Natural capital

Definition

Natural capital refers to the world's stocks of natural assets, including geology, soil, air, water, and all living things. It is the foundation for ecosystem services that provide benefits to humans, such as clean water, pollination of crops, and climate regulation. Understanding natural capital is essential for valuing ecosystem services and ensuring sustainable development, as it emphasizes the importance of conserving and managing our natural resources effectively.

5 Must Know Facts For Your Next Test

1. Natural capital provides essential ecosystem services that are vital for human survival and well-being.
2. The valuation of natural capital can help guide policy decisions and resource management to prioritize conservation efforts.
3. Investing in natural capital can lead to economic benefits by enhancing ecosystem services and reducing costs associated with environmental degradation.
4. Natural capital is often overlooked in traditional economic models, which can lead to unsustainable practices and resource depletion.
5. The degradation of natural capital can have significant long-term consequences for ecosystems and human societies, making its protection critical for future generations.

Review Questions

• How does natural capital relate to ecosystem services and why is this relationship important for environmental sustainability?
  • Natural capital is the basis for ecosystem services, as it encompasses all natural assets that contribute to these services. The relationship between natural capital and ecosystem services is crucial because recognizing this connection helps highlight the value of nature in supporting human life and well-being. By understanding how ecosystem services rely on natural capital, we can prioritize conservation efforts and promote sustainable practices that ensure these vital resources remain available for future generations.
• Evaluate the impact of valuing natural capital on policy-making and resource management decisions.
  • Valuing natural capital can significantly influence policy-making and resource management by providing a framework for decision-makers to assess the economic benefits of conserving ecosystems. This approach encourages policymakers to consider long-term ecological health rather than short-term gains, leading to more sustainable resource use. Additionally, integrating natural capital into economic models can help identify the costs associated with environmental degradation and promote investments in conservation efforts that yield both ecological and economic returns.
• Synthesize how the loss of natural capital affects biodiversity and ecosystem resilience in the context of global environmental change.
  • The loss of natural capital directly impacts biodiversity by reducing habitats and resources essential for various species' survival. This decline in biodiversity weakens ecosystem resilience, making ecosystems more vulnerable to disturbances such as climate change or pollution. As ecosystems lose their ability to recover from stressors due to diminished natural capital, they become less capable of providing essential services, further exacerbating environmental challenges. Therefore, protecting and restoring natural capital is vital for maintaining biodiversity and ensuring resilient ecosystems in the face of global environmental change.

Related terms

ecosystem services:

Ecosystem services are the benefits that humans derive from natural ecosystems, including provisioning, regulating, cultural, and supporting services.

sustainable development: Sustainable development is a development approach that seeks to meet present needs without compromising the ability of future generations to meet their own needs, balancing economic growth with environmental protection.

biodiversity:

Biodiversity refers to the variety of life in a particular habitat or ecosystem, encompassing the diversity of species, genetic variability, and ecosystem diversity.