Ecosystem Services in Decision Making: Time to Deliver
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Ecosystem Services in Decision Making: Time to Deliver
Ecosystem Services in Decision Making: Time to Deliver Author(s): Gretchen C. Daily, Stephen Polasky, Joshua Goldstein, Peter M. Kareiva, Harold A. Mooney, Liba Pejchar, Taylor H. Ricketts, James Salzman and Robert Shallenberger Reviewed work(s): Source: Frontiers in Ecology and the Environment, Vol. 7, No. 1, The Role of Ecosystem Services in Conservation and Resource Management (Feb., 2009), pp. 21-28 Published by: Ecological Society of America Stable URL: http://www.jstor.org/stable/25595034 . Accessed: 12/09/2012 10:38 Your use of the JSTOR archive indicates your acceptance of the Terms & Conditions of Use, available at . http://www.jstor.org/page/info/about/policies/terms.jsp . JSTOR is a not-for-profit service that helps scholars, researchers, and students discover, use, and build upon a wide range of content in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship. 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Ecological Society of America is collaborating with JSTOR to digitize, preserve and extend access to Frontiers in Ecology and the Environment. http://www.jstor.org ECOSYSTEM SERVICES ECOSYSTEM SERVICES ECOSYSTEM SERVICES_ 21 in decision services Ecosystem time to deliver making: Gretchen C Daily1*, Stephen Polasky2, Joshua Goldstein1, Peter M Kareiva3, Harold Taylor H Ricketts4, James Salzman5, and Robert Shallenberger6 A Mooney1, Liba Pejchar1, Over the past decade, efforts to value and protect ecosystem services have been promoted by many as the last, In theory, ifwe can best hope formaking conservation mainstream - attractive and commonplace worldwide. help individuals and institutions to recognize the value of nature, then this should greatly increase investments I In practice, however, we have not yet in conservation, while at the same time fostering human well-being. nor the scientific the and finance for incorporating natural capital into basis, mechanisms, developed policy resource- and land-use decisions on a large scale. Here, we propose a conceptual framework and sketch out a strategic plan for delivering on the promise of ecosystem services, drawing on emerging examples from Hawai'i. We describe key advances in the science and practice of accounting for natural capital in the decisions of individuals, communities, corporations, and governments. Front Ecol Environ 2009; 7(1): 21-28, doi: 10.1890/080025 Assessment Millennium (MA) Ecosystem a vision for advanced the future (MA powerful The 2005), and now it is time to deliver. The vision of the MA - and of the prescient ecologists and economists whose work formed its foundation - is a world inwhich people and institutions appreciate natural systems as vital assets, the recognize central roles assets these play in sup and routinely incorporate porting human well-being, their material and intangible values into decision mak ing.This vision isnow beginning to take hold, fueled by innovations from around the world - from pioneering local to government leaders ditional cultures tomajor bureaucracies, corporations and from tra (eg a new experi In a nutshell: nature Valuing not an end Success conservation, is but in itself on a better understanding of ecosystem produc integrating research (and experimenta into the development of new policies and institutions hinges tion functions and on tion) The Natural is designing practical tools for this Project Capital a system for quantifying ecosystem purpose, including InVEST, services produced under different scenarios use of these tools in contrasting The up settings is opening conservation important between Stanford University, The Nature Conservancy, andWorld Wildlife Fund (www.naturalcapitalproject.org) - is to help integrate ecosystem services into everyday decision making around the world. This requires turning the valuation of ecosystem services into effective policy and finance are are in decision University, Stanford, CA *([email protected]);2AppliedEconomics and Ecology, Evolution and Behavior,UniversityofMinnesota, St Paul, MN; The Nature Seattle, WA; US, Washington,DC; Sciences, Conservancy, ? The Duke Science Program, WWF Nicholas School of Environmentand Earth University, Kamuela, Ecological ^Conservation Durham, HI Society of as yet, no one often understood, poorly and rarely monitored, Two fundamental changes need to occur in order to replicate, scale up, and sustain the pioneering efforts that Institute for Conservancy, that, problem are undergoing rapid degradation (Heal 2000a; MA 2005; Maler et al. 2008). The importance of ecosystem services isoften recognized only after they have been lost, as was the case following Hurricane Katrina (Chambers et al. 2007). Natural capital, and the ecosystem services that flow from it, are usually undervalued - by govern - if indeed they are ments, businesses, and the public considered at all (Daily et al. 2000; Balmford et al. 2002; 1 Center forConservationBiology (DepartmentofBiology)andWoods Stanford a NRC2005). opportunities the Environment, - mechanisms has solved on a large scale. A key challenge remains: rel ative to other forms of capital, assets embodied in ecosys tems to mainstreaming is central mental wing of Goldman Sachs; Daily and Ellison 2002; Bhagwat and Rutte 2006; Kareiva and Marvier 2007; et al. 2008). China, Ostrom et al. 2007; Goldman for over is 700 billion yuan (about instance, investing US$102.6 billion) in ecosystem service payments, in the current decade (Liu et al. 2008). The goal of theNatural Capital Project - a partnership America NC; 6The Nature currently to give underway, making. First, vices needs to advance services) on investments the services ecosystem science of ecosystem weight ser rapidly. In promising a return (of in nature, the scientific commu nity needs to deliver the knowledge and tools necessary to forecast and quantify this return. To help address this Project has developed challenge, the Natural Capital InVEST (a system for Integrated Valuation of Ecosystem www.frontiersinecology.org o Ecosystem services in decision making 22 GC Daily et al. Panel 1. A tool for Integrated Valuation of Ecosystem Services and Tradeoffs (InVEST) is a partnership Capital Project (www.naturalcapitalproject.org) Stanford University, The Nature and World Wildlife Conservancy, institutions. The Project's mission is Fund, working together with many other to align economic forces with conservation, tools that make by developing The Natural natural agers ment capital parts of a watershed provide the greatest carbon values? Where would reforestation versity, and tourism downstream water quality benefits? How would affect a downstream agricultural expansion supply? How will climate change to those response services. and population growth Willamette outputs as well scenarios, c,jm?e stability _, Flood contra| Biophysical, Community cultural economic, Tradeoff Balance curves sheets on scenarios alternative realistic, for the future. The modeling is shaped by stakeholders,and typically focuses on the(subsetofpossible) servicesand scenarios deemed most important.Outputs are displayed in accordance with stakeholderpreferences,in theform of maps, tradeoffcurves, and/or balance sheets.These can be expressed in biophysical (eg tons of carbon), economic (eg dollars), or cultural (eg visitor-days) terms(seeNelson et al. page 4 in thisissue). in ecosystem investments costs, benefits, trade-offs, and synergies of alternative et al. (page 4 in this issue). is given inNelson Valley, OR, - Maps p focus city's drinking water impact these effects? as to changing climate, population, and so a set of models and maps ecosystem quantifies of these models provide decision makers with informa decisions, on these The tion about O Freshwater Cultural Supporting Recreation Pollination Tradition processfor integrating ecosystem Figure 1*An iterative services intodecisions. The process beginswith stake holder engagementaround impendingdecisions,with a biodi sequestration, achieve the greatest is designed InVEST for use as part of an active decision-making process involves working with decision mak (Figure I). The first phase of the approach ers and other stakeholders to identify critical management decisions and to to project how the provision of services scenarios in develop might change forth. Based 2 O mm Food TimKnr Timber Species u i_-*j. Habitats 55 can help answer of urgent that InVEST include: Examples questions How does a proposed forestry management plan affect timber yields, biodi versity, water quality, and recreation? o Biodiversity Provisioning Regulating _g Outputs integrated way. population) en Models O) C 2 climate, (A Management, ? ?_ into decisions resource manage and policy makers about the impacts of alternative choices on the economy, human well-being, in an and the environment, Which c Scenarios 0) the power easy, by demonstrating in important, contrasting places, and by engaging leaders globally. a software system for ser is developing The Project quantifying ecosystem vice values across land- and seascapes, called InVEST This tool informs man incorporating of these tools Staging [1 ~| between service provision. A detailed case study of the InVEST uses a flexible, modular, to ensure that the models are useful worldwide, and "tiered" modeling approach including in places with to across a landscape, and data estimate the relative of services sparse ecosystem requirements production can inform prioritization exercises and eco 2 models service absolute and levels compute general management planning.Tier corresponding nomic values, to support more information-rich planning processes, such as payment for ecosystem services schemes. Finally,Tier 3 inte in the over that include time steps and feedbacks grates more complex models, developed by other research teams (eg hydrology models), all ecosystem service analysis. dataTier 4o Imodels have modest Services and Tradeoffs; see Panel 1 and Nelson et al. page 4 in this issue). Second, ecosystem services must be explic itlyand systematically integrated into decision making by individuals, corporations, and governments (Levin 1999; Heal 2000a; NRC these advances, the 2005). Without value of nature will remain littlemore than an interesting idea, represented in scattered, local, and idiosyncratic efforts. Here, we of services ate to propose a framework It does simultaneously. local-, regional-, and that considers so over national-level a number scales appropri resource-man agement decisions; it connects the science of quantifying services with valuation and policy work to devise payment schemes and management actions; and it helps in the and of successful models, thereby up replication scaling confidence and creating providing inspiration for future initiatives.We also highlight the advances in research and that will be necessary to take this implementation forward (see also Carpenter et al. in review). approach to illustrate We draw upon experiences from Hawai'i each step in our framework. Hawai'i is a microcosm of the a result of a rapidly at As forces worldwide. important play and growing population intensifying development pres the sure, of Hawaii's future is in question, lands culture. There forests, as are other is, however, renewed and croplands, aspects of its economy ranch and for tradi appreciation in which watersheds tional Hawaiian land management, are recognized for all the goods and services they produce, from the mountains to the sea. Today, diverse leaders across the public, private, and non-profit sectors are mobilizing to incorporate the values of natural capital into land-use and policy decisions. By highlighting some of the active works in-progress there, we illustrate the promise and challenge of creating the broader institutional and cultural changes that are needed worldwide. What's An new? appreciation of ecosystems as valuable capital assets traces back to Plato, or even earlier (Mooney and Ehrlich www.frontier8inecology.org ? The Ecological Society of America GC Daily et al. Ecosystem services in decision making 1997), and the current research agenda on services ecosystem a continues field of inquiry. For resources have long-standing area active of at since lncent.ves^\^ study least the 1950s, when Gordon characterized the problems of first (1954) fisheries. In the 1960s and open-access value services of out to measure natural areas set economists 1970s, that and and policy, cially their integration (eg Dasgupta espe to values ascribing ecosystem Economic and cultural models version simplest goods ecosystem services into everyday decisions. This on focus services requires an services; provisioning beyond understanding of the interlinked production of services; a grasp of the decision-making processes of individual stakeholders; integration of research into institutional design and policy implementation; and the introduction of experimentally based policy interventions designed for evaluation performance and over improvement here. right institutions can create incentives, so that the deci sions made by individuals, communities, corporations, and governments promote widely shared values. The links between motivate Making ecosystem as is shown a continuous loop, we start with the "decisions" oval to emphasize our focus. The main aim in understanding and valuing natural capital and ecosystem services is to make better decisions, resulting in better actions relating to the use of land, water, and other elements of natural capital. The biophysical sciences are central to elucidating the link between actions and ecosystems, and that between ecosystems and services (biophysical models of "ecologi cal production functions")- The social sciences are cen tral to measuring nomic and multidimensional, the value of to services Because cultural models"). it makes sense to people ("eco this value characterize is it as fully and systematically as possible, in ways that will be meaningful tomany different audiences. Finally, valuing ecosystem services provides useful information that can help design the institutions that will guide resource management and policy. Having the ? The Ecological Society of and "institutions", "values", "decisions" of integration services ecosystem into and policy decisions, and inspire a research to support this change. operational Figure 2 presents a framework for the role that ecosystem services can play in decision making. Although the framework the management agenda services the ovals are much more representative of the art and politics of social change than of science, although scientists can inform these debates if they concentrate on specific deci sions and are attuned to the social and political contexts. In the following sections, we move around the schematic of Figure 2 to explore how a focus on decisions can time. are a lot of devils in the details of this work. There Services Values Y^h! f and services isnot an end in itself,but rather one small step in the much larger and dynamic arena of political decision making (Daily et al. 2000). Our chal lenge today is to build on this foundation and integrate a new ^ Information ^ Figure 2* A framework showinghow ecosystem services can be integratedinto decisionmaking. One could linkany twoovals, inany direction;we present the 2001; MA 2005;NRC 2005;Ruhl etal. 2007). Yet, f Ecosystems 1 J provide" (Dasgupta and Heal 1979), and environmen tal amenities (Freeman 1993). More recent advances have been seen in a broad range of areas, including ecology and global change, institutions Actionsand ^/^scenarios Institutions f "the (Krutilla and Fisher 1975); they focused on agricultural production (Beattie and Taylor 1985), renewable resources (Krutilla 1967; resources Clark non-renewable 1990), economics, I Decisions J renewable example, an been 23 America -> Decisions ecosystems In Figure 2, the science needed to inform the link that connects decisions and ecosystems is a huge challenge in itself. We do not detail this here, since readers of Frontiers have built a vast literature connecting past human deci sions and activities to their impacts on ecosystems and landscapes, and the species that inhabit them. Looking forward is also essential, however, and scenarios that describe plausible futures, combining alternative deci sions with projected changes in demographics, climate, and other factors, have become both more common and more sophisticated (eg Peterson et al. 2003). In Hawai'i, there has been extensive work on how land-management decisions affect ecosystems. For exam to introduce ple, we have learned that the decision exotic pasture grasses has dramatically changed fire fre and quency and intensity across landscapes (D'Antonio Vitousek 1992), and that the introduction of cattle, non native game, and feral ungulates has further transformed www.frontiersinecology.org Sri O Ecosystem services in decision making GC Daily et al. requires a focus on different questions than are traditional in ecology (Boyd and Banzhaf 2005). The MA synthesizes our existing knowledge (MA 2005), often at the global 24 I 1 /' J i* - 4 ^JL scale. are There ecosystem on focusing also many a fine-scale service single studies functions, production of typically et al. (Kremen 2002; Ricketts et al. 2004; Jackson et al. 2005; et al. 2006). Much more work is Hougner needed now, on integrating multiple services at regional and global scales (eg Nelson et al. page 4 in this issue; Chan et al. 2006; Naidoo and Ricketts 2006; Brauman et al. 2007). as In Hawai'i, duction in most functions efforts However, are places, are now pro ecological largely undescribed. to underway quantify production functions for a range of policy-rele vant ecosystem in fine services, across detail, heterogeneous landscapes, and to elucidate the tradeoffs and synergies among services under alternative management options. Historically, the production of goods through ranching and forestry has been the best described of terrestrial services. Today, there is growing interest in managing forests of the endemic hardwood Acacia koa as a "win-win" station /or quantifying the roles of pasture Figure 3* A microrrteteorofogica! and nearby forest in recharginggroundwater supplies for local water users. Palani Ranch, Hawaii. Kona, native ecosystems (Cuddihy and Stone 1990; Maguire et al. 1997). Conservation and restoration are a key focus today (Manning et al. 2006; Goldstein et al. 2008), as are new remote sity and sensing ecosystem systems structure for characterizing and function biodiver at large scales (Asner et al. 2008). The scientific foundation for informing decisions that affect ecosystems could be greatly enhanced by: (1) col laborating with stakeholders to define important scenar ios of alternative rO future uses of land, water, and other nat ural resources (eg MA 2005, "Scenarios" volume); (2) improving methods for assessing the current condition, and predicting the future condition, of ecosystems (eg Heinz Center 2008); and (3) establishing state-of-the-art programs for long-term monitoring of biodiversity and other ecosystem attributes (eg Scholes et al. 2008). Ecosystems -? services Ecological production functions translate the structure and function of ecosystems into the provision of impor tant services (Heal 2000b; NRC 2005). Production func tions have a long tradition in agriculture and manufactur ing,where the amount produced of a given commodity (eg grain) is related to the quantities and quality of the vari ous inputs (eg seeds, labor, chemicals, irrigation). Estimating these functions for ecosystem services often projects - land use, providing high-value timber as well as other ecosystem services (eg Pejchar et al. 2005; Goldstein et al. 2006; Litton et al. 2006; Scowcroft et al. 2007). Multiple reforestation some spanning thousands acres of - have recently been launched, allowing further research on pro duction for services functions such as carbon sequestration (eg Litton et al. 2006; Scowcroft et al. 2007) and ground water recharge (K Brauman unpublished data; Figure 3). The translation of ecosystem condition into ecosystem services requires and function interdisciplinary and user oriented research, including: (1) collaborating with stake holders to define services that people care about (eg Carpenter et al. 2006; Cowling et al. 2008); (2) developing transparent, flexible models of ecological production func tions at scales relevant to decision making (Panel 1); and (3) testing and refining thesemodels in systems around the world, to derive general insights (eg Ricketts et al. 2008). -> values Services The promise of ecosystem service analyses is that they will make explicit the costs and benefits of alternative actions to people valuation (NRC 2005). Economic methods take changes in the supply of ecosystem services as input and translate these into changes in human wel fare, inmonetary terms (Repetto et al. 1987; Daily et al. 2000; Arrow et al. 2004). Cost-benefit analyses and other express methodologies monetary compare. currencies, In certain alternative making cases, www.frontiersinecology.org however, ? in comparisons apples-to-oranges options service The Ecological easier values to may Society ofAmerica GC Daily et al. Ecosystem services in decision making 25 1 ,^ in^ nil i ^i*i"ir.ii " y^ Ti^^T^^^iwwrrw'iffi EflM^H^^^^lBiKI^^Hilv^i^^^^^^^^^HBlHf^^l E^ii^v^B^ft^?^^^BLLtf^H^UM*jHBZ^i^^^^^^H ^E3^^^i^^T^^m^^^^^^^^^^^^^^^^^^^B H^^^^VK^^^^Ht^^i^^B?^^^BMr ^^^BJ^piri^^^^^B ^BI^^^^^^^^B^^ii^'i^kM^^^Ki^^^BI^^B^^BI^H Bi^^^B^B^^BBr ?ffin?~v^^^BBB^M^BEJ^^^^^B Figure 4. Using InVEST to hefpassess management options for (a) a land-holdingofKamehameha Schools (Kawailoa, Olahu). This 26 000-acre parcel has (b) prime undeveloped coastline, (c) an ancient fishpondand other importantcultural assets, (d) a highly productive agriculturalbeltwith water resources, (e) biodiversenative upland forest,and (f) commercialand residentialareas. best be conveyed in other ways (eg the cultural impor tance of natural places), because assigning credible mon etary values is difficult or lessmeaningful. In Hawai'i, are both important monetary to decision and makers. metrics non-monetary Kaiser and Roumasset (2002), for example, examined themonetary contribution in enhancing of a forested watershed groundwater a metric and clear forweighing the costs present recharge, and benefits of alternative approaches to watershed man a major educational agement. Kamehameha Schools, a multi-dimensional trust, is developing perspective, including ? The economic, Ecological environmental, Society of America educational, www.frontiersmecology.org and community elements, with an underlying cultural founda tion. To evaluate land-management decisions, the trust considers the number of student activity-days per year, the number of areas available for gathering traditional plants (eg for lei making), and access to sites of spiritual impor tance, in addition to monetary estimates of value. The Natural Capital Project is working with Kamehameha Schools to apply InVEST to a key tract of land on O'ahu, to determine the impacts of alternative land uses on bio physical and cultural ecosystem services (Figure 4). More research is needed to build the credibility of ecosystem service approaches, by: (1) combining direct O Ecosystem services in decision making 26 biophysical measurements estimate the monetary GC Daily et al. with economic value to valuation at services of ecosystem the scale of decisions; (2) developing non-monetary methods for valuing human health and security, and cultural ser vices, and in these incorporating easy-to-use, exacerbating existing social inequities with policy incen tives (eg Pagiola et al. 2005). O cial institutional change is difficult and requires careful attention to the distribution of the costs and benefits of change (in terms of power, status,wealth, etc). Many such are possible, from monetary creating to incentives altering cultural norms (eg in attitudes to smoking). There isno magic recipe for initiating change, and itmakes sense to experiment with a wide variety of possible mechanisms (egOlsson et al. 2008). In some cases, the firststep toward institutional change has been in the form of a demonstra tion "pilot project" (eg Pagiola et al. 2002; Salzman 2005). In this process, it is important that researchers are linked with key leaders as well as public and private organizations from the beginning, to design policy in stages and, ideally, to improve itsform and implementation as knowledge and increase. understanding government initiatives are helping to bring stakeholders together and creating opportunities for In the House Hawai'i of 2006, change. Representatives passed a resolution requesting an analysis of incentives to In Hawai'i, conservation promote activities on private lands (House Concurrent Resolution 200, 23rd Legislature, 2006). The resolution emphasized the valuable economic and cultural contribution of ecosystem services to Hawai'i s residents, reduction in greenhouse-gas emissions to 1990 levels by 2020 (House Bill 226, 24th Legislature, 2007). Motivated by this legislation, the Natural Capital Project isworking to launch a pilot project, focused initially on payments for range carbon of other sequestration, environmental, while economic, aiming and to achieve cultural capital for the a ben efits. Being ready to infuse policy discussions with relevant scientific, economic, and cultural information is key to making effective use of these policy opportunities. a view to cultivate of protection of as ecosystems initiatives (1) piloting that include services ecosystem and fostering recognition of the value of these services (eg Olsson et al. 2008); (2) determining the merits and limi tations of various policy and finance mechanisms, in dif ferent economic, and governance, other social contexts (eg Berkes et al. 2003; Ostrom 2005); and (3) developing institutions that achieve representation and participation by stakeholders as part of adaptive governance systems and Reed et al. 2008). 2002; Cowling Institutions -? decisions In concrete terms, this arrow in Figure 2 represents finan cial flows and other tangible incentives. However, our model of change begs an important question: what actu in decisions and behavior changes ally motivates and Kahneman 1981) monetary rewards, legal (Tversky sanctions, guilt, approval by peers? How can these be included in a conscious process of cultural evolution societies have values consis (Kahneman 1980)? When tent with the approach laid out here, we can foster these values. societies When services ecosystem either do not short-term economic obsessed with to incorporate or nature value are growth, the use of in main conservation stream decision making may be much more difficult. There are many different nuances in even the most basic decisions involved in setting up payments for ecosystem services (eg contract duration, payment level, and specifi cation and monitoring of desired outcomes). It is impor tant to integrate social psychology and other sources of experience and insight into this work (eg Ross and Nisbett 1991;McMillan 2002). The complexity of social change, and the diversity of values and decisions facing stakeholders inHawai'i, high light the need for a multi-pronged approach. For busi ness-minded landowners, developing a suite of financial incentives linked with different ecosystem service values is of prime importance. Many landowners will require multiple revenue streams conservation-oriented urging state policy reform "by thinking of the environment not as a 'freegood,' but as a capital resource thatwill depre ciate without appropriate care". In 2007, Hawai'i passed the nations second state-level climate bill, mandating a land-based help assets by: (eg Rickenbach -> institutions To bring about a change in decision making (Figure 1), it is important to embed the values of natural capital in institu tions. Without institutional change, communities may well continue to carry on with behaviors that are widely known to be harmful to society over the long term (eg overfishing, high use of fossil fuels). Bringing about benefi changes can face. We incentives easy-to understand, but rigorous tools for valuing ecosystem ser vices; and (3) developing methods for identifying who benefits from ecosystem services, and where and when those who benefit live relative to the lands and waters in this information, we risk creating or question. Without Values Influencing existing institutions, or building new ones as needed, is one of the most important challenges we in order management to move toward (Goldstein more et al. 2006). Cultural and educational effortsare also underway, to (re)connect to the land. The Waipa people Foundation for example, (www.waipafoundation.org/), a modern approach to the traditional has developed ahupuaa management mountaintop to system (subdivisions of land, from seashore, using streams as boundaries) through activities with the local community, school chil Futures Program dren, and others. The First Nations' values-based (www.fnfp.org/) develops leadership for to natural achieve managing capital. Finally, landscape scale management (Goldman et al. 2007), new institu tions are being developed, involving cross-boundary cooperation between public and private www.frontiersinecology.org ? The Ecological land managers. Society of America GC Daily et al. For the recently created Three Mountain example, now facilitates collaboration among groups of Alliance in landowners, the conservation and of management nearly one million acres of land on the island of Hawai'i. The integration of conservation into decision-making processes will be aided by: (1) broad discussion and inquiry into what motivates people and how social norms evolve, especially in the context of nature (eg Ehrlich and Kennedy 2005; Pergams and Zaradic 2008); (2) into traditional and incorporating practices knowledge modern conservation approaches (eg Berkes and Folke 1998); and (3) developing a broader vision for conserva tion, and that approaches move from to confrontation participatory efforts seeking a wide range of benefits (eg Theobald et al. 2005; Manning et al. 2006; Goldman et al. 2007; PejcharetaL 2007). Ecosystem services in decision making References 27 too L, et al 2004- Are we consuming K, Dasgupta P, Goulder much? J Econ Perspect 18: HI-12. Asner GP, Hughes Invasive plants RF, Vitousek PM, et al 2008. structure of rain forests. P Natl transform the three-dimensional Arrow Acad Sci 105: 4519-23. Baker PJ and Scowcroft PG. 2005. 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There are scientific challenges for ecolo gists, economists, standing how provision and human of ecosystem other social actions services, scientists, in under affect ecosystems, and the value of those the ser vices. At least as difficult are the social and political ques tions associated with incorporating this understanding into decision making. We must design effective and enduring institutions to manage, monitor, and provide incentives that reflect the social values of ecosystem services. Ideally, individuals, corporate managers, and government officials who make decisions that affect ecosystems and the services they provide will pay the prices that reflect these impacts. Price is by no means the only thing that affects peoples' decisions. However, ifwe can get the price closer to being "right", everyday behavior and decisions will be channeled toward a future inwhich nature isno longer seen as a lux ury we cannot afford, but as something essential for sus taining and improving human well-being everywhere. These ideas trace tomany people, including A Balmford, P Bing, S Carpenter, P Ehrlich, C Folke, JGreenwell, N G Heal, C Katz, M Kleeman, S Levin, P Hannahs, D W V Matson, Matsuura, Reid, Sant, R Sant, J B K K Sarukhan, Turner, Thompson, Unger, P Vitousek, K Wirth, T Wirth, and W Wirth, and the Beijer Institute. We thank the Hawai'i landowners and leaders in the private, public, and nonprofit sectors, who are fos tering this joint work. We appreciate the comments of J P Ehrlich, R Goldman, C Katz, N Boyd, M Conte, are H P Timmer. and We Lincoln, Tallis, grateful for sup P from H V R Sant, Sant, B Hammett, port Bing, Bing, and the Koret, MacArthur, Moore foundations. 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