Valuation and assessment of soil erosion costs

Abstract

Soil is an essential natural resource for humans and an important part of the environment. However, soil is often used and managed inappropriately, causing its erosion and degradation, with concomitantly negative social, political and economic impacts. This study aimed to discuss sustainable development; and losses and problems caused by soil erosion, and to suggest a model for assessing erosion costs. The relevance of economic models for costing soil erosion is stressed. Based on an economic theory, it presents a procedure for assessing economic costs of soil erosion, centered on the on-site and off-site costs that are generated. The physical processes of soil erosion are described and their economic effects reviewed, drawing on theoretical and empirical sources. Limited data and information is available on the economic losses resulting from erosion, which hampers assessment and valuation.