Preservation Vs Development: The Social Planner’s Problem Flashcards
1
Q
Developed vs developing countries view on forests
A
Developed: forests should be preserved, as they provide important ecosystem services (explained earlier)
Developing: forests should be exploited for economic development e.g for infrastructure projects
2
Q
Social planners options (3)
A
Preserve land
Exploit in sustainable manner: optimal forest management>extraction of timber and non-timber products
Clear-cut: clear land entirely
3
Q
How does the social planner then make the choice
A
Chooses most profitable option /greatest net benefit
4
Q
What else do we need to consider
A
Total economic value- to know what we are at risk of losing if forests are destroyed.
5
Q
What does TEV look at
A
Use value and non-use value
