environment medium MCQ

Which of the following is a challenge in valuing ecosystem services?

  1. Easy quantification of all benefits
  2. Many services are non-market goods with no direct price
  3. Universal agreement on valuation methods
  4. Abundance of market data for all services

Answer: Many services are non-market goods with no direct price

Services like pollination, climate regulation, or cultural values lack market prices, requiring complex methods like contingent valuation for estimation.

Topic Environmental Economics
Exam Relevance UPSC, SSC