ECOLOGICAL ECONOMIC MODELLING OF THE CONSERVATION OF THREATENED HABITATS: HEATHER MOORLAND IN THE NORTHERN ISLES OF SCOTLAND

Nick Hanley, Hilary Kirkpatrick, David Oglethorpe and Ian Simpson

No 140543, Discussion Papers in Ecological Economics from University of Stirling, Department of Economics

Abstract: This paper describes the results of an ecological-economic modelling exercise of the management of a scarce habitat, namely heather moor/and. The Orkney Islands of Scotland are used to illustrate a modelling approach which could be easily applied elsewhere, and to other habitats. We describe the evolution and present condition of heather moorland on Orkney, then quantify the extent on over-grazing (leading to ecological damage) on a spatial basis. This is accomplished using a model of heather utilisation and heather productivity. Critical grazing limits are then used as constraints in an economic model of farm production decisions, which enables us /0 quantify the minimum necessary compensation payments which farmers should be offered to off\'et income losses due to grazing restrictions. Such a policy is in line with European Union and UK agri-environmental policy, which typically uses payments for income foregone as a means of persuading farmers to protect environmental quality_

Keywords: Environmental Economics and Policy; International Relations/Trade (search for similar items in EconPapers)
Pages: 28
Date: 1995-02
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Persistent link: https://EconPapers.repec.org/RePEc:ags:ukstdp:140543

DOI: 10.22004/ag.econ.140543

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