Question

Are monetary values important?
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Are monetary values important?

Whether it is necessary to address valuation of impacts depends on whether monetary values of outcomes are considered important, and whether monetary values are already well known. Market prices may be sufficient for valuation of outcomes, however when they are not, due to, for example, a lack of markets or intertemporal considerations, then various valuation methods can be applied.

Whether valuation methods are applied is often a normative choice to be made by the analyst and depends on the context in which impact analysis occurs.

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Whether it is necessary to address valuation of impacts depends on whether monetary values of outcomes are considered important, and whether monetary values are already well known. Market prices may be sufficient for valuation of outcomes, however when they are not, due to, for example, a lack of markets or intertemporal considerations, then various valuation methods can be applied.

Whether valuation methods are applied is often a normative choice to be made by the analyst and depends on the context in which impact analysis occurs.

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This section is based on the UNEP PROVIA guidance document

Criteria checklist

1. You want to assess vulnerability.
2. Your focus is on impacts.
3. There are various alternative ways that might have led you to the current step.
4. At this point you are faced with the question whether monetary values are important.