Use value is the economic value people receive from using, benefiting from, or potentially using a natural resource. Non-use value is the value people assign to nature without using it or expecting to use it.
This is HL-only content from HL.b Environmental economics, especially environmental accounting and the economic valuation of natural resources and ecosystem services.
How the Values Differ
Environmental accounting attempts to include environmental benefits and resource depletion in economic decision-making. Use values are often easier to estimate because some benefits are traded in markets or can be compared with priced services. Non-use values usually require surveys measuring willingness to pay for conservation.
| Type of value | Meaning and categories | Amazon rainforest example |
|---|---|---|
| Use value | Benefits obtained directly, indirectly, or through possible future use | Direct use: timber or ecotourism. Indirect use: carbon storage and water-cycle regulation. Option value: possible future medicines. |
| Non-use value | Value independent of personal use, including existence and bequest value | Existence value: valuing Amazonian species because they continue to exist. Bequest value: conserving the forest for future generations. |
A common misconception is that non-use value and intrinsic value are identical. Non-use value remains an economic value assigned by people, often through willingness-to-pay surveys. Intrinsic value, from HL.c Environmental ethics, means an entity has value in itself, independently of human preferences.
Valuation is limited because willingness to pay depends on income, knowledge, culture and survey design. This creates an environmental justice concern: wealthier groups may appear to value an ecosystem more highly, although Indigenous or local communities may depend on it more strongly.
Exam Technique
For a distinguish question, define both terms and give one contrasting example. For evaluate, weigh the usefulness of including environmental benefits in economic decisions against subjectivity, unequal incomes and the difficulty of pricing non-use values.
