Supply-side approaches to the economic valuation of coastal and marine habitat in the Red Sea

Handle URI:
http://hdl.handle.net/10754/599804
Title:
Supply-side approaches to the economic valuation of coastal and marine habitat in the Red Sea
Authors:
Hoagland, P.; Kite-Powell, H.L.; Jin, D.; Solow, A.R.
Abstract:
The degradation of natural fish habitat in the ocean implies lost economic benefits. These value losses often are not measured or anticipated fully, and therefore they are mainly ignored in decisions to develop the coast for industrial or residential purposes. In such circumstances, the ocean habitat and its associated ecosystem are treated as if they are worthless. Measures of actual or potential economic values generated by fisheries in commercial markets can be used to assess a conservative (lower-bound) value of ocean habitat. With this information, one can begin to compare the values of coastal developments to the values of foregone ocean habitat in order to help understand whether development would be justified economically. In this paper, we focus on the economic value associated with the harvesting of commercial fish stocks as a relevant case for the Saudi Arabian portion of the Red Sea. We describe first the conceptual basis behind supply-side approaches to economic valuation. Next we review the literature on the use of these methods for valuing ocean habitat. We provide an example based on recent research assessing the bioeconomic status of the traditional fisheries of the Red Sea in the Kingdom of Saudi Arabia (KSA). We estimate the economic value of ecosystem services provided by the KSA Red Sea coral reefs, finding that annual per-unit values supporting the traditional fisheries only are on the order of 7000/km2. Finally, we develop some recommendations for refining future applications of these methods to the Red Sea environment and for further research. © 2013 .
Citation:
Hoagland P, Kite-Powell HL, Jin D, Solow AR (2013) Supply-side approaches to the economic valuation of coastal and marine habitat in the Red Sea. Journal of King Saud University - Science 25: 217–228. Available: http://dx.doi.org/10.1016/j.jksus.2013.02.006.
Publisher:
Elsevier BV
Journal:
Journal of King Saud University - Science
KAUST Grant Number:
USA 00002; KSA 00011
Issue Date:
Jul-2013
DOI:
10.1016/j.jksus.2013.02.006
Type:
Article
ISSN:
1018-3647
Sponsors:
This research is based on work supported by Award Nos. USA 00002 and KSA 00011 made by the King Abdullah University of Science and Technology (KAUST).
Appears in Collections:
Publications Acknowledging KAUST Support

Full metadata record

DC FieldValue Language
dc.contributor.authorHoagland, P.en
dc.contributor.authorKite-Powell, H.L.en
dc.contributor.authorJin, D.en
dc.contributor.authorSolow, A.R.en
dc.date.accessioned2016-02-28T06:10:12Zen
dc.date.available2016-02-28T06:10:12Zen
dc.date.issued2013-07en
dc.identifier.citationHoagland P, Kite-Powell HL, Jin D, Solow AR (2013) Supply-side approaches to the economic valuation of coastal and marine habitat in the Red Sea. Journal of King Saud University - Science 25: 217–228. Available: http://dx.doi.org/10.1016/j.jksus.2013.02.006.en
dc.identifier.issn1018-3647en
dc.identifier.doi10.1016/j.jksus.2013.02.006en
dc.identifier.urihttp://hdl.handle.net/10754/599804en
dc.description.abstractThe degradation of natural fish habitat in the ocean implies lost economic benefits. These value losses often are not measured or anticipated fully, and therefore they are mainly ignored in decisions to develop the coast for industrial or residential purposes. In such circumstances, the ocean habitat and its associated ecosystem are treated as if they are worthless. Measures of actual or potential economic values generated by fisheries in commercial markets can be used to assess a conservative (lower-bound) value of ocean habitat. With this information, one can begin to compare the values of coastal developments to the values of foregone ocean habitat in order to help understand whether development would be justified economically. In this paper, we focus on the economic value associated with the harvesting of commercial fish stocks as a relevant case for the Saudi Arabian portion of the Red Sea. We describe first the conceptual basis behind supply-side approaches to economic valuation. Next we review the literature on the use of these methods for valuing ocean habitat. We provide an example based on recent research assessing the bioeconomic status of the traditional fisheries of the Red Sea in the Kingdom of Saudi Arabia (KSA). We estimate the economic value of ecosystem services provided by the KSA Red Sea coral reefs, finding that annual per-unit values supporting the traditional fisheries only are on the order of 7000/km2. Finally, we develop some recommendations for refining future applications of these methods to the Red Sea environment and for further research. © 2013 .en
dc.description.sponsorshipThis research is based on work supported by Award Nos. USA 00002 and KSA 00011 made by the King Abdullah University of Science and Technology (KAUST).en
dc.publisherElsevier BVen
dc.rights.urihttp://creativecommons.org/licenses/by-nc-nd/3.0/en
dc.subjectBio-economicsen
dc.subjectCoral reefen
dc.subjectEcosystem serviceen
dc.subjectRed Seaen
dc.subjectSupply-side valuationen
dc.subjectTraditional fisheryen
dc.titleSupply-side approaches to the economic valuation of coastal and marine habitat in the Red Seaen
dc.typeArticleen
dc.identifier.journalJournal of King Saud University - Scienceen
dc.contributor.institutionWoods Hole Oceanographic Institution, Woods Hole, United Statesen
kaust.grant.numberUSA 00002en
kaust.grant.numberKSA 00011en
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