Valuing the potential economic impact of climate change on the Taiwan trout

The purpose of this study is to estimate the value of the potential economic impact of climate change on the Taiwan trout (also referred to as Oncorhynchus masou formosanus), an endangered species that only lives in high mountain stream sections in which the water temperature is lower. A two-stage approach is adopted to estimate the value of the change in the Taiwan trout stock due to a change in climate. The first stage involves establishing the relationship between the Taiwan trout stock and climate change, while the second stage involves estimating the non-market value of the change in the Taiwan trout population using the double bound model associated with the contingent valuation method (CVM). Our results indicate that the total Taiwan trout population will decline from 1612 to 974, 560, and 146 if precipitation in Taiwan increases by 0.6 mm/day, while the temperature increases by 0.9 degrees C, 1.8 degrees C, and 2.7 degrees C, respectively. The mean willingness to pay per person per year to avoid a change in the trout stock caused by climate change is found to be US$16.22, US $25.72, and US$33.60, respectively. (c) 2007 Elsevier B.V. All rights reserved.