Economic and Environmental Values in Marine Planning: A Case Study of Canada’s West Coast

Abstract

This paper discusses the concept of total economic value and demonstrates the importance of using such a framework in marine planning through a case study of the Pacific North Coast Integrated Management Area, in British Columbia, Canada. After distinguishing between components of total economic value – including use values and non-use values – the paper reviews methods for estimating total economic value by estimating these components. Methods include marine dependency analysis, contingent valuation, discrete choice modeling, and benefit transfer. Their application to the case study provides monetary estimates of the total economic value for the case study region. The findings show that all three components of total economic value – market use value, non-market use value, and non-use value – are significant and should be taken into account in marine planning. The conculsions caution that failure to use a total economic value framework will bias decisions in favour of development over conservation and will lead to inefficient resource allocation. They also note the potential for designation of marine protected areas to enhance total economic value.