The (in)validity Of Benefit Transfer And Its
Consequences For Policy-making
Author(s)
E. J. Bos & J. M. Vleugel
Abstract
The essence of benefit transfer is that the assessment of ecological effects of an
intended project is based on information from similar studies, undertaken at
other sites. Instead of performing a completely new study, which may cost a lot
of time and money, key parameters from older studies are used. This approach is
assumed to save valuable research time and money. In the paper it will be shown
that this benefit may occur at the expense of the validity of assessments. Using
these assessments for the new project may result in sub-optimal decision-making
by governments and other stakeholders, like private landowners. The paper
contains a meta-analysis on the validity of benefit transfer. The two basic types
of benefit transfer, simple benefit transfer and benefit function transfer are being
compared. It turns out that the validity of simple benefit transfer is often poor
even when applied at comparable sites. This raises the question whether simple
benefit transfer should be used to support policy-making regarding investment
scenarios of national importance. It may be better to use benefit function transfer
as an alternative, because it can compensate for differences in explanatory
variables. In this way, the validity of the assessment can be increased, which
may lead to ‘better’ decisions, provided that suitable benefit functions are
available.
Keywords: environmental economics, benefit transfer, validity, decision-making.
1 Introduction
The impact of an intended investment project, such as the development of a
nature area, can be evaluated with two alternative methods of collecting data.
The first option is called an in depth or full study and the second option is to take
Keywords
environmental economics, benefit transfer, validity, decision-making.
Related Book
Other papers in this volume
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