Frans Sijtsma

Evaluation of nature conservation

Recent literature shows a lively debate on how tocapture ecological and environmental aspects indifferent evaluation methods and the closely relatedissue of the (im)possibilities of monetization ofthese aspects. Although economists in general tend tofavour Cost-Benefit Analysis (CBA) aboveMulti-Criteria Analysis (MCA), part of the literaturesuggests that CBA falls short of being the onlydecision-making device for environmental problems,both for theoretical and practical reasons. This paperdiscusses both evaluation methods and the main resultsof a major, publicly-financed nature conservationproject in The Netherlands.The evaluation method combines the straightforwardnessof CBA with the flexibility of MCA. Conceptually, itconsists of a MCA, the net result of a CBA beingintegrated as one of the criteria. The differentaspects of the nature conservation project that can bemonetized are incorporated into the CBA. Otheraspects such as changes in biodiversity or scenicbeauty are analysed in their own dimension,provided (cardinal) quantification is possible. Infact, the analysis consists of a very simple MCA, withtwo criteria: social costs and a quantitative measureof nature.Quantifying the amount of nature in its own,non-monetary dimension is a key element of theempirical analysis. A detailed quantitative estimateis made of the improvement of nature, based upon 564species and 131 different ecosystems. The result ofthe evaluation is a trade-off at the national levelbetween ecological improvements (plus 18 percent) andsocial costs (DFl. 3.4 billion net present value). Dueto the detailed quantification of the effect on naturethe evaluation also yields results about thecost-effectiveness of four different instruments tocreate and to preserve nature. That part of theanalysis shows that complete withdrawal ofagricultural land for nature purposes in the projectin general is more cost-effective than subsidizingnature-friendly farming, although the former is moreexpensive.

The Effect of Natural Space on Nearby Property Prices: Accounting for Perceived Attractiveness

This paper estimates the effect of attractive natural space on Dutch residential property prices. We operationalize attractive natural spaces by combining land use data with unique data on the perceived attractiveness of natural spaces. In our main results, the effect of attractive natural space on property prices falls from 16.0% for properties within 0.5 km, to 1.6% for properties up to 7 km away. Our findings advance existing hedonic studies by verifying that economic benefits of living near natural space extend over a larger distance. This has important implications for public policy regarding investment in natural space near residential areas. (JEL H41, Q51)

Welfare Effects of Spatial Deconcentration: A Scenario for the Netherlands

This paper examines whether a deconcentration policy between a core and a peripheral region within a country may increase national welfare. The type of cost and benefits involved and the type of models needed to specify them are first discussed theoretically, and then estimated empirically by means of a comprehensive scenario study for two regions of the Netherlands. The empirical study concludes that a deconcentration scenario might result in net national benefits of several tens of billions of guilders. For this reason a spatial deconcentration policy may well improve the welfare of nations.

Planning nature in urbanized countries. An analysis of monetary and non-monetary impacts of conservation policy scenarios in the Netherlands

Planning and conserving nature areas are challenging tasks in urbanized and intensively used countries like the Netherlands. This paper supports decision making and public policy debate about these tasks in both an empirical and a methodological way. Empirically, we explore policy alternatives by determining the potential consequences of different nature policy scenarios in the Netherlands. Methodologically, we employ a mixed monetary and non-monetary evaluation method known as multi-criteria cost-benefit analysis (MCCBA). We evaluate four new future directions of Dutch nature policy that address four dominant stakeholder demands: biodiversity conservation, the provision of ecosystem services, recreational potential as well as economic gains. To balance compact presentation of evaluation outcomes on the one hand and information richness of results on the other, we distinguish between two impact indicator sets: three “headline” and ten “elaborate” indicators. Using these indicators we discuss the quantitative assessment of the four nature policy scenarios by comparing them to two other scenarios, reflecting the 2010 stand-still baseline situation (2010) as well as a reference policy (Trend). In total, we evaluate six scenarios; four present new directions and two reflect existing or recently (2010) halted practices. Our findings first of all show that even in an urbanized country like the Netherlands, with its intensive competition among land use functions, serious gains in national and international biodiversity are possible. Second, we find that it is doubtful whether stimulating the provision of regulating ecosystem services in a country which applies intensive and profitable agricultural techniques is beneficial. Other countries or areas that are less suitable for intensive agricultural practices may be more logical for this. Finally we demonstrate that increasing urban recreational green space − a common challenge for many urban areas − can only be achieved at relatively high costs, while it does not seem to lead to relatively high scores on nature appreciation. Nature appreciation seems to be served better by wilder nature than by park-like nature.

Towards standardised evaluative measurement of nature impacts: two spatial planning case studies for major Dutch lakes.

In the assessment of complex spatial planning projects, the ecological impacts and socio-economic impacts are fundamental to the evaluation. The measurements of ecological impacts of spatial plans have to be integrated in a standardised way. In the present paper, we analyse two Dutch case studies and apply the standardised Threat-Weighted Ecological Quality Area measurement. This measurement is developed to evaluate projects with terrestrial impacts but has not yet been applied for water evaluations. We aim to show how the use of a common measurement tool incorporates both ecological quality and degree of threat on criteria in the EU Water Framework Directive and Nature 2000. The measurements discussed here derive from two cases of cost–benefit analysis: The first case is the Markermeer, the second largest lake of The Netherlands, and a study on water quality improvement and nature restoration; an artificial island will also be the setting for a new residential area. The second case study is on water level management carried out on the IJsselmeer, the largest lake in the country. Results of our analysis show the potential impacts with a standardised method to the spatial distribution and quality of the ecosystems.

Leveraging Real Estate Education with Students’ Real-World Observations: A Diary Approach

This paper discusses how real estate education can benefit from letting students keep a scientific diary. This scientific diary approach entails that, as a complementary course activity, students keep a diary in which they reflect on any real estate related news, projects, daily observations or policies that fascinate them or attract their attention or curiosity. Personal curiosity, while a fundamental driver of science, often lacks a formal role in real estate courses. As such, diaries may help, in a modest way, to enrich the classroom as well as the teacher’s perspective on the thoughts and personal development of students. In this paper we frame specific pros and cons of the diary approach within the educational literature, whilst paying special attention to the traditional lecture approach and the recently popular flipped classroom approach. To empirically illustrate what real estate diaries may bring about, the current study offers a content analysis of the entries in diaries kept by two cohorts of students of the University of Groningen Master’s program of Real Estate Studies and a cohort of students of the George Washington University School of Business MBA program. We show results of a systematic categorization of the 200+ diary posts as to their content and form. We conclude with a discussion of the possible merits of this approach. One of these merits is a broadening of the topics that students study within the (pre-fixed) study program. Another is that recent events, impossible to be captured in textbooks and academic literature, are actively connected to. The openness of the diary approach may help to make students’ own-level thinking about real-world observations more serious, in small steps, through a process of exploration and writing. In addition, diaries can be discussed in-class in a group setting, under the teacher’s supervision, in order to share observations and discuss knowledge- claims. This practices the framing of real-world observations within existing theory as well as the assessment of whether alterations to theoretical models are needed to understand the observation at hand. We hypothesize that practice of this type of reflection on fresh issues in the ‘daily real estate life’ of students may lead to a stronger connection between their academic training and the professional field of real estate.