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| Ecological compensation standard for Minjiang River based on Pareto improvement |
| RAO Qing-hua1, YAN Meng-jia1, LIN Xiu-zhu1, QIU Yu2, XU Li-zhong3 |
1. College of Ocean Science and Biochemistry Engineering, Fuqing Branch of Fujian Normal University, Fuqing 350300, China;
2. Fujian Research Academy of Environmental Science, Fuzhou 350013, China;
3. College of Environmental Science and Engineering, Fujian Normal University, Fuzhou 350007, China |
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Abstract In order to eliminate the externality of ecological and environmental protection activities, it was suggested that providing the ecological compensation to upstream area is necessary for Pareto optimality according to the concept of margin value. Three modes were investigated for Pareto improvement, including the mode of paying compensation to upstream area, the mode of combination of paying compensation to upstream area with imposing tax from downstream area and the mode of determined by negotiation between upstream and downstream area. Taking the Minjiang River basin for example, the revelent data from 1999~2013was analyzed, which focused on the ecological environment protection and the relevant regional GDP in the basin between upstream and downstream. The results indicated the two-step possible way is effective to realize Pareto improvement optimality. Firstly, the mode of combination of paying compensation to upstream area and composing tax will be used to obtain the maximum utility for both upstream and downstream area, namely more than 2.6026 billion Yuan for taxation respectively. Moreover, the mode of determined by negotiation should be used to distribute the net income, in further to maximize their benefits and eventually achieve the Pareto optimality.
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Received: 14 September 2015
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