By Dieter Helm, Cameron Hepburn

ISBN-10: 0199676887

ISBN-13: 9780199676880

This booklet units out the development blocks of an fiscal method of biodiversity, and specifically brings jointly conceptual and empirical paintings on valuation, overseas agreements, the coverage tools, and the associations. the target is to supply a finished evaluate of the problems and proof, and to signify how this very pressing challenge could be addressed. while there was an important progress and examine concentrate on weather switch, much less cognizance has been paid to biodiversity. This number of top quality chapters addresses the industrial concerns all for biodiversity safety.

This publication specializes in the economics, yet comprises the underpinning technology and philosophy, combining the applying of a couple of theoretical rules with a chain of coverage instances. The authors are drawn from prime students of their particular parts of economics, philosophy, and conservation biology.

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Extra resources for Nature in the Balance: The Economics of Biodiversity

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An important assumption is that non-renewable resources can be swapped for other physical or financial assets. But how far can man-made capital substitute for natural capital before the returns on man-made capital start to 17 See Heal (2012). The concept of ‘the balance of nature’ is a useful heuristic, but it has limited empirical support, since change is a permanent feature. Even in ‘predator–prey’ models, the empirical support for the classic Lotka–Volterra equations in ecology is weak. From an economist’s perspective this is unfortunate since the concept of equilibrium and modelling shocks is one that is familiar in economic theory.

Typically, developers have deeper pockets, and hence are better able to muster ‘expert evidence’ in their favour. Thus, despite all the caveats, economic valuation and CBA provides an important tool for the design of biodiversity policy. It is one way of characterizing biodiversity problems, and because of the problems of assigning values to non-market goods and services, the assumptions always need to be spelt out. This includes the information basis and the consequences of changes in information.

First, generalized economic incentives or trading schemes may result in problematic hotspots (Stavins, 2003). g. deforestation policies) is also likely to be a function of location. Furthermore, incentives to deforest land and destroy biodiversity vary dramatically from one location to another (see Pfaff and Robalino, 2012). Location-specific pricing and/or regulation may be required. Unlike climate change, where it does not much matter where carbon dioxide is emitted, spatial location matters enormously to biodiversity and ecosystems.

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Nature in the Balance: The Economics of Biodiversity by Dieter Helm, Cameron Hepburn

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