||Subjective Valuation of Ecological Damages:
Modeling Human Judgments and Preferences for Changes in Ecosystems
within an Integrated Assessment Model
||Hadi Dowlatabadi (CMU), Elena Shevliakova (Princeton)
||climate change, ecological impacts, non-market
valuation, climate change, preferences, ecosystem
||Valuation of ecological impacts of climate change
continues to be difficult, uncertain and controversial. First,
the magnitude and direction of many ecological impacts remain
uncertain. Second, there is considerable disagreement about
appropriateness of different metrics. Third, there is a lack
of methods that allow adequately characterize and quantify human
judgments and preferences about changes in an ecosystem state.
In this paper we explore significance of such assumptions for
decision-making within Integrated Climate Assessment Model.
We have estimated a range of uncertainties in the non-market
valuation of ecosystem impacts under different assumptions about
uncertainties in the ecological changes and the possible valuation
methods. The results of our study suggest that the key assumption
in valuing non-market ecosystem impacts is the representation
of human preferences.