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The Monetization of Natural Capital in Corporate Investment

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Part of the Palgrave Studies in Impact Finance book series (SIF)

Abstract

We present examples of globally aggregated valuations of ecosystem services and place them in the context of the value of global GDP. We discuss the distinction between weak and strong sustainability and their implications for the interpretations of monetary value. There is a need to expand valuation models beyond the monetization of periodic flows of goods and services to a recognition of the value of inherent resilience with ecosystems, whose reward may consist of risk reduction rather than higher yield. We describe increasing efforts within corporations and among investors in the financial ecosystem to identify, measure, and value both the impacts as well as the dependencies of corporate economic activity on natural capital.

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Copyright information

© The Author(s) 2019

Authors and Affiliations

  1. 1.Columbia UniversityNew YorkUSA
  2. 2.CalPERSSacramentoUSA

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