Journal of Forest Economics > Vol 18 > Issue 4

The economic valuation of natural hazards in mountain forests: An approach based on the replacement cost method

Sandra Notaro, sandra.notaro@unitn.it , Alessandro Paletto
 
Suggested Citation
Sandra Notaro and Alessandro Paletto (2012), "The economic valuation of natural hazards in mountain forests: An approach based on the replacement cost method", Journal of Forest Economics: Vol. 18: No. 4, pp 318-328. http://dx.doi.org/10.1016/j.jfe.2012.06.002

Publication Date: 0/12/2012
© 0 2012 Sandra Notaro, Alessandro Paletto
 
Subjects
 
Keywords
JEL Codes:Q23Q51Q57H41
Forest protective functionForest planningZoningEconomic evaluationReplacement cost method
 

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In this article:
Introduction 
Materials and methods 
Results 
Discussion and conclusion 

Abstract

Protection from natural hazards is the most important function of mountain forests from an ecological, economic and social point of view. This assertion has been widely debated in recent years by a number of authors. In this paper we focus on the economic aspects of the protective function of forests, developing a quick and simple estimation method that can be applied on a local scale. We present the results of its application in an Italian Alpine forest. After having identified the main forest attributes directly or indirectly involved in protection, the economic value of the protective function for homogeneous zones was estimated by applying the replacement cost method. This value enables environmental concerns to be included in forest planning and political decision-making.

DOI:10.1016/j.jfe.2012.06.002