Abstract: Science Set Journal of Economics Research

Abstract:
Conventional economic models have historically failed to account for the value of natural capital, leading to the degradation of ecosystems and the services they provide. This paper argues that integrating the valuation of ecosystem services into policy and economic frameworks is essential for sustainable development. Through a literature review and a comparative analysis of three case studies, namely the Catskill watershed management plan, urban greening initiatives, and the Skjern River restoration in Denmark, this study explores practical uses of ecosystem service valuation. The findings reveal that recognizing ecosystems as productive assets can yield significant economic and social returns, from avoiding costly infrastructure to enhancing public health and cre ating recreational opportunities. Key challenges, including stakeholder opposition and difficulties in quantifying non-market values, are identified. The paper concludes by proposing a brief framework for decision-making that better incorporates regulating, cultural, and provisioning services into local and national planning.