Economic valuation of environmental goods

Knowledge and understanding: demonstrate knowledge and understanding of the main economic concepts related to natural capital and ecosystem services, as well as of the theoretical and methodological foundations of their economic valuation.

Applying knowledge and understanding: be able to identify and apply the main methods and tools for the economic valuation of natural capital and ecosystem services, selecting the most appropriate approaches according to the characteristics of the environmental good or ecosystem service and the decision-making context.

Making judgements: be able to critically assess the applicability, advantages and limitations of different economic valuation methods and to interpret valuation results in support of decisions concerning the management and conservation of natural resources.

Communication skills: be able to present and discuss, using appropriate technical terminology, the methods applied and the results of an economic valuation exercise concerning natural capital and ecosystem services.

Learning skills: develop the ability to independently expand the knowledge acquired, consult the scientific literature, and apply new methods and tools in the field of the economic valuation of natural capital and ecosystem services.

Classroom lectures and practical exercises on the topics covered in the lectures.

Attendance at teaching activities is recommended.

Content of frontal lectures:

The natural capital as asset. Ecosystem services. Classification of ecosystem services. Goals of economic valuation. Principles of welfare economics. The Total Economic Value paradigm. General overview of economic valuation methods. Valuation methods based on revealed preferences. Travel cost method (single sites and multiple sites approaches). Hedonic price method. Defensive behavior. Damage cost method. Valuation methods based on stated preferences. Contingent valuation. Choice Experiments. Secondary methods: Benefit Transfer. The environmental damage estimates in the European courts. Equivalence Analysis.

Exercises deal with the topics of frontal lectures.

Boyle K.J., Brown T.C., Champ P.A. (eds.), A Primer on Nonmarket Valuation, 2nd edition, Kluwer Academic Publishers, Dordrecht, 2016

2. Freeman A. M. III, Herriges J. A., and Kling C., The Measurement of Environmental and Resource Values, 3rd ed., RFF Press, Washington D.C., 2014

3. Signorello G. (ed.), Valuing Natural Capital and Ecosystem Services: Supplementary Material and Readings, Università di Catania, 2026

Oral exam.Votes will be attributed according to the following scheme:

Unsuitable Knowledge and understanding of the topic: Significant shortcoming and inaccuracies Analysis and synthesis skills: Irrelevant. Frequent generalizations. Inability to synthesize Use of references: Completely inappropriate 18-20 Knowledge and understanding of the topic: At threshold level. Obvious imperfections Analysis and synthesis skills: Barely sufficient ability Use of references: Barely appropriate 21-23 Knowledge and understanding of the topic: Routine knowledge Analysis and synthesis skills: Is able to analyze and synthesize correctly. Argues logically and coherently Use of references: Uses standard references 24-26 Knowledge and understanding of the topic: Good knowledge Analysis and synthesis skills: Has good analysis and synthesis skills. Topics are expressed consistently Use of references: Uses standard references 27-29 Knowledge and understanding of the topic: Knowledge more than good Analytical and synthesis skills: Has considerable analytical and synthesis skills Use of references: Has deepened the topics 30-30L Knowledge and understanding of the topic: Excellent knowledge Analytical and synthesis skills: Has considerable ability to analyze and synthesize.

Use of references: Important insights

"To ensure equal opportunities and in compliance with current laws, students may request a personal interview in order to plan any compensatory and/or dispensatory measures based on educational objectives and specific needs. Students can also contact the CInAP (Centro per l’integrazione Attiva e Partecipata — Servizi per le Disabilità e/o DSA) through the referring professor within the department, (https://www.cinap.unict.it/content/referenti)".