The economic assessment of changes in ecosystem services: an application of the CGE methodology

Authors

  • Francesco Bosello Fondazione Eni Enrico Mattei; Università degli Studi Di Milano
  • Fabio Eboli Fondazione Eni Enrico Mattei; Università degli Studi Ca’ Foscari
  • Ramiro Parrado Fondazione Eni Enrico Mattei; Università degli Studi Ca’ Foscari
  • Paolo A.L.D. Nunes The Mediterranean Science Commission – CIESM; Università di Padova
  • Helen Ding Università di Padova
  • Renato Rosa Fondazione Eni Enrico Mattei

DOI:

https://doi.org/10.7201/earn.2011.01.08

Keywords:

Climate change, Ecosystems services, Integrated assessment, CGE

Abstract

The present study integrates Computable General Equilibrium (CGE) modelling with biodiversity services, proposing a possible methodology for assessing climate-change impacts on ecosystems. The assessment focuses on climate change impacts on carbon sequestration services provided by European forest, cropland and grassland ecosystems and on provisioning services, but provided by forest and cropland ecosystems only. To do this via a CGE model it is necessary to identify first the role that these ecosystem services play in marketable transactions; then how climate change can impact these services; and finally how the economic system reacts to those changes by adjusting demand and supply across sectors, domestically and internationally.

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Author Biographies

Paolo A.L.D. Nunes, The Mediterranean Science Commission – CIESM; Università di Padova

Department of Agricultural and Resource Economics.

Helen Ding, Università di Padova

Department of Agricultural and Resource Economics.

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Published

2011-10-31

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