Cost-benefit analysis is widely acknowledged to be an appropriate tool for providing advice to policy makers on the optimal use and management of natural resources. However, a great deal of research has indicated that the assumptions made in cost-benefit analysis concerning the natural environment diverge from real world observations. In this paper I discuss these observed divergences. To do so, I introduce the concept of Natura economica. Natura economica is the environment as it is understood in economic analysis in general, (...) and cost-benefit analysis in particular, namely as a bundle of commodities with potential market value. I argue that if this understanding of nature and its value is very different from what is generally observed, it reduces the value of the resulting policy recommendations. I then suggest four questions that policy makers should ask when they evaluate their choice of appraisal methods. If the answer is 'yes' to all of them, then cost-benefit analysis can provide valid information. However, if the answer to any of these questions is 'no', other methods, such as multicriteria analysis and participatory processes, should be considered in order to arrive at better-founded policy recommendations. (shrink)

Cost-benefit analysis is widely acknowledged to be an appropriate tool for providing advice to policy makers on the optimal use and management of natural resources. However, a great deal of research has indicated that the assumptions made in cost-benefit analysis concerning the natural environment diverge from real world observations. In this paper I discuss these observed divergences. To do so, I introduce the concept of Natura economica. Natura economica is the environment as it is understood in economic analysis in general, (...) and cost-benefit analysis in particular, namely as a bundle of commodities with potential market value. I argue that if this understanding of nature and its value is very different from what is generally observed, it reduces the value of the resulting policy recommendations. I then suggest four questions that policy makers should ask when they evaluate their choice of appraisal methods. If the answer is 'yes' to all of them, then cost-benefit analysis can provide valid information. However, if the answer to any of these questions is 'no', other methods, such as multicriteria analysis and participatory processes, should be considered in order to arrive at better-founded policy recommendations. (shrink)

The productive services of nature, such as the ability of fertile soil to grow crops, receive low market prices not because markets fail but because many natural resources, such as good cropland, are abundant relative to effective demand. Even when one pays nothing for a service such as that the wind provides in pollinating crops, this is its 'correct' market price if the supply is adequate and free. The paper argues that ecological services are either too 'lumpy' to price in (...) incremental units, priced competitively, or too cheap to meter. The paper considers counter-examples and objections. (shrink)

Holland argues that environmental deliberation should return to classical questions about the nature of the good life, understood as the worthwhile life. Holland's proposal contrasts with the revived hedonist conception of the good life which has been influential on environmentalism. The concept of the worthwhile life needs to be carefully distinguished from those of the happy life and the dutiful life. Holland's account of the worthwhile life captures the narrative dimension of human well-being which is revealed but inadequately addressed by (...) hedonic research. Environmental concerns are better understood from a non-hedonist perspective. An Aristotelian version of this perspective also offers the institutional focus which Holland suggests is required in environmental deliberation. (shrink)

Katie McShane, while accepting my 'convergence hypothesis' (the view that anthropocentrists and nonanthropocentrists will tend to propose similar policies), argues that nonanthropocentrism is nevertheless superior because it allows conservationists to have a deeper emotional commitment to natural objects than can anthropocentrists. I question this reasoning on two bases. First, McShane assumes a philosophically tendentious distinction between intrinsic and instrumental value – a distinction that presupposes a dualistic worldview. Second, I question why McShane believes anthropocentrists – weak anthropocentrists, that is – (...) cannot 'love' or 'feel awe' toward natural objects. Her argument, that is, only works against strong anthropocentrism, which I never advocated. (shrink)

Bryan Norton argues that my recent critique of anthropocentrism presupposes J. Baird Callicott's philosophically problematic distinction between intrinsic and instrumental value and that the problems that it raises for anthropocentrism in general are in fact only problems for strong anthropocentrism. I argue, first, that my own view does not presuppose Callicott's distinction, nor any claims about instrumental value, and second, that the problems it raises for anthropocentrism apply to weak and strong anthropocentrism alike.

A natural formalization of the priority view is presented which results from adding expected utility theory to the main ideas of the priority view. The result is ex post prioritarianism. But ex post prioritarianism entails that in a world containing just one person, it is sometimes better for that person to do what is strictly worse for herself. This claim may appear to be implausible. But the deepest objection to ex post prioritarianism has to do with meaning: ex post prioritarianism (...) is not a genuine alternative to utilitarianism in the first place. By contrast, ex ante prioritarianism is defensible. But its motivation is very different from the usual rationales offered for the priority view. Given their hostility to egalitarianism, most supporters of the priority view have not provided reasons to reject utilitarianism. (shrink)

In at least some of their forms, Cost-Benefit techniques for the evaluation of environmental projects and policies treat the preferences of citizens as the sole determinants of the value of outcomes. There are two salient ways in which this supposition might be defended. The first is metaethical and appeals to considerations about how we must understand talk of environmental and other values. The second is political and appeals to considerations about democratic legitimacy and the proper aims of public policy. Metaethical (...) considerations, I argue, are something of a red herring here. Roughly subjectivist understandings of our talk of values may be appealingly metaphysically unassuming, but in their most plausible formulations they do not support a view of preferences as the sole determinants of value. Political considerations, on the other hand, are to be taken very seriously. They offer, however, no straightforward rationale for any crudely preferentialist measure of social value. Findings obtained from the use of cost-benefit techniques might sometimes have a legitimate role as an input into, but not as a substitute for, political deliberation. Questions about the scope and limits of such legitimacy are properly addressed in political and not in metaethical terms. (shrink)

“Utility,” in plain English, means usefulness. In Australia, a ute is a useful vehicle. Jeremy Bentham specialized the meaning to a particular sort of usefulness. “By utility,” he said, “is meant that property in any object, whereby it tends to produce benefit, advantage, pleasure, good, or happiness or to prevent the happening of mischief, pain, evil, or unhappiness to the party whose interest is considered”. The “principle of utility” is the principle that actions are to be judged by their usefulness (...) in this sense: their tendency to produce benefit, advantage, pleasure, good, or happiness. When John Stuart Mill spoke of the “perfectly just conception of Utility or Happiness, considered as the directive rule of human conduct,” he was using “Utility” as a short name for this principle. “The greatest happiness principle” was another name for it. People who subscribed to this principle came to be known as utilitarians. (shrink)

There are two principles often found in environmental ethics – self-realisation and environmental preservation. I argue that these are two logically independent principles. An analysis of its essential features shows that the preservation principle should be based on actual consequentialism, for it is only the actual effects of our actions and policies that are important to the main issues of environmental preservation. Aldo Leopold's land ethic is found to be an example of a consequentialistic theory of environmental preservation.

Anthropocentrism can intelligibly be criticised as an ontological error, but attempts to conceive of it as an ethical error are liable to conceptual and practical confusion. After noting the paradox that the clearest instances of overcoming anthropocentrism involve precisely the sort of objectivating knowledge which many ecological critics see as itself archetypically anthropocentric, the article presents the follwoing arguments: there are some ways in which anthropocentrism is not objectionable; the defects associated with anthropocentrism in ethics are better understood as instances (...) of speciesism and human chauvinism; it is unhelpful to call these defects anthropocentrism because there is an ineliminable element of anthropocentrism in any ethic at all; moreover, because the defects do not typically involve a concern with human interests as such, the rhetoric of anti-anthropocentrism is counterproductive in practice. (shrink)

Cost–benefit analysis (CBA) is much more philosophically interesting than has in general been recognized. Since it is the only well-developed form of applied consequentialism, it is a testing-ground for consequentialism and for the counterfactual analysis that it requires. Ten classes of philosophical problems that affect the practical performance of cost–benefit analysis are investigated: topic selection, dependence on the decision perspective, dangers of super synopticism and undue centralization, prediction problems, the indeterminateness of our control over future decisions, the need to exclude (...) certain consequences for moral reasons, bias in the delimitation of consequences, incommensurability of consequences, difficulties in defending the essential requirement of transferability across contexts, and the normatively questionable but equally essential assumption of interpersonal compensability. (Published Online July 31 2007). (shrink)

Nonuse values are a potentially very important, but controversial, aspect of the economic valuation of the environment. Since no use is envisaged by the individual, a degree of altruism appears to be the driving force behind nonuse values. Whilst much of the controversy has focused upon measurement issues associated with the contingent valuation method, this paper concentrates on the underlying motivations, whether ethical or economic, that form the basis for such values. Some fundamental aspects of defining and quantifying economic nonuse (...) values are considered, and possible motives for attributing value to the environment are analysed, making a clear distinction between 'selfish' altruism and 'selfless' altruism. The difference has crucial implications for economic valuation and for assessing individuals' willingness to pay for environmental quality. The concept of Safe Minimum Standards is introduced as a means of supplementing purely economic methodology to incorporate ethical concerns into decision making. (shrink)

Pragmatist environmental philosophers have (erroneously) assumed that environmental ethics has made little impact on environmental policy because environmental ethics has been absorbed with arcane theoretical controversies, mostly centred on the question of intrinsic value in nature. Positions on this question generate the allegedly divisive categories of anthropocentrism/nonanthropocentrism, shallow/deep ecology, and individualism/holism. The locus classicus for the objectivist concept of intrinsic value is traceable to Kant, and modifications of the Kantian form of ethical theory terminate in biocentrism. A subjectivist approach to (...) the affirmation of intrinsic value in nature has also been explored. Because of the academic debate about intrinsic value in nature, the concept of intrinsic value in nature has begun to penetrate and reshape the discourse of environmental activists and environmental agency personnel. In environmental ethics, the concept of intrinsic value in nature functions similarly to way the concept of human rights functions in social ethics. Human rights has had enormous pragmatic efficacy in social ethics and policy. The prospective adoption of the Earth Charter by the General Assembly of the United Nations may have an impact on governmental environmental policy and performance similar to the impact on governmental social policy and behaviour of the adoption by the same body in 1948 of the Universal Declaration of Human Rights. Belatedly, but at last, the most strident Pragmatist critics of the concept of intrinsic value in nature now acknowledge its pragmatic power and promise. (shrink)

Women as commercial baby factories, nature as an economic resource, life as one big shopping mall: This is what we get when we use the market as a common ...

Existence Value has become an increasingly important concept as the use of cost benefit analysis has spread from traditional applications to attempts to place monetary value on, for instance, a rare wetland habitat. Environmental economists have generally accepted the tensions arising in the existence value concept from the range of recent applications, but it is argued here that their various attempts to resolve the difficulties have largely failed. Critics from outside economics, on the other hand, typically claim that the very (...) notion of existence value as understood in economics is flawed, and urge its abandonment altogether. This paper suggests instead a fundamental redefinition of existence value, which, it is argued, (i) explains a number of diverse problems posed by the usual meaning of the term in economics; (ii) does not strain the intentions of respondents to ' willingness-to-pay' surveys; (iii) is consistent with a more realistic model of rational choice in environmental decision-making; and (iv) is sensitive to criticisms from environmental ethics.2. (shrink)

In this volume a diverse group of economists, philosophers, political scientists, and psychologists address the problems, principles, and practices involved in comparing the well-being of different individuals. A series of questions lie at the heart of this investigation: What is the relevant concept of well-being for the purposes of comparison? How could the comparisons be carried out for policy purposes? How are such comparisons made now? How do the difficulties involved in these comparisons affect the status of utilitarian theories? This (...) collection constitutes the most advanced and comprehensive treatment of one of the cardinal issues in social theory. (shrink)

Recent Work on Intrinsic Value brings together for the first time many of the most important and influential writings on the topic of intrinsic value to have appeared in the last half-century. During this period, inquiry into the nature of intrinsic value has intensified to such an extent that at the moment it is one of the hottest topics in the field of theoretical ethics. The contributions to this volume have been selected in such a way that all of the (...) fundamental questions concerning the nature of intrinsic value are treated in depth and from a variety of viewpoints. These questions include how to understand the concept of intrinsic value, what sorts of things can have intrinsic value, and how to compute intrinsic value. The editors have added an introduction that ties these questions together and places the contributions in context, and they have also provided an extensive bibliography. The result is a comprehensive, balanced, and detailed picture of current thinking about intrinsic value, one that provides an indispensable backdrop against which future writings on the topic may be assessed. (shrink)