Assessing the Determinants of Willingness to Pay for Urban Flood Control: The Role of Locational, Demographic and attitudinal Factors

The urbanization of urban watersheds can influence flooding risks. Traditional Federal Emergency Management Agency (FEMA) flood risk maps identify 100 year floodplains. These maps are updated infrequently. However, as a community urbanizes, flood risks can change, especially for downstream residents. Thus, one would expect that the willingness to pay (WTP) to prevent the worsening of flooding risk would depend in part on the location of the household in the community and their associated flooding risk. Economists and regional scientists have evaluated the role played by traditional demographic factors. However, attitudinal factors measuring community norms, political philosophy, and other psychological factors that may be unique to the individual have not received the same level of scrutiny. Milwaukee, WI has experienced major flooding events, classified as floods with an expected frequency of once every 100 years or less, in 1986 and most recently in 1997 and 1998. In this study, 1000 residents of the Menomonee watershed in Milwaukee were interviewed in a two-wave panel survey (i.e., telephone interviews took place in 2000 and 2001) to determine their willingness to pay for a referendum which would prevent flood risks from worsening. The interviews queried respondents about their attitudes concerning flooding and ecological risks, political beliefs, information seeking behavior, and other psychological factors unique to the respondent. Information was also gathered on demographic characteristics of the respondent, and also that individuals address. The address was geocoded and hydrologic modeling was used to determine the unique flood risk associated with the residence. A willingness to pay function was estimated using Tobit analysis. Preliminary findings indicated that all three categories of factors influence willingness to pay, with psychological factors and flood risk factors having a relatively strong impact on willingness to pay. Paper prepared for the 2005 Annual Meetings of the Midcontinent Regional Science Association and the Southern Regional Science Association in Arlington VA, April 8-10, 2005. PLEASE DO NOT QUOTE WITHOUT PERMISSION.

Certification Systems as Tools for Natural Asset Building: Potential, Experiences to Date, and Critical Challenges

Certification systems are becoming important tools to encourage and reward social and environmental responsibility. This paper explores whether these systems, which generally have not been designed for the explicit aim of poverty reduction, can assist poor people, either individually or in community-based and small-to-medium production units, to build their natural assets as a basis for sustainable livelihoods. The paper examines two leading certification systems -- the Forest Stewardship Council(TM); and the Fair Trade Certified(TM); system -- and emerging systems in tourism and mining. The results to date have been mixed. In the forestry sector, poverty reduction benefits of certification have been modest relative to its environmental benefits. In the agricultural commodity trade, where certification systems have been designed with a stronger focus on reducing poverty, the benefits have been greater. The long-term challenge is to ensure that the rapid global uptake and 'mainstreaming' of certification systems does not create new hurdles for low-income individuals and communities

(WP 2005-05) Assessing the Determinants of Willingness to Pay for Urban Flood Control: The Role of Locational, Demographic and Attitudinal Factors

The urbanization of urban watersheds can influence flooding risks. Traditional Federal Emergency Management Agency (FEMA) flood risk maps identify 100 year floodplains. These maps are updated infrequently. However, as a community urbanizes, flood risks can change, especially for downstream residents. Thus, one would expect that the willingness to pay (WTP) to prevent the worsening of flooding risk would depend in part on the location of the household in the community and their associated flooding risk. Economists and regional scientists have evaluated the role played by traditional demographic factors. However, attitudinal factors measuring community norms, political philosophy, and other psychological factors that may be unique to the individual have not received the same level of scrutiny. Milwaukee, WI has experienced major flooding events, classified as floods with an expected frequency of once every 100 years or less, in 1986 and most recently in 1997 and 1998. In this study, 1000 residents of the Menomonee watershed in Milwaukee were interviewed in a two-wave panel survey (i.e., telephone interviews took place in 2000 and 2001) to determine their willingness to pay for a referendum which would prevent flood risks from worsening. The interviews queried respondents about their attitudes concerning flooding and ecological risks, political beliefs, information seeking behavior, and other psychological factors unique to the respondent. Information was also gathered on demographic characteristics of the respondent, and also that individuals address. The address was geocoded and hydrologic modeling was used to determine the unique flood risk associated with the residence. A willingness to pay function was estimated using Tobit analysis. Preliminary findings indicated that all three categories of factors influence willingness to pay, with psychological factors and flood risk factors having a relatively strong impact on willingness to pay

The mineral resources landscape - an expanded conceptualisation of minerals sustainability

As part of global systems of mineral production and consumption, the Australian minerals sector is facing sustainability challenges across technological, social, ecological, economic and governance domains, as well as between local, national and global scales. To ensure that the Australian minerals sector progresses towards sustainability, it is imperative to understand the possible ways in which Australias mineral resources could support sustainable futures. A significant research gap exists between the complex nature of questions concerning minerals sustainability and the reductionist methods available to deal with them. This paper argues the need for broader, more integrated approaches to questions concerning minerals sustainability, which can address multiple human perspectives, complex and `messy patterns and processes across multiple organisational, temporal and geographical scales and whole systems of mineral production and consumption

PNG mineral boom: Harnessing the extractive sector to deliver better health outcomes

International experience has shown that mining and resources sector participation in Public-Private Partnerships (PPPs) can realise substantial health benefits not only for the company, but also for its public sector partners and communities. This paper summarises the international experience, and presents examples of mining and resource sector participation in health care in Papua New Guinea (PNG). The extractive industries in PNG are already actively involved in health service delivery and improving health conditions in the area within which they operate. With the prospect of major economic growth in PNG comes an opportunity to further systematise and expand on the application of industry expertise to creating lasting development in the PNG health sector for the benefit of the private sector, the government and the community alike. The paper also discusses some of the challenges in further harnessing the private sector as a partner in PNG development, including i) barriers to collaboration; ii) engaging with extractive industry partners; and iii) developing relationships and trust.Public-Private Partnerships, mining, resources, health, PNG, extractive industries

Sustainability in small-medium-artisanal mining enterprises in Brazil

Small-Medium and Artisanal (SMA) companies from the mining sector have an important role on the regional development of the community and areas where they are located in Brazil. These companies should then be considered as drivers to disseminate and promote the principles of sustainability to their stakeholders. Nonetheless, these companies face many challenges on implementing good environmental practices, due to their characteristics, such as, operating under illegal situationinfo:eu-repo/semantics/publishedVersio

Biodiversity, Ecosystem Services, and Land Use: Comparing Three Federal Policies

Natural ecosystems provide a variety of benefits to society, known as “ecosystem services.” Fundamental to the provision of ecosystem services in a region is its underlying biodiversity, i.e., the wealth and variety of plants, animals, and microorganisms. Because the benefits from ecosystem services and biodiversity are not valued in market exchanges, private landowners tend to undersupply them. We compare and contrast the different approaches taken to providing ecosystem services on private land in three federal programs—the Endangered Species Act, the Conservation Reserve Program, and Section 404 of the Clean Water Act. The Endangered Species Act (ESA) places restrictions on land uses for private landowners if endangered species, or critical habitats for endangered species, are found on their properties. The Conservation Reserve Program (CRP) compensates farmers for removing valuable property from agricultural production to preserve wildlife habitat, water and soil quality, and other ecosystem values. Section 404 of the Clean Water Act prohibits destruction or damage to wetlands, unless individuals buy credits for equivalent wetlands created by third parties—so-called “wetlands mitigation banks.” These three policies run the gamut from a command-and-control regulatory approach to a “payment for ecosystem services” option. We summarize the economics literature on key findings from these programs.biodiversity, critical habitat, conservation, green infrastructure, payment for ecosystem services, public goods, wetlands mitigation