Energy and Rural Alaska阿拉斯加能源与农村.pptVIP

Economic Benefits of Preserving Healthy Ecosystems Steve Colt Institute of Social and Economic Research University of Alaska Anchorage Stampede Summit 2 1 April 2005 Preview: What on Earth is Value? Price is not a four-letter word The great divide…. Between price and cost Public lands are the answer— But what was the question? Wild values: measuring ecosystem services Sleeping with porcupines Using the numbers What on Earth is “Value” ? Value is subjective “There is no accounting for taste” Value is determined partly by: Circumstances (water in the desert) Skills and interests (piano, to Beethoven) Income Markets reveal value Economists try to measure value Price: Value in the Marketplace Prices are determined by the interaction of buyers and sellers Buyers compare Their Subjective Value to “the price” Sellers compare their incremental cost to “the price” “the price” is determined by the “Twin Scissors” of buyers and sellers Price is not a four-letter word! When markets work: Price = Cost Value exceeds cost to everyone who decides to buy That’s good for society – we produce as much, but not more, than people want. (xmas comparison) Price signals what must be given up to get something How Markets Work for Conservation: Prices send signals High price encourages conservation High price encourages substitution High price encourages innovation What happened to the impending “copper crisis”? Example: Market for Carbon Emissions EU Market for Carbon Dioxide emission rights opened January 2005 The market price of one ton of CO2 is…… 10 Euro = $14 This equates to 14 cents per gallon of fuel. Is this really going to wreck the economy? The Great Divide – between price and cost When I drove to Denali today, I emitted 200 kg of carbon dioxide into the atmosphere. Who bears this cost? Everyone! This is a negative spillover or a “negative externality” The cost of driving (to society!) exceeds the price of driving (to me!) Your examples, please: Glitter Gulch – each new devel