PHYSICAL DETERMINANTS OF ECONOMIC VALUE OF RIPARIAN BUFFERS IN AN AGRICULTURAL WATERSHED1

ABSTRACT: Economic values of riparian buffers in a watershed are evaluated by the changes in the net economic return for farming with and without riparian buffers when achieving the same water quality objectives. The simulated water quality impacts of alternative farming systems using SWAT and experimental data for riparian buffers are used in a mathematical optimization model to estimate net economic return for farming subject to a water quality objective. Physical characteristics such as stream length, channel slope, average land slope, cropland percentage and several soil attributes are identified in the watershed using ARC/INFO GIS. A regression model is then used to evaluate the impacts of these physical characteristics on the estimated economic values of buffers. The study is conducted in Goodwater Creek watershed, Missouri. The results show the estimated economic value of buffers is significantly affected by some soil properties, stream length, and cropland percentage in watershed and can be used to improve the effectiveness of riparian buffers at watershed and regional levels.     

ECONOMIC EVALUATION OF RIPARIAN BUFFERS IN AN AGRICULTURAL WATERSHED1

ABSTRACT: This study determines the most cost effective spatial pattern of farming systems for improving water quality and evaluates the economic value of riparian buffers in reducing agricultural nonpoint source pollution in a Midwestern agricultural watershed. Economic and water quality impacts of alternative farming systems are evaluated using the CARE and SWAT models, respectively. The water quality benefits of riparian buffers are estimated by combining experimental data and simulated water quality impacts of fanning systems obtained using SWAT. The net economic value of riparian buffers in improving water quality is estimated by total watershed net return with riparian buffers minus total watershed net return without riparian buffers minus the opportunity cost of riparian buffers. Exclusive of maintenance cost, the net economic value of riparian buffers in reducing atrazine concentration from 45 to 24 ppb is $612,117 and the savings in government cost is $631,710. Results strongly support efforts that encourage farmers to develop or maintain riparian buffers adjacent to streams.     

The valuation of historical sites: a case study of Valdivia,Chile

The economic valuation of cultural heritage is an area of increasing interest and an important research topic in the emerging field of cultural economics. Many services and values associated with cultural heritage are not traded in markets, and their estimation requires methods developed for the valuation of non-market goods, such as those used in environmental economics. This paper applies the contingent valuation method with double dichotomous choice to estimate the value of historical sites in the city of Valdivia, Chile. The valuation exercise was implemented by designing a hypothetical guided walking tour to a cluster of historical sites in the city centre, and surveying tourists visiting the city during the summer of 2004. Parametric and non-parametric statistical methods were used to estimate the survival distribution and the mean and median estimates of the willingness-to-pay (WTP). The study emphasizes the importance of explicitly treating heterogeneous preferences and the sensitivity of the survival distribution to the estimation methods used.     

Exploring Values,Context and Perceptions in Contingent Valuation Studies: The CV Market Stall Technique and Willingness to Pay for Wildlife Conservation

Public preferences for conservation and environmental management may be identified in willingness to pay (WTP) studies. Normally part of a contingent valuation exercise, WTP studies elicit monetary estimates of non-market economic goods. This paper describes a new approach to WTP, the CV Market Stall, a technique that adds a discursive, qualitative dimension to contingent valuation. It is suggested that the CV Market Stall technique is a good method for exploring attitudes and responses to environmental project proposals. The flexible format, with an emphasis upon information provision, discussion and learning would also allow contingent valuation to be extended to much more complex and uncertain environmental issues.     

Economic valuation of urban forest benefits in Finland

Urban development projects may cause loss of amenity values of green areas, which should be taken into consideration in planning. Therefore, quantitative information on residents' valuation concerning urban forests is needed for assessing urban land use. The purpose of this investigation was to study the valuation of urban forests in two different urban environments Joensuu and Salo, Finland. The aims were to study the attitudes towards and benefits related to the use of urban forests and, in particular, to measure the valuations in monetary terms using contingent valuation, i.e. measure the residents' willingness-to-pay for larger wooded recreation areas and for small forested parks. Urban forests were seen in both towns as clearly producing positive benefits rather than causing negative effects. The negative features of forests were related to the management of the areas rather than their existence. The main values were related to nature and social functions of forests. In contrast, timber production achieved a distinctively low priority in both study towns. The results stress the importance of defining urban forest policies for municipalities in Finland. More than two-thirds of the respondents were willing to pay for the use of recreation areas. Good location and active management raised the average WTP. Moreover, approximately half of the respondents were willing to pay for preventing construction in urban forests. The results also show that the monetary value of amenity benefits in recreation areas is much higher than the present maintenance costs. The examples concerning the advantageousness of construction on green areas suggest that a limit could be found where the infill of housing areas is not worthwhile from the point of view of society, if the losses of green space benefits are taken into account.     

Air quality assessment by contingent valuation in Ji'nan, China

Along with urbanization and environmental deterioration within China, many residents' desire for improved air quality has increased. To address this topic, this study focuses on the relationship between poor air quality and residents' willingness to pay for improved air quality in the city of Ji'nan. As a means of quantifying an individual's willingness to pay (WTP) for improved air quality, a contingent valuation method (CVM) was employed. A sample of 1500 residents was chosen, based on the stratified sampling method. The respondents' WTP was then elicited through a series of face-to-face interviews, conducted using a range of hypothetical, open-ended scenario questions. The results showed that 59.7% of respondents were able to express a positive WTP, and that the average WTP was 100 Chinese Yuan (CNY) per person, per year. In order to establish the relationship between endogenous variables and WTP, both a Probit model on the probability of a positive WTP, and a stepwise regression model were constructed. Most parameters in the econometric analysis demonstrated the expected results. It was found that annual household income, expenditure on the treatment of respiratory diseases and workers in the family significantly influenced WTP. The rates of positive WTP and the monetary amount were also larger for men than for women. Unlike developed countries, most respondents regard air quality improvement as a government responsibility in that more than 40% of respondents had no incentive to bear the costs of attempting to achieve better air quality, indicating a relatively low environmental consciousness.     

Resident Motivations and Willingness-to-Pay for Urban Biodiversity Conservation in Guangzhou (China)

The monetary assessment of biodiversity measures the welfare damages brought by biodiversity losses and the cost-benefit analysis of conservation projects in a socio-economic context. The contingent valuation method could include motivational factors to strengthen economic analysis of nature conservation. This study analyzed Guangzhou residents’ motivations and willingness-to-pay (WTP) for an urban biodiversity conservation program in the National Baiyun Mountain Scenic Area (BMSA). The peri-urban natural site, offering refuge to some endemic species, is under increasing development pressures for recreational and residential use. A questionnaire survey was conducted in the Guangzhou metropolitan area during June to October 2007. We interviewed face-to-face 720 stratified sampled households to probe residents’ attitudes towards the city’s environmental issues, motivations for urban nature conservation, and WTP for biodiversity conservation. Principal component analysis identified five motivational factors, including environmental benefit, ecological diversity, nature-culture interaction, landscape-recreation function, and intergenerational sustainability, which illustrated the general economic values of urban nature. Logistic regression was applied to predict the probability of people being willing to pay for the urban biodiversity conservation in BMSA. The significant predictors of WTP included household income and the factor nature-culture interaction. The median WTP estimated RMB149/household (about US$19.5/household) per year and an aggregate of RMB291 million (approximately US$19.5/household) per year and an aggregate of RMB291 million (approximately US38.2 million) annually to support the urban conservation project. Including public motivations into contingent valuation presents a promising approach to conduct cost-benefit analysis of public projects in China.     

VISITOR VALUES AND LOCAL ECONOMIC IMPACTS OF RIPARIAN HABITAT PRESERVATION: CALIFORNIA'S KERN RIVER PRESERVE1

ABSTRACT: Preservation of the few remaining ecologically vital riparian areas in the southwestern United States is a significant policy concern. This article reports on two economic aspects of preserving a nationally renowned riparian birding area in Southern California. First, the article examines visitor willingness to pay (WTP) for habitat restoration and estimates an annual WTP of US $77 per visitor to preserve the habitat, about a half‐million dollars a year for estimated visitor numbers in 2000 and 2001. Second, it documents visitor expenditures in the local economy to be approximately three‐quarters of a million dollars per year. This direct visitor spending attributable to the riparian habitat generates around US $1.3 million in increased local business activity in this relatively remote rural area.     

Effect of Watershed Subdivision and Filter Width on SWAT Simulation of a Coastal Plain Watershed1

Cho, Jaepil, Richard R. Lowrance, David D. Bosch, Timothy C. Strickland, Younggu Her, and George Vellidis, 2010. Effect of Watershed Subdivision and Filter Width on SWAT Simulation of a Coastal Plain Watershed. Journal of the American Water Resources Association (JAWRA) 46(3):586-602. DOI: 10.1111/j.1752-1688.2010.00436.x Abstract: The Soil and Water Assessment Tool (SWAT) does not fully simulate riparian buffers, but has a simple filter function that is responsive to filter strip width (FILTERW). The objectives of this study were to (1) evaluate SWAT hydrology and water quality response to changes in watershed subdivision levels and different FILTERW configurations and (2) provide guidance for selecting appropriate watershed subdivision for model runs that include the riparian buffer feature through the FILTERW parameter. Watershed subdivision level is controlled by the critical source area (CSA) which defines the minimum drainage area required to form the origin of a stream. SWAT was calibrated on a 15.7 km² subdrainage within the Little River Experimental Watershed, Georgia. The calibrated parameter set was applied to 32 watershed configurations consisting of four FILTERW representations for each of eight CSA levels. Streamflow predictions were stable regardless of watershed subdivision and FILTERW configuration. Predicted sediment and nutrient loads from upland areas decreased as CSA increased when spatial variations of riparian buffers are considered. Sediment and nutrient yield at the watershed outlet was responsive to different combinations of CSA and FILTERW depending on selected in-stream processes. CSA ranges which provide stable sediment and nutrient yields at the watershed outlet was suggested for avoiding significant modifications in selected parameter set.     

A VSA-Based Strategy for Placing Conservation Buffers in Agricultural Watersheds

Conservation buffers have the potential to reduce agricultural nonpoint source pollution and improve terrestrial wildlife habitat, landscape biodiversity, flood control, recreation, and aesthetics. Conservation buffers, streamside areas and riparian wetlands are being used or have been proposed to control agricultural nonpoint source pollution. This paper proposes an innovative strategy for placing conservation buffers based on the variable source area (VSA) hydrology. VSAs are small, variable but predictable portion of a watershed that regularly contributes to runoff generation. The VSA-based strategy involves the following three steps: first, identifying VSAs in landscapes based on natural characteristics such as hydrology, land use/cover, topography and soils; second, targeting areas within VSAs for conservation buffers; third, refining the size and location of conservation buffers based on other factors such as weather, environmental objectives, available funding and other best management practices. Building conservation buffers in VSAs allows agricultural runoff to more uniformly enter buffers and stay there longer, which increases the buffers capacity to remove sediments and nutrients. A field-scale example is presented to demonstrate the effectiveness and cost-effectiveness of the within-VSA conservation buffer scenario relative to a typical edge-of-field buffer scenario. The results enhance the understanding of hydrological processes and interactions between agricultural lands and conservation buffers in agricultural landscapes, and provide practical guidance for land resource managers and conservationists who use conservation buffers to improve water quality and amenity values of agricultural landscape.     

The Economic Value of Open Space: A Review and Synthesis

/ Communities increasingly face development pressures that can irreversibly alter open space lands. While the monetary costs and benefits of development are typically known, the corresponding values of natural lands are complex and difficult to measure. This paper reviews different concepts of economic value in relation to open space, describes methods for quantifying these values, and presents examples of each from published literature. Open space benefits accruing to citizens as market values or consumers' surplus include market and enhancement values, production values, natural systems value, use and nonuse values, and various intangible values. Economic impacts that open space lands have on local communities and economies include fiscal impacts on municipal budgets, expenditures from open space-related activities, and impacts from employment and tax revenues. These values are not universally present within a given community, nor are they quantitatively additive. However, a comprehensive consideration of the multiple values of open space will better inform community decisions about land conservation and development. KEY WORDS: Conservation; Economic value; Land use; Open space; Zoning     

The value of urban open space: Meta-analyses of contingent valuation and hedonic pricing results

Urban open space provides a number of valuable services to urban populations, including recreational opportunities, aesthetic enjoyment, environmental functions, and may also be associated with existence values. In separate meta-analyses of the contingent valuation (CV) and hedonic pricing (HP) literature we examine which physical, socio-economic, and study characteristics determine the value of open space. The dependent variable in the CV meta-regression is defined as the value of open space per hectare per year in 2003 US$, and in the HP model as the percentage change in house price for a 10 m decrease in distance to open space. Using a multi-level modelling approach we find in both the CV and HP analyses that there is a positive and significant relationship between the value of urban open space and population density, indicating that scarcity and crowdedness matter, and that the value of open space does not vary significantly with income. Further, urban parks are more highly valued than other types of urban open space (forests, agricultural and undeveloped land) and methodological differences in study design have a large influence on estimated values from both CV and HP. We also find important regional differences in preferences for urban open space, which suggests that the potential for transferring estimated values between regions is likely to be limited.     

Considering Conservation Value in Economic Appraisals of Coastal Resources

Measuring the economic value of environmental quality is useful to evaluate policies that affect the use of natural resources. This paper presents the findings of a contingent valuation (CV) survey designed to measure non-use values for the natural coastal environment.This was attempted through evaluating public and scientific values of conservation quality. The results suggest that public perceptions of conservation quality are multidimensional,and that it may be difficult for some individuals to express their preferences for the conservation value of natural resources in monetary terms. Additionally, public and scientific judgments differ concerning some of the physical attributes imparting conservation value. These findings have important implications on efforts to consider environmental quality in land and coastal use decisions.     

A contingent valuation of the Mar Lodge Estate,Cairngorm Mountains,Scotland

The contingent valuation method is applied to the economic valuation of a significant environmental resource in the Scottish Highlands. Use and non‐use values are estimated. The results of such studies might be used to assist decision makers assess the case for public intervention to support the provision of environmental non‐market goods.     

A comparison of alternative contingent valuation elicitation treatments for the evaluation of complex environmental policy

Attempts to evaluate the economic benefits associated with complex environmental policies, using the contingent valuation (CV) method, have been dogged by controversy. In particular, debate has centred on the influence of embedding and related effects on the validity of CV willingness-to-pay (WTP) estimates. This paper discusses these effects in the context of identifying the most appropriate WTP elicitation treatment to evaluate the willingness to pay for the various elements of a multi-dimensional environmental policy. The findings of an empirical experiment demonstrate that a top-down allocation treatment, which uses independent sub-samples for individual policy components, provides the most reliable treatment to value all aspects of a multi-dimensional policy, whilst also overcoming embedding bias problems.     

USING MARYLAND'S STREAM CORRIDOR ASSESSMENT SURVEY TO PRIORITIZE WATERSHED RESTORATION EFFORTS1

ABSTRACT: The Stream Corridor Assessment survey has been developed by the Maryland Department of Natural Resources as a watershed management tool to identify environmental problems and to help prioritize restoration opportunities on a watershed basis. Potential environmental problems commonly identified during the survey include: stream channel alterations, excessive bank erosion, exposed pipes, inadequate stream buffers, fish migration blockages, trash dumping sites, near stream construction, pipe outfalls, and unusual conditions. In addition, the survey records information on the location of potential wetlands creation sites and collects data on the general condition of instream and riparian habitats. Over the past several years, in collaboration with the Maryland Conservation Corps, watershed associations, and local governments, more than 3,293 km (2,046 miles) of Maryland streams have been surveyed. Overall, the survey has proven to be a cost effective starting point for many watershed restoration efforts.     

THE USE OF BINARY OPTIMIZATION AND HYDROLOGIC MODELS TO FORM RIPARIAN BUFFERS1

ABSTRACT: Riparian buffers are considered important management options for protecting water quality. Land costs and buffer performance, which are functions of local environmental characteristics, are likely to be key attributes in the selection process, especially when budgets are limited. In this article we demonstrate how a framework involving hydrologic models and binary optimization can be used to find the optimal buffer subject to a budget constraint. Two hydrologic models, SWAT and REMM, were used to predict the loads from different source areas with and without riparian buffers. These loads provided inputs for a binary optimization model to select the most cost efficient parcels to form a riparian buffer. This methodology was applied in a watershed in Delaware County, New York. The models were parameterized using readily available digital databases and were later compared against observed flow and water quality data available for the site. As a result of the application of this method, the marginal utility of incremental increases in buffer widths along the stream channel and the set of parcels to form the best affordable riparian buffer were obtained.     

Identifying Riparian Buffer Effects on Stream Nitrogen in Southeastern Coastal Plain Watersheds

Within the Southeastern (SE) Coastal Plain of the U.S., numerous freshwaters and estuaries experience eutrophication with significant nutrient contributions by agricultural non-point sources (NPS). Riparian buffers are often used to reduce agricultural NPS yet the effect of buffers in the watershed is difficult to quantify. Using corrected Akaike information criterion (AIC_c) and model averaging, we compared flow-path riparian buffer models with land use/land cover (LULC) models in 24 watersheds from the SE Coastal Plain to determine the ability of riparian buffers to reduce or mitigate stream total nitrogen concentrations (TNC). Additional models considered the relative importance of headwaters and artificial agricultural drainage in the Coastal Plain. A buffer model which included cropland and non-buffered cropland best explained stream TNC (R ² = 0.75) and was five times more likely to be the correct model than the LULC model. The model average predicted that current buffers removed 52 % of nitrogen from the edge-of-field and 45 % of potential nitrogen from the average SE Coastal Plain watershed. On average, 26 % of stream nitrogen leaked through buffered cropland. Our study suggests that stream TNC could potentially be reduced by 34 % if buffers were adequately restored on all cropland. Such estimates provide realistic expectations of nitrogen removal via buffers to watershed managers as they attempt to meet water quality goals. In addition, model comparisons of AIC_c values indicated that non-headwater buffers may contribute little to stream TNC. Model comparisons also indicated that artificial drainage should be considered when accessing buffers and stream nitrogen.