Causal Inference for Biodiversity Conservation

Kathy Baylis, Alberto Garcia and Robert Heilmayr

Review of Environmental Economics and Policy, 2026, vol. 20, issue 1, 98 - 124

Abstract: Rigorous evidence detailing the myriad interconnections between humans and ecosystems will be critical to slow the loss of biodiversity. Effective conservation interventions will depend upon a detailed understanding of the benefits that biodiversity provides to people, the ways that human activities drive biodiversity decline, and the potential for conservation policies to stem this decline. Although hundreds of papers explore these relationships, a careful review of this literature shows that the overwhelming majority of studies fall short of documenting causal relationships with biodiversity per se. However, a combination of data and methodological advances has led to rapid growth of quasi-experimental analyses that are advancing our understanding of human interactions with biodiversity in three domains. First, economists have provided valuable insights into the causes of biodiversity loss, which complement traditional ecological experiments by better reflecting real-world conditions. Second, quasi-experimental studies have begun to identify which policy interventions, in what contexts, have slowed biodiversity loss. Finally, recent quasi-experimental studies have shown that the loss of species can impose extremely large costs on humanity but that these costs vary widely depending upon the species and opportunities for human adaptation.

Date: 2026
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