Chapter 7 Chapter Outlines

Principles of Ecological Economics 

Decision-Making Analyses 

• Cost-effectiveness analysis 
• Cost-benefit analysis 
• Multicriteria decision analysis 

Total Economic Value (TEV) Framework 

• Direct use value 
• Indirect use value 
• Option value 
• Existence value 
• Box 7.1 Case in Point: The Option Value of Biodiversity 
• Estimates of TEV 

Methods of Valuing Ecosystem Services 

• Revealed preference methods 
• Real market techniques 
• Box 7.2 Conservation in Practice: An Example of the Market Pricing Method: Fisheries and Pollution 
• Surrogate market techniques 
• Cost-based techniques 
• Stated preference methods 
• Box 7.3 Success Story: Contingent Valuation Helps Reduce Human-Wildlife Conflict 
• Benefits transfer method 

One Final Comment 

• Box 7.4 Challenges & Opportunities: Taking Anthropocentrism to the Extreme