Valuation Methods for Natural Resources 731'328

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Valuation Methods for Natural Resources (731.328)

• Dr. Erwin Schmid and Mag. Ulrich Morawetz
• erwin.schmid_at_boku.ac.atulrich.morawetz_at_boku.ac.at
  
• Spring Semester 2009

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Course Outline

• 1. Motivation Price Value
• 2. Principles of welfare economics
• 3. Measures of Economic Value
• 3.1. Willingness to Pay
• 3.2. Willingness to Accept Compensation
• 4. Market and non-market valuation methods
• 4.1. Cost-Benefit Analysis
• 4.2. Contingent Valuation
• 4.3. Travel Cost Method
• 4.4. Others ecological foodprints, hedonic
  pricing, avoidance cost, etc.
• 5. Experiment (with U. Morawetz)

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Course Material
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Bibliography in Natural Resources and
Environmental Economics

• Pfaff and Stavins' bibliography provides an
  excellent
• overview of the discipline
• Readings in the field of Natural Resource
  Environmental Economics
• by
• Alexander S.P. Pfaff, Columbia University
• Robert N. Stavins, Harvard University
• http//papers.ssrn.com/sol3/papers.cfm?abstract_id
  168969

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The Use of Valuation

• Valuation of Natural Resources serves three major
  purposes
• 1) we want to determine the optimal level of
  policy intervention (i.e. benefits and costs)
• 2) we want to value the total amount of
  environmental pollution and degradation, e.g.,
  including in the national accounts
• 3) we want to calculate the compensation
  polluters need to pay to victims (or vice versa)