IDEAS home Printed from
   My bibliography  Save this paper

An Integrated Assessment approach to linking biophysical modelling and economic valuation tools


  • Marit Kragt

    () (Crawford School of Public Policy, The Australian National University)


Natural resource management (NRM) typically involves complex decision problems that affect a wide variety of stakeholder values. Efficient NRM that achieves the greatest environmental, social and financial net benefits, necessitates assessments of the environmental impacts, costs and benefits of investments in an integrated manner. Integrated assessment (IA) provides an approach to incorporate the several dimensions of catchment NRM by considering multiple issues and knowledge from various disciplines and stakeholders. Despite the need for IA, there are few studies that integrate biophysical modelling tools with economic valuation. In this paper, we demonstrate how economic non-market valuation tools can be used to support an IA of catchment NRM changes. We develop a Bayesian Network model that integrates a process-based water quality model, ecological assessments of native riparian vegetation, estimates of management costs and non- market (intangible) values of changes in riparian vegetation. The modelling approach illustrates how information from different sources can be integrated in one framework to evaluate the environmental and economic impacts of NRM actions, as well as the uncertainties associated with the estimated welfare effects. The estimation of marginal social costs and benefits enables a Cost-Benefit Analysis of alternative management intervention, providing more economic rationality to NRM decisions.

Suggested Citation

  • Marit Kragt, 2010. "An Integrated Assessment approach to linking biophysical modelling and economic valuation tools," Environmental Economics Research Hub Research Reports 1053, Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University.
  • Handle: RePEc:een:eenhrr:1053

    Download full text from publisher

    File URL:
    Download Restriction: no


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

    Cited by:

    1. Kragt, Marit Ellen, 2013. "Integrating biophysical and economic systems in a Bayesian Network Hydro-economic framework," Working Papers 153334, University of Western Australia, School of Agricultural and Resource Economics.


    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:een:eenhrr:1053. 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: (CAP Web Team). General contact details of provider: .

    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.

    We have no references for this item. You can help adding them by using 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.

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

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.