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Revisiting the economic valuation of agricultural losses due to large-scale changes in pollinator populations

Author

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  • Lippert, Christian
  • Feuerbacher, Arndt
  • Narjes, Manuel
Abstract
We discuss comparative static partial equilibrium approaches for large-scale monetary valuations of animal-mediated crop pollination. These approaches rely upon reported crop production values, own-price elasticities of demand and experimentally found dependence ratios that express crop-specific yield shares due to pollinators. We dismiss the established long-term approach given the difficulty of anticipating the adaptation of the bioeconomic system to changes of pollinator abundance. Instead, we suggest another more parsimonious method, which assesses the short-term welfare effects following a sudden change in pollinator abundance. Using 2016-2018 data on agricultural production, we estimate the worldwide welfare effects due to a pollinator collapse for a range of plausible own-price elasticities, both from short-term and long-term perspectives. For the former we also simulate a global recovery scenario. Depending on the overall price elasticity assumed, the short-term effects of a total pollinator loss lie between 1 and 2 % of global GDP. We also apply the different valuation approaches to more detailed German 2006-2016 crop production data, where we account for crop-specific demand. As the reported dependence ratios vary in wide ranges, we rely upon stochastic simulations to obtain likely distributions of the German welfare effects.

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  • Lippert, Christian & Feuerbacher, Arndt & Narjes, Manuel, 2021. "Revisiting the economic valuation of agricultural losses due to large-scale changes in pollinator populations," Ecological Economics, Elsevier, vol. 180(C).
    • Handle: RePEc:eee:ecolec:v:180:y:2021:i:c:s0921800920300793
    DOI: 10.1016/j.ecolecon.2020.106860
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    1. Despina Popovska Stojanov & Lazo Dimitrov & Jiří Danihlík & Aleksandar Uzunov & Miroljub Golubovski & Sreten Andonov & Robert Brodschneider, 2021. "Direct Economic Impact Assessment of Winter Honeybee Colony Losses in Three European Countries," Agriculture, MDPI, vol. 11(5), pages 1-11, April.
    2. repec:ags:aaea22:335769 is not listed on IDEAS
    3. Arndt Feuerbacher & Theresa Herbold & Falk Krumbe, 2024. "The Economic Value of Pollination Services for Seed Production: A Blind Spot Deserving Attention," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 87(4), pages 881-905, April.
    4. Yinying Yang & Yuzheng Wu & Hexuan Long & Xuelin Ma & Kaavian Shariati & James Webb & Liang Guo & Yang Pan & Minglin Ma & Chao Deng & Peng Cao & Jing Chen, 2023. "Global honeybee health decline factors and potential conservation techniques," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 15(4), pages 855-875, August.

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