Monday, March 27, 2023

UK NEA follow-on phase

Work Package 2: Macroeconomics



Changes in ecosystem services influence economic activity and these changes are reflected in indicators, such as employment numbers, sectoral output numbers, GDP and trade values, that governments operate with. Therefore (better) understanding these links would help decision makers to understand how protecting and managing ecosystem services impacts the economy and where possible trade-offs and undesirable effects can emerge.



To provide a scoping review and research agenda for understanding the macroeconomic implications of ecosystem service change and management in the UK


The systematic literature review will identify key ecosystem services and their connections with GDP, sectoral outputs, trade, investments, creation of jobs, etc., and will consider macroeconomic impacts on countries that provide ecosystem services for other countries. Mapping ecosystem services and their (market and non-market) values against their possible macroeconomic implications will be one component of the research. The work package will also identify and compare a range of existing models and techniques that could be applicable for assessment of macroeconomic impacts of ecosystem services as they are, or in an amended form. Additionally, the work package will establish a research agenda for quantitative assessment of the macroeconomic impacts of ecosystem services change and management.




Opportunity for input

Anticipated audience(s)

An up-to-date literature review


Peer review

Academic, National Government

A report with matrices of ecosystem services and their direct and indirect macroeconomic impacts

In progress

Workshop (28 Feb-1 Mar 2013); Peer review

Academic, National Government, Local Governments, Industries and businesses

A report of the methodology review

In progress

Peer review

Academic, National Government

A report of the model  comparison exercise

Not started

Peer review, advice on

Academic, National Government, Funders

A provisional research agenda for quantitative assessment of the macroeconomic impacts of ecosystem services change and management.

Not started

Peer review; Workshop (date TBC)

Academic, National Government, Funders, Local Governments, Agencies and advisory bodies, Industries and businesses

Methods/tools being developed:

This work package will not be developing new methods but will be reviewing existing methods and models.

Anticipated Case Studies:

This work package will not be using case studies.

Links to other Work packages:

WP1: Links to deployment of other forms of capital; understand how to model ecosystem services performance in the economy

WP3a: Understand how to model ecosystem services performance in the economy

WP3b: Understand how to model ecosystem services performance in the economy; contribute to scenario formulation from a macro perspective

WP4: Understanding of cultural values from natural capital assets

WP6: Contribute to scenario formulation from a macro perspective: Time focus? Possible link if future orientated; enriching scenarios with GDP?


Principal Investigator:

Annela Anger (University of East Anglia)

Team Member:

Stanislav Shmelev (Environment Europe)

Advisory Board:

Terry Barker (University of Cambridge)

Bruce Horton (Environmental Policy Consulting)

Joe Morris (Cranfield University)

Anatoly Shvidenko (International Institute for Applied Systems Analysis)

Dimitri Zenghelis (London School of Economics)

Oliver Fryatt (Defra)


Resource allocated: £100,000


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