Notes
Slide Show
Outline
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Economy vs.
The Environment:
Fact or Fiction?
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Hypothesis:
Environmental Protection Harms the Economy
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Method
  • Compare economic strength indices with environmental policy or health indices


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“Gold and Green 2000”
example indicators
  • Gold
  • Unemployment
  • Poverty Rate
  • Business start-ups
  • Income gap between rich and poor
  • High school graduation




  • Green
  • Water use
  • Toxic spills
  • Air quality
  • Miles driven
  • Budgeting for environment
  • Emissions/job
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Method
  • Monitor economic response to environmental policies
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Environmental Laws and Jobs, Southern California 1970-90
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Control:
Job Growth, LA Basin vs. U.S.
1960-1990
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Do Wildland Ecosystems have Quantifiable Economic Values?
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Ecosystem Services
  • Climate Regulation
  • Waste Treatment
  • Water Quality
  • Genetic Diversity
  • Pollination
  • Commodity Production
  • Soil Formation
  • Erosion Control
  • Nutrient Cycling
  • Recreation


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Methods
  • Calculation of the value of ecosystem services e.g. replacement cost
  • Direct Valuation of ecosystem services by “willingness to pay” surveys
  • Direct Valuation by measurement of spending by users


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Value Estimates for
Ecosystem Services
  • Nutrient Cycling, global:  $17 trillion/yr*
  • Soil erosion, global: $250 billion/yr lost productivity**
  • Medicinal plants in tropical forests:
  • up to $60/ha/yr***
  • Replacement water filtration, NYC:
  • $7 billion
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Commodities and Crops
  • Nearly 1/4 of prescriptions written in the U.S. are based on natural products:
    • Madagascar periwinkle (Vinca sp.) produces substances used to treat leukemia
    • Purple foxglove (Digitalis purpurea) produces digitalis - used to treat heart ailments.
    • Pacific yew (Taxus brevifolia) produces taxol - used to treat ovarian and breast cancers.
  • 80% of the world's cultivated crops are pollinated by wild and semiwild pollinators.
  • Sources:  S.F. Chronicle. 5/8/95, NY Times 2/2/99; State of the World 1997. Worldwatch Institute. W.W. Norton and Co., New York.
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Value of Wildland Recreation
  • 1996 expenditures for wildlife-related recreation (watching, fishing, hunting), U.S.: $101 billion
  • California: $7.5 billion
  • INCLUDES: boots, beer, bait, bullets, binoculars, travel, taxidermy, food, etc.
  • Source: US Fish and Wildlife, 1996 Survey of fishing, hunting, and wildlife-associated recreation
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Wildlife Watching
  • U.S. 1996:
    • $29.2 billion in expenditures
    • 1 million jobs
  • California:
    • $2.1 billion expenditures
    • 47 thousand jobs

  • Source:  US Fish and Wildlife, 1996 Survey of fishing, hunting, and wildlife-associated recreation



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Wildland Recreation

  • California State Parks, 2002 :
  • $2 billion into local economies **
  • Columbia river, $/fish caught: $70***


  • ** SF Chronicle 11/5/2001
  • *** Niemi, E. and E. Whitelaw. 1995.
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Costs vs. Costs
Livestock Grazing
  • Recreational and Commercial Fishing
      • habitat degradation reduces catch and earnings
  • Sediment Removal
      • costs to dredge channels and reservoirs, repair meadows, treat municipal water
  • Water Quality Reduction
      • costs to treat municipal and industrial water
  • Tourism
      • revenues decrease as aesthetic & ecological values damaged

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Examine Data Closely
  • From 1980 to 1988, 13,800 timber jobs were lost in the Northwest
  • and timber/mill wages fell 18%


  • Sources: California Senate Office of Research, 1996;  Niemi et al., 1999
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"Over the same period"

  • Over the same period, Northwest timber output grew by 19.2%
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Economic Response to Species Listings - Examples
  • States with more listed species tend to show stronger real estate market growth
  • (Stephen Meyer, 1996)
  •  In 1995, 5 years after the listing of nothern spotted owl, Oregon posted its lowest unemployment rate in 25 years:  5.2%.
  • (ABC News, July, 1995)


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Ecosystem Services from
Rivers, Aquifers, Wetlands
  • Water supply for household use, manufacturing, irrigation
  • Commodities e.g. fish, fowl, shellfish
  • Processes e.g. flood control, transportation, recreation, wildlife habitat, soil fertiliztion, enhanced property values


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