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MAKING A CASE
 Towards an environmentally-adjusted
macroeconomic index for land degradation




       Ms Leslie Torres (MSc. Environmental Economics),
                 Dr. Massimo Candelori (PhD. Agronomy)
                                          11 April 2013
Outline

1.   Issues at stake.

2.   An Index, as an opportunity.

3.   The Way Forward: Example
1. Issues at stake…
UNCCD        …regarding….       Descriptive Indicators                      TARGETS?
Strategic
Objectives                                                                  Quantified?

SO-1         Population        Poverty Rate(Proportion of the
             (Welfare Impact)   population in affected areas living above
                                the poverty line), Childhood
                                malnutrition, Calorie intake per
                                capita, change in land use, Water
                                availability in affected areas.
SO-2         Ecosystems         Land Cover Status, plant-animal
             (Biophysical       biodiversity, aridity index, change
             Drivers)           in land use, level of land
                                degradation (salinization, wind
                                erosion etc…)
SO-3         Global Benefits    Plant-animal biodiversity, carbon
             (macro-Econ)       stocks above and below ground,
                                land under SLM; Proportion of the
                                population in affected areas living
                                above the poverty line.
2. Index as an Opportunity

       GDP 
                 Common Concepts   
                 Common Definitions
       HDI 
                                     
                 Common Classifications
                 Common Accounting Rules
                                       
                 Methodological Transparency

       CPI 
2. Index as an Opportunity



•   Land Degradation Index (GLADIS)        •   Index of Captured Ecosystem Values
•   Environmentally Adjusted Prod. Index   •   Sustainable Economic Welfare Index
•   Water Poverty Index                    •   Ecological Footprint Index
•   Sensitivity to Desertification Index   •   Happy Planet Index
    (Environmentally Sensitive Areas)      •   Wealth Index
An Overarching Index: Construction Process

                               Implementation

                Development
  Economics,
  Science +
  Policy



1. Motivation        4.   Functional Form 7. Performance Comparison
2. Variable Choice   5.   Standardization 8. Decision Making
                     6.   Weighting       9. Policy Making
                     7.   Aggregation
3. Example with existing data
Let’s choose some important indicators found on the UNCCD Strategy, to
construct our possible Index, (I); (W) stands for ‘weights’:




              Select                         Choose
Start                     Standardize       Functional         Weights
              Items
                                              Form


                                                 NO
                                                               Judge

                                                         Yes

                                                               INDEX 
    Using already existing data: FAO, WB, UNDP
Argentina
7

6

                                     Remember: The higher the
5                                    Index, the better the Country’s
                                     performance in addressing Land
4                                    Degradation , and thereby land
                                     degradation neutrality.
3

2

1

0
    1995        1997   1999   2001       2003         2005         2007
Argentina   Belarus
7

6

5

4

3

2

1

0
    1995       1997    1999      2001   2003   2005   2007
Argentina   Belarus     Italy
7

6

5

4

3

2

1

0
    1995       1997    1999      2001      2003   2005   2007
Argentina   Belarus     Italy     Pakistan
7

6

5

4

3

2

1

0
    1995       1997    1999      2001      2003     2005   2007
Argentina   Belarus     Italy     Pakistan      Senegal
7

6

5

4

3

2

1

0
    1995       1997    1999      2001      2003     2005      2007
THANK YOU !



      Contact: Ms Leslie Elizabeth Torres Sibille
MSc. Environmental Economics (University of York, UK)
 Email:letatkent@hotmail.com Tel: +49 15227680021

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Leslie Elizabeth TORRES "Towards an environmentally-adjusted macroeconomic index"

  • 1. MAKING A CASE Towards an environmentally-adjusted macroeconomic index for land degradation Ms Leslie Torres (MSc. Environmental Economics), Dr. Massimo Candelori (PhD. Agronomy) 11 April 2013
  • 2. Outline 1. Issues at stake. 2. An Index, as an opportunity. 3. The Way Forward: Example
  • 3. 1. Issues at stake… UNCCD …regarding…. Descriptive Indicators TARGETS? Strategic Objectives Quantified? SO-1  Population Poverty Rate(Proportion of the (Welfare Impact) population in affected areas living above the poverty line), Childhood malnutrition, Calorie intake per capita, change in land use, Water availability in affected areas. SO-2 Ecosystems Land Cover Status, plant-animal (Biophysical biodiversity, aridity index, change Drivers) in land use, level of land degradation (salinization, wind erosion etc…) SO-3 Global Benefits Plant-animal biodiversity, carbon (macro-Econ) stocks above and below ground, land under SLM; Proportion of the population in affected areas living above the poverty line.
  • 4. 2. Index as an Opportunity GDP  Common Concepts  Common Definitions HDI   Common Classifications Common Accounting Rules  Methodological Transparency CPI 
  • 5. 2. Index as an Opportunity • Land Degradation Index (GLADIS) • Index of Captured Ecosystem Values • Environmentally Adjusted Prod. Index • Sustainable Economic Welfare Index • Water Poverty Index • Ecological Footprint Index • Sensitivity to Desertification Index • Happy Planet Index (Environmentally Sensitive Areas) • Wealth Index
  • 6. An Overarching Index: Construction Process Implementation Development Economics, Science + Policy 1. Motivation 4. Functional Form 7. Performance Comparison 2. Variable Choice 5. Standardization 8. Decision Making 6. Weighting 9. Policy Making 7. Aggregation
  • 7. 3. Example with existing data Let’s choose some important indicators found on the UNCCD Strategy, to construct our possible Index, (I); (W) stands for ‘weights’: Select Choose Start Standardize Functional Weights Items Form NO Judge Yes INDEX  Using already existing data: FAO, WB, UNDP
  • 8. Argentina 7 6 Remember: The higher the 5 Index, the better the Country’s performance in addressing Land 4 Degradation , and thereby land degradation neutrality. 3 2 1 0 1995 1997 1999 2001 2003 2005 2007
  • 9. Argentina Belarus 7 6 5 4 3 2 1 0 1995 1997 1999 2001 2003 2005 2007
  • 10. Argentina Belarus Italy 7 6 5 4 3 2 1 0 1995 1997 1999 2001 2003 2005 2007
  • 11. Argentina Belarus Italy Pakistan 7 6 5 4 3 2 1 0 1995 1997 1999 2001 2003 2005 2007
  • 12. Argentina Belarus Italy Pakistan Senegal 7 6 5 4 3 2 1 0 1995 1997 1999 2001 2003 2005 2007
  • 13. THANK YOU ! Contact: Ms Leslie Elizabeth Torres Sibille MSc. Environmental Economics (University of York, UK) Email:letatkent@hotmail.com Tel: +49 15227680021

Hinweis der Redaktion

  1. Why an Overarching Index?: Indices are multi-dimensional; Land degradation is also a multi-dimensional problem.Indices are typically used for slow moving process; Desertification is a slow process.Particularly economic indices, are more holistic than scientific indices alone: They can combine measures of physical change with the price/value of change perceived to people across dissimilar categoriesFor society to move towards realising this target, werecommend the development of a small set of focused,relevant, efficient and achievable sub-targets. Each ofthese sub-targets should have scientifically and sociallyappropriate outcomes and timescales, support biodiversity’srole in human well-being, be linked to legislativeand regulatory processes, be relevant at global scales butreflect local and national interests, and be open to accurateand efficient reporting