Scandinavian Working Papers in Economics

CERE Working Papers,
CERE - the Center for Environmental and Resource Economics

No 2020:14: Valuing ecosystem services for agricultural TFP

Moriha Bostian () and Tommy Lundgren ()
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Moriha Bostian: Department of Economics, Lewis & Clark College, USA
Tommy Lundgren: CERE - the Center for Environmental and Resource Economics

Abstract: This paper provides a brief overview of methods to incorporate ecosystem service values into measures of agricultural total factor productivity, both in theory and in practice. This includes a review of the academic literature, summary of related economic index theory, and comparison of agency guidelines. We consider areas of consensus between the agencies and research literature, as well as open debates surrounding implementation of a standardized ecosystem accounting framework to integrate with existing TFP measures.

Keywords: Ecosystem services; valuation; agricultural TFP

JEL-codes: D24; Q57

31 pages, June 3, 2020

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