Recently I have received many questions from students and reseach fellows on valuation methods and particularly on Choice Experiment. From searching for them, I realize that I myself don’t have proper learning materials for newbies. Thus, I will start collecting them here.
Undamming rivers is a rising trend. In the US, this has become a widespread movement, called a river restoration movement. Up to date, 1,185 dams have been removed and hundreds more are on the way. There are a couple of reasons listed: some dams have been there for more than 100 years, they are too old and facing major safety problems, some others are filled up by huge amount of sediments and turn out not very useful as designed, though their lifespans could be 100 years more. The Glen Canyon dam is just one example. However, the most intriguing reason is that people are having higher awareness on the value of ecosystem. They wish to somewhat recover the natural state of the rivers’ habitat, such as the Elwha’s. A good new, there has been some nice results.
I agree with this movement. I hope it will spread wider to developing countries, so dam removals would be considered even before they are built. Because, as I mentioned elsewhere, the option value, the value of the option to maintain future use, and the quasi-option value, which arising from expected new information from avoiding irreversible losses, are often higher than we think. So let us be cautious about changing the nature.
I first heard of this term from my supervisor when he talked about climate change mitigation and adaptation measures. In fact, it has been largely used in climate change work such as in IPCC or CSIRO reports. However, I personally think that it is an infeasible term (if you know what I mean, that’s we can theoretically define it, but we will never find it in reality -So what’s the point of using the term in practical decision-making?). I found that WWF did not use the term elsewhere, and now I know why :D. Interesting. We will come back to this topic soon.