Summary Information Economic valuation of losses due to Amazon dieback KCP Window

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1 Summary Information TF# Economic valuation of losses due to Amazon dieback KCP Window Global Public Goods Sector Environment Theme Environment and Natural Resources Management Countries Global TTL Name Mike Toman Project Period 7/1/211 6/3/214 Approving Manager Grant Amount USD 28,. Disbursement USD I. Research Team (with affiliations and country of origin for non-bank members) Jon Strand, World Bank (Norway) Stale Navrud, Norwegian University of Life Sciences (Norway) Richard Carson, University of California, San Diego (USA) Ariel Ortiz-Bobea, Resources for the Future (RFF) Jeff Vincent, Duke University (USA) Alan Krupnick, RFF (USA) Madeline Gottlieb, RFF (USA). Juha Siikamaki, RFF (Finland) Knowledge Networks/GfK, survey research consulting firm (USA) II. Key outputs since last progress report (GRM) provide numbers only. 1. Number of Outputs in this Fiscal Year Journal article paper Policy Research Report Database (in which, how many are openly accessible) Analytical Tools 3 2. Number of conference/event organized in this Fiscal Year # Peer Reviewed Publications Others total with a addressing (specify) developing gender country issues researcher as one of the primary authors; 3. Number of developing country researchers/institutions substantively engaged in this Fiscal Year Developing country researchers 1 Developing country institutions 4. Number of trainings provided III. Completion Report (To TTLs: The following Sections from 1 to 5 will be used as a short, non-technical note to summarize your research results and findings. This note will be shared widely with policymakers, regional colleagues, and donors. ) 1. Aims & Objectives (Original aims and objectives of the research, along with any changes or deviations and their justification; note their consistency with Bank, and KCP objectives). 1

2 The aim of the research was to develop new estimates of the value of the Amazon rainforest as a global public good, using stated-preference methods with experts across the world and a random population sample of respondents to surveys in North America and Canada. The research question was framed to elicit incremental valuations in terms of potential reductions in forest area and density. 2. Project Description (Provide a short overview of the project including background/contextual information, implementation process, challenges & issues, difficulties or surprises, and important interventions or solutions. Please keep this section non-technical, you can elaborate on your methodologies in question 8.) Four separate "Delphi surveys" have been conducted, surveying experts' views on value of Amazon rainforest preservation. The surveys of experts are from Europe (done in 212), U.S./Canada, Asia, and Australia/New Zealand (the three latter done in 213). In total about 22 experts have been surveyed all in two rounds. In addition, population survey were conducted in North America and Canada for valuing Amazon forest losses in these countries, using both contingent valuation (CV) and choice experiments (CE), including extensive survey instrument preparation work: sequence of focus groups were carried out from August 212 to June 213. The North American population survey (comprising between 13 and 14 internet interviews) has been carried out during the first half of Results and implication for future research (What have we learnt so far? Any significant achievements including innovations?) The Delphi stated-preference exploration of expert judgments indicates that average valuation levels, per household per year to fund a plan to protect all of the current Amazon rainforest up to 25, range from a low of $4-$36 in 12 Asian countries to a high of about $1 in Canada, Germany and Norway, with other high-income countries in between. The European expert judgments indicate willingness to pay in Europe for preserving the current Amazon Rainforest of about 28 per household per year on average. Somewhat lower WTP values were found for a less strict plan that allows a 12 percent rainforest area reduction. The elasticity of experts WTP assessments with respect to own-country per-capita income is in most cases.6-.7; but near unity when taken with respect to PPP-adjusted incomes and above unity for the Asian and European countries as separate groups. 4. Outputs (examples of outputs include but are not limited to major policy research report, working papers, journal articles, policy brief, research tools developed, databases developed, and conferences and seminars) 1) Outputs for entire duration of the project Name (please provide web links to output if available) Output type Status Note (if status is not complete, please provide explanation, and the date it s expected to be completed) 2

3 Valuing Global Public Goods: A European Delphi Stated Preference Survey of Population Willingness to Pay for Amazon Rainforest Preservation A Delphi Exercise as a Tool in Amazon Rainforest Valuation Willingness to Pay for Amazon Forest Retention: Stated- Preference Values from North America Completion - please provide the link Preliminary Preliminary servlet/wdscontentserver/iw3p/ IB/213/1/4/158349_ /Rendered/PDF/WPS6637.pdf In final form and awaiting submission Data were received later than plan and paper is still under preparation Choose an item. Choose an item. Add more lines for additional outputs 2) If there are outputs that were dropped from the project s original proposal(gfr), please provide explanation None 5. Impact & Development Policy Implications a. Please describe in detail any policy impact achieved, and/or identify specific policy areas to which the results of the project will influence, when and how. The intent of the research is to provide estimates of global public good value that can be used to evaluate (i) the benefits of Brazilian policy efforts to significantly reduce Amazon deforestation, (ii) the benefits of further investments in forest protection. b. Indicate number of: 1) Bank policy documents; 2) Bank operations (e.g. DPLs, PRSCs, Investment Lending, and TAs); 3) government policy documents and (4) policy brief, that explicitly inspired by the findings of the research, and how this has been/will be achieved?) Number of policies in Bank policy documents (e.g. CPSs and CEMs) explicitly inspired by the findings of the research Number of Bank operations (e.g. DPLs, PRSCs, Investment Lending, and TAs) explicitly inspired by the findings of the research Number of government policy documents explicitly inspired by the findings of the research Number of policy brief 3

4 6. Capacity Building a. Describe whether and how the project enhanced local capacity building? Project was not designed for capacity building b. Indicate the number of developing country researchers and institutions substantively engaged with KCP research for the entire duration of the project, Number of developing country researchers substantively engaged 1 Number of developing country institutions substantively engaged Number of training provided 7. Dissemination (What dissemination activities have been conducted /planned to encourage knowledge sharing? What has been done /planned to reach policy makers or policy advisers) Number of conferences/events organized Number of conferences/events the project s results were 3 presented at (in addition to the number of organized events) Others- please specify Results have been presented at various seminars and conferences, including the WCERE in Istanbul. The consolidated paper will also be presented at the ASSA meetings in Boston, Jan Methodology and Data Four separate "Delphi surveys" have been conducted, surveying experts' views on value of Amazon rainforest preservation. The surveys of experts are from Europe (done in 212), U.S./Canada, Asia, and Australia/New Zealand (the three latter done in 213). In total about 22 experts have been surveyed all in two rounds. In addition, population survey were conducted in North America and Canada for valuing Amazon forest losses in these countries, using both contingent valuation (CV) and choice experiments (CE), including extensive survey instrument preparation work: sequence of focus groups were carried out from August 212 to June 213. The North American population survey (comprising between 13 and 14 internet interviews) has been carried out during the first half of 214. Both Delphi survey data and data from the North American population surveys (CV and CE) are analyzed econometrically to identify an implied willingness to pay for Amazon protection. The analysis of the North America population sample controls for respondent income and a variety of other demographic factors. 9. Additional Resources Leveraged and Project Expenditures (please describe additional resources leveraged, and provide amount and briefly summarize the expenditures in the table below) 4

5 Project Expenditures (USD `)-Actual External Funds WB Funds Total KCP EFO Others (RFF) BB-DEC BB-Others $28K $12K (in kind) $4K Annex 1: Multimedia Please provide a list of multimedia materials (photos, videos, ppts) here with caption and credit information. Then submit materials as attachments along with this note. Annex 2: Geo-Reference 1 Georesults (beta) ( If you would like to provide content for Georesults, please provide the following information: (i) Locality of Project Activity (name of locality, longitude and latitude) (ii) Description of Local Development Activity 1 Georesults is an online space to view images, videos and results stories of World Bank projects. It allows you to easily orient yourself using maps to guide your navigation. 5