & Robin L. Lumsdaine, 2001. "Probability Limits: Are Subjective Assessments Adequately Accurate?," Journal of Human Resources, University of Wisconsin Press, vol. 36(2), pages 327-363.
    3. Frode Alfnes & Kyrre Rickertsen, 2003. "European Consumers' Willingness to Pay for U.S. Beef in Experimental Auction Markets," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 85(2), pages 396-405.
    4. Anderson, Lisa R. & Mellor, Jennifer M., 2008. "Predicting health behaviors with an experimental measure of risk preference," Journal of Health Economics, Elsevier, vol. 27(5), pages 1260-1274, September.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Aurélien Baillon & Zhenxing Huang & Asli Selim & Peter P. Wakker, 2018. "Measuring Ambiguity Attitudes for All (Natural) Events," Econometrica, Econometric Society, vol. 86(5), pages 1839-1858, September.
    2. Lea Nicita & W. Douglass Shaw & Giovanni Signorello, 2018. "Valuing the Benefits of Rock Climbing and the Welfare Gains from Decreasing Injury Risk," Risk Analysis, John Wiley & Sons, vol. 38(11), pages 2258-2274, November.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Doherty, Edel & Campbell, Danny, 2011. "Demand for improved food safety and quality: a cross-regional comparison," 85th Annual Conference, April 18-20, 2011, Warwick University, Coventry, UK 108791, Agricultural Economics Society.
    2. Engelberg, Joseph & Manski, Charles F. & Williams, Jared, 2009. "Comparing the Point Predictions and Subjective Probability Distributions of Professional Forecasters," Journal of Business & Economic Statistics, American Statistical Association, vol. 27, pages 30-41.
    3. Bertermann, Alexander & Schildberg-Hörisch, Hannah, 2026. "Parental mental health and the economic preferences of the next generation," Journal of Development Economics, Elsevier, vol. 182(C).
    4. repec:aen:journl:ej37-2-insley is not listed on IDEAS
    5. Helena Szrek & Li-Wei Chao & Shandir Ramlagan & Karl Peltzer, 2012. "Predicting (un)healthy behavior: A comparison of risk-taking propensity measures," Judgment and Decision Making, Society for Judgment and Decision Making, vol. 7(6), pages 716-727, November.
    6. Langena, Nina & Klink, Jeanette & Hartmann, Monika, 2013. "Individualized or non-individualized IDM: What elicits consumer preferences best?," 2013 Annual Meeting, August 4-6, 2013, Washington, D.C. 150637, Agricultural and Applied Economics Association.
    7. Yu Na Lee & Laura Stortz & Mike von Massow & Christopher Kimmerer, 2023. "Impact of ‘‘high in” front‐of‐package nutrition labeling on food choices: Evidence from a grocery shopping experiment," Canadian Journal of Agricultural Economics/Revue canadienne d'agroeconomie, Canadian Agricultural Economics Society/Societe canadienne d'agroeconomie, vol. 71(3-4), pages 277-301, September.
    8. repec:dau:papers:123456789/11535 is not listed on IDEAS
    9. Insley, Margaret, 2017. "Resource extraction with a carbon tax and regime switching prices: Exercising your options," Energy Economics, Elsevier, vol. 67(C), pages 1-16.
    10. Lijia Shi & Lisa A. House & Zhifeng Gao, 2013. "Impact of Purchase Intentions on Full and Partial Bids in BDM Auctions: Willingness-to-pay for Organic and Local Blueberries," Journal of Agricultural Economics, Wiley Blackwell, vol. 64(3), pages 707-718, September.
    11. Clas Eriksson, 2011. "Home bias in preferences and the political economics of agricultural protection," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 92(1), pages 5-23.
    12. SeEun Jung & Sang-Hyun Kim, 2020. "Managing the Public Health Risks in the Time of COVID-19," Working papers 2020rwp-181, Yonsei University, Yonsei Economics Research Institute.
    13. Setti Rais Ali & Paul Dourgnon & Lise Rochaix, 2018. "Social Capital or Education: What Matters Most to Cut Time to Diagnosis?," Working Papers halshs-01703170, HAL.
    14. Plamen Nikolov, 2018. "Time Delay and Investment Decisions: Evidence from An Experiment in Tanzania," Economics Bulletin, AccessEcon, vol. 38(2), pages 1124-1137.
    15. Erjon Nexhipi, 2022. "The difference in consumer attitudes of locally grown apples with imported apples. the case of Korca Region, Albania:," Technium Social Sciences Journal, Technium Science, vol. 37(1), pages 250-264, November.
    16. Daisuke Matsuzaki & Yoshiyasu Ono, 2023. "Economic stimulus effects of product innovation under demand stagnation," ISER Discussion Paper 1204r, Institute of Social and Economic Research, Osaka University, revised Jul 2023.
    17. Yonas Alem & Hannah Behrendt & Michèle Belot & Anikó Bíró, 2021. "Mind training, stress and behaviour—A randomised experiment," PLOS ONE, Public Library of Science, vol. 16(11), pages 1-24, November.
    18. Leonhard K. Lades & Kate Laffan & Till O. Weber, 2020. "Do economic preferences predict pro-environmental behaviour?," Working Papers 202003, Geary Institute, University College Dublin.
    19. Yating Chuang & John Chung-En Liu, 2020. "Who wears a mask? Gender differences in risk behaviors in the COVID-19 early days in Taiwan," Economics Bulletin, AccessEcon, vol. 40(4), pages 2619-2627.
    20. Jetter, Michael & Magnusson, Leandro M. & Roth, Sebastian, 2020. "Becoming sensitive: Males’ risk and time preferences after the 2008 financial crisis," European Economic Review, Elsevier, vol. 128(C).
    21. Apouey, Bénédicte H., 2018. "Preparation for old age in France: The roles of preferences and expectations," The Journal of the Economics of Ageing, Elsevier, vol. 12(C), pages 15-23.
    22. Alfnes, Frode & Steine, Gro, 2005. "None-of-These Bias in Stated Choice Experiments," 2005 International Congress, August 23-27, 2005, Copenhagen, Denmark 24761, European Association of Agricultural Economists.

    More about this item

    Keywords

    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;
    ;

    JEL classification:

    • Q2 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation
    • Q3 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Nonrenewable Resources and Conservation
    • Q5 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics
    • D81 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Criteria for Decision-Making under Risk and Uncertainty
    • D83 - Microeconomics - - Information, Knowledge, and Uncertainty - - - Search; Learning; Information and Knowledge; Communication; Belief; Unawareness

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:now:jirere:101.00000074. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Lucy Wiseman (email available below). General contact details of provider: http://www.nowpublishers.com/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.