Getting off the ladder: Disentangling water quality indices to enhance the valuation of divergent ecosystem services.

Many water quality valuation studies and Federal cost-benefit analyses build from pioneering work using a "water quality ladder" or a single water quality index (WQI) to characterize both current conditions and effects of policies. When policies lead to contrasting changes in valued ecosystem services like recreational fishing and swimming, analyses using a single ladder or index might obscure important underlying service trade-offs. We test for this effect using alternative approaches that separate water quality indices and value changes in distinct ecosystem services stemming from policies with small to moderate changes in water quality. The indices we test relate to nutrient loadings in Michigan's rivers, lakes, and Great Lakes. Our split-sample experiment compares economic values for treatments with two versus three quality metrics. The key distinction is that the two-index survey, like many existing studies, aggregates subindices for water contact (for swimming and boating) and fish biomass scores (for fishing) into a single WQI, whereas the three-index survey separately utilizes both. We find that changes in our index reflecting changes in fecal bacteria and water clarity are valued differently from changes in our recreational fishing index. Aggregating changes in these two distinct recreational services using a single WQI yields consistently lower benefit estimates across a range of underlying changes in our experiment. In valuation scenarios with small changes in overall water quality, the WQI-based benefit estimates can differ substantially from benefits measured by decomposing the index and valuing the disparate subindices, differences which might change balance of benefits and costs in regulatory evaluations.

Showing pesticides' true colors: The effects of a farmer-to-farmer training program on pesticide knowledge.

Information plays an important role in technology adoption and behavior change. This may be particularly true for pesticide decisions, which affect farmer income, health, and the environment. Pesticide use is increasing, and farmers often have incomplete knowledge of how pesticides affect crop production and health. Researchers regularly recommend information interventions to improve pesticide knowledge. This study uses a randomized controlled trial of a pesticide training program in Zambia to identify the effects of information on farmer knowledge of both the health risks and the production benefits of pesticides. We use detailed knowledge assessments covering identification and interpretation of toxicity color labels, pest control properties, and exposure to reveal a more complete picture of pesticide knowledge and to identify where information can have the greatest impact. Our results show that training significantly improved farmer knowledge, particularly for the more complicated pesticide characteristics that are harder to learn from experience. We also find that more experienced farmers had worse prior knowledge of pesticide toxicity, though they also had larger increases from training. Overall, our results suggest that pesticide information interventions should focus on the pest control properties of pesticides and on showing pesticides' true colors through toxicity identification by color labels.

Ecosystem services in the Great Lakes.

A comprehensive inventory of ecosystem services across the entire Great Lakes basin is currently lacking and is needed to make informed management decisions. A greater appreciation and understanding of ecosystem services, including both use and non-use services, may have avoided misguided resource management decisions in the past that have resulted in legacies inherited by future generations. Given the interest in ecosystem services and lack of a coherent approach to addressing this topic in the Great Lakes, a summit was convened involving 28 experts working on various aspects of ecosystem services in the Great Lakes. The invited attendees spanned a variety of social and natural sciences. Given the unique status of the Great Lakes as the world's largest collective repository of surface freshwater, and the numerous stressors threatening this valuable resource, timing was propitious to examine ecosystem services. Several themes and recommendations emerged from the summit. There was general consensus that 1) a comprehensive inventory of ecosystem services throughout the Great Lakes is a desirable goal but would require considerable resources; 2) more spatially and temporally intensive data are needed to overcome our data gaps, but the arrangement of data networks and observatories must be well-coordinated; 3) trade-offs must be considered as part of ecosystem services analyses; and 4) formation of a Great Lakes Institute for Ecosystem Services, to provide a hub for research, meetings, and training is desirable. Several challenges also emerged during the summit, which are discussed in the paper.

Exploring the middle ground between environmental protection and economic growth.

Public preference concerning the environment and the economy typically has been characterized as either pro-environmental protection or pro-economic development. Researchers and policymakers increasingly suggest that environmental protection and economic growth are not mutually exclusive. However, use of dichotomous-choice policy preference questions persists. This note empirically examines an alternative response format for the typical dichotomous-choice environmental/economic policy preference question and explores respondents' stated policy preferences in light of their support for recycling. We find that most respondents do not view environmental protection and economic development policy goals to be mutually exclusive. Most respondents view economic growth and environmental protection as compatible suggesting a more heterogeneous view of the environment-economic relationship than oft reported. Hence excluding a middle response choice to the standard environment/economic policy preference question may add measurement error, increase item nonresponse, and fail to account for the views of respondents who view these goals as complementary.

Estimating the demand for drop-off recycling sites: a random utility travel cost approach.

Drop-off recycling is one of the most widely adopted recycling programs in the United States. Despite its wide implementation, relatively little literature addresses the demand for drop-off recycling. This study examines the demand for drop-off recycling sites as a function of travel costs and various site characteristics using the random utility model (RUM). The findings of this study indicate that increased travel costs significantly reduce the frequency of visits to drop-off sites implying that the usage pattern of a site is influenced by its location relative to where people live. This study also demonstrates that site specific characteristics such as hours of operation, the number of recyclables accepted, acceptance of commingled recyclables, and acceptance of yard-waste affect the frequency of visits to drop-off sites.

Influence of energy alternatives and carbon emissions on an institution's green reputation.

Institutions' reputation for being environmentally friendly or 'green' can come from many sources. This paper examines how the attributes of alternative energy management plans impact an institutions' 'green' reputation by focusing on the interaction between 'external' and 'internal' influences. Some 'external' influences on environmental reputation we studied include the institution's mix of fuels, energy conservation effort, carbon emissions targets, investment time-frame, and program cost. The 'internal' influences on institutions' green reputation we examined include altruism (respondents' concern for the welfare of others) and environmentalism (respondents' concern for the environment). Using a stated-preference conjoint survey, we empirically examine how attributes of alternative energy management plans influence a large, research university's 'green' reputation. Our results show that constituents benefit from their institution's green reputation and that the energy management choices of the institution can significantly influence its perceived green reputation. Furthermore, integrating internal and external influences on reputation can create more informative models and better decision-making.

Agent-based modeling of the effects of social norms on enrollment in payments for ecosystem services.

Conservation investments are increasingly being implemented through payments for ecosystem services (PES) for the protection and restoration of ecosystem services around the world. Previous studies suggested that social norms have substantial impacts on environmental behaviors of humans, including enrollment of PES programs. However, it is still not well understood how social norms are affected by the design of PES programs and how the evolution of social norms may affect the efficiency of conservation investments. In this paper, we developed an agent-based simulation model to demonstrate the evolution and impacts of social norms on the enrollment of agricultural land in a PES program. We applied the model to land plots that have been enrolled in China's Grain-to-Green Program (GTGP) to examine reenrollment in an alternative payment program when the current payments ceased. The study was conducted in Wolong Nature Reserve where several thousand plant and animal species, including giant pandas, may benefit from the reenrollment. We found that over 15% more GTGP land can be reenrolled at the same payment if social norms were leveraged by allowing more than ten rounds of interactions among landholders regarding their reenrollment decisions. With only three rounds of interactions, an additional 7.5% GTGP land was reenrolled at the same payment due to the effects of social norms. In addition, the effects of social norms were largest at intermediate payments and were smaller at much higher or much smaller payments. Even in circumstances where frequent interactions among landholders about their enrollment decisions are not feasible, policy arrangements that divide households into multiple waves for sequential enrollment can enroll over 11% more land at a given payment level. The approach presented in this paper can be used to improve the efficiency of existing PES programs and many other conservation investments worldwide.

Using cost-effective targeting to enhance the efficiency of conservation investments in payments for ecosystem services.

Ecosystem services are being protected and restored worldwide through payments for ecosystem services in which participants are paid to alter their land-management approaches to benefit the environment. The efficiency of such investments depends on the design of the payment scheme. Land features have been used to measure the environmental benefits of and amount of payment for land enrollment in payment for ecosystem services schemes. Household characteristics of program participants, however, may also be important in the targeting of land for enrollment. We used the characteristics of households participating in China's Grain-to-Green program, and features of enrolled land to examine the targeting of land enrollment in that program in Wolong Nature Reserve. We compared levels of environmental benefits that can be obtained through cost-effective targeting of land enrollment for different types of benefits under different payment schemes. The efficiency of investments in a discriminative payment scheme (payments differ according to opportunity costs, i.e., landholders' costs of forgoing alternative uses of land) was substantially higher than in a flat payment scheme (same price paid to all participants). Both optimal targeting and suboptimal targeting of land enrollment for environmental benefits achieved substantially more environmental benefits than random selection of land for enrollment. Our results suggest that cost-effective targeting of land through the use of discriminative conservation payments can substantially improve the efficiency of investments in the Grain-to-Green program and other payment for ecosystem services programs.

Linking social norms to efficient conservation investment in payments for ecosystem services.

An increasing amount of investment has been devoted to protecting and restoring ecosystem services worldwide. The efficiency of conservation investments, including payments for ecosystem services (PES), has been found to be affected by biological, political, economic, demographic, and social factors, but little is known about the effects of social norms at the neighborhood level. As a first attempt to quantify the effects of social norms, we studied the effects of a series of possible factors on people's intentions of maintaining forest on their Grain-to-Green Program (GTGP) land plots if the program ends. GTGP is one of the world's largest PES programs and plays an important role in global conservation efforts. Our study was conducted in China's Wolong Nature Reserve, home to the world-famous endangered giant pandas and >4,500 farmers. We found that, in addition to conservation payment amounts and program duration, social norms at the neighborhood level had significant impacts on program re-enrollment, suggesting that social norms can be used to leverage participation to enhance the sustainability of conservation benefits from PES programs. Moreover, our results demonstrate that economic and demographic trends also have profound implications for sustainable conservation. Thus, social norms should be incorporated with economic and demographic trends for efficient conservation investments.

Socioeconomic consequences of mercury use and pollution.

In the past, human activities often resulted in mercury releases to the biosphere with little consideration of undesirable consequences for the health of humans and wildlife. This paper outlines the pathways through which humans and wildlife are exposed to mercury. Fish consumption is the major route of exposure to methylmercury. Humans can also receive toxic doses of mercury through inhalation of elevated concentrations of gaseous elemental mercury. We propose that any effective strategy for reducing mercury exposures requires an examination of the complete life cycle of mercury. This paper examines the life cycle of mercury from a global perspective and then identifies several approaches to measuring the benefits of reducing mercury exposure, policy options for reducing Hg emissions, possible exposure reduction mechanisms, and issues associated with mercury risk assessment and communication for different populations.

Landscape equivalency analysis: methodology for estimating spatially explicit biodiversity credits.

We propose a biodiversity credit system for trading endangered species habitat designed to minimize and reverse the negative effects of habitat loss and fragmentation, the leading cause of species endangerment in the United States. Given the increasing demand for land, approaches that explicitly balance economic goals against conservation goals are required. The Endangered Species Act balances these conflicts based on the cost to replace habitat. Conservation banking is a means to manage this balance, and we argue for its use to mitigate the effects of habitat fragmentation. Mitigating the effects of land development on biodiversity requires decisions that recognize regional ecological effects resulting from local economic decisions. We propose Landscape Equivalency Analysis (LEA), a landscape-scale approach similar to HEA, as an accounting system to calculate conservation banking credits so that habitat trades do not exacerbate regional ecological effects of local decisions. Credits purchased by public agencies or NGOs for purposes other than mitigating a take create a net investment in natural capital leading to habitat defragmentation. Credits calculated by LEA use metapopulation genetic theory to estimate sustainability criteria against which all trades are judged. The approach is rooted in well-accepted ecological, evolutionary, and economic theory, which helps compensate for the degree of uncertainty regarding the effects of habitat loss and fragmentation on endangered species. LEA requires application of greater scientific rigor than typically applied to endangered species management on private lands but provides an objective, conceptually sound basis for achieving the often conflicting goals of economic efficiency and long-term ecological sustainability.

Untying a Lancastrian bundle: valuing ecosystems and ecosystem services for wetland mitigation.

A utility-theoretic model indicates that mitigation prices for wetland ecosystems depend on preferences and technical knowledge. Empirical analysis found gaps in respondents' knowledge about such ecosystems. Valuing wetland types requires dealing with respondents' possible misinformation, by developing tools for informing respondents or by combining service-based valuations with valid technical data.