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Chapter 5: Ecosystem Functions and

Services
Concepts of Ecology, Ecosystem Functions
and Systems
Food chain and Food Web
Concept of Carrying Capacity
Biodiversity
Characteristics of Fresh Water Environment
Ecosystem Services
Valuation of Ecosystem Services
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Ecosystemis a natural system consisting of all
plants, animals and microorganisms (biotic factors)
in an area functioning together with all the non-living
physical (abiotic) factors of the environment
(Christopherson 1997).

Ecology is a branch dealing with a relationship


between living organisms and their environment and
associated energy flows.

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Natural Ecosystem
Capable of operating and maintaining
themselves.
Sometimes, categorized as temporary and
permanent.
Permanent natural ecosystems
Terrestrial Ecosystem (Forest, grassland, desert)
Aquatic Ecosystem
Fresh water ecosystem (lakes, ponds, rivers)
Marine ecosystem (ocean, sea, and estuary)
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Artificial Ecosystem
Created and manipulated by humans.
Example; crop land, artificial lakes, reservoirs,
cities

Incomplete Ecosystem (Southwick, 1996)


Lacks the four components (Abiotic
components, producers, consumers and
decomposers)
Example: abyssal depth and caves
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An ecosystem comprises of two basic components
Abiotic Components
Biotic Components

The relationship between the biotic components


and abiotic components of an ecosystem is called
'holocoenosis'.

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These include the non-living, physico - chemical
factors such as air, water, soil and the basic
elements and compounds of the environment.

Key abiotic factors


-light availability
-water availability
-nutrient availability
-temperature

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Climatic Factors which include the climatic
regime and physical factors of the environment
like light, humidity, atmospheric temperature, wind,
etc.
Edaphic factors which are related to the
structure and composition of soil including its physical
and chemical properties, like soil and its types, soil
profile, minerals, organic matter, soil water, soil
organisms.
Inorganic substances like water, carbon,
sulphur, nitrogen, phosphorus and so on.
Organic substances like proteins, lipids,
carbohydrates, humic substances etc.
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Producers (Autotrophs)
Auto self, trophos- feeder
Green plants and some bacteriawhich manufacture their
own food.

Consumers (Heterotrophs)
Heteros-Other, trophs-feeder
Animals which obtain their food from producers.
Primary Consumers
Secondary Consumers
Tertiary Consumers

Decomposers (Saprotrophs)
Sapros-rotten, trophs-feeder
Bacteria and fungi that decompose dead organicmatter
and convert into simpler parts
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Ecosystem functions are the biological,
geochemical and physical processes and
components that take place or occur within an
ecosystem.
Ecosystem functions relate to the structural
components of an ecosystem (e.g. vegetation, water,
soil, atmosphere and biota) and how they interact with
each other, within ecosystems and across ecosystems.
Sometimes, ecosystem functions arecalled ecological
processes.

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Ecosystem function Description
category
Regulating Function Maintenance of essential ecological processes and life support
systems.
Supporting Function Providing habitat (suitable living space) for wild plant and animal
species at local and regional scales.
Provisioning Function Provision of natural resources.
Cultural Function Providing life fulfilment opportunities and cognitive development
through exposure to life processes and natural systems.

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Nutrient Cycle
Nutrient cycle is a concept that describes how nutrients
move from the physical environment into living organisms
and subsequently are recycled back to the physical
environment. This circular movement of nutrients is
essential to any given ecosystem, and it must be balanced
and stable for the system to be maintained.
Energy Flow
Energy for the transformation of inorganic nutrients into
organic tissues of an organisms
Energy: the driving force to the work of ecosystem
Structure
Particular pattern of inter-relationships that exists between
organisms in an ecosystem.

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O2, H2O, Food

Plants Animals
OUTPUT
INPUT
Heat
Solar Energy CO2
Nutrients
and Body
Water Waste

Decomposer

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Animal body
Plant Tissue
Tissue
OUTPUT
INPUT
Heat Energy
Solar Energy

Decomposer

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Producer Consumer

OUTPUT
INPUT

Decomposer

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Producers Herbivores Carnivores

Nutrient pool Decomposers


Mineral Movement
(Nutrient Cycle)

Energy Flow

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There are many different nutrient cycles, each with
its own particular pathways, but perhaps the most
important are those involving the elementscarbon,
oxygen, nitrogen, and phosphorus.

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This nutrient cycle begins with photosynthesis, the process by which
plants,algae, and some bacteria use energy from sunlight to combine
carbon dioxide (CO2) from the atmosphere and water to form sugars,
starch, fats, proteins, and other compounds that they use to build cells or
store as food.
In this way, plants remove carbon from the atmosphere and store it,
making it available to herbivores that eat the plants.
Herbivores use some of the carbon they consume to build and repair cells,
so that it is stored in their bodies. The rest is used to provide energy: it is
combined with oxygen from the air to form CO2, which is then exhaled,
returning the carbon directly to the atmosphere.
The carbon stored in the body of a herbivore, such as a deer, can be
recycled when the animal dies. Alternatively, the animal may be killed
and eaten by a carnivore, such as a wolf, in which case recycling will take
place when the carnivore dies. Dead plant and animal matter is
decomposed by other organisms, such asfungiand bacteria. This process
releases carbon, in the form of carbon dioxide, back into the atmosphere.

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Food Chain
Food Web
Ecological Pyramids

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Food Chain
an arrangement of the organisms of an ecological
community according to the order of predation in
which each uses the next usually lower member as
a food source.
A food chain also shows how the organisms are
related with each other by the food they eat.
Each level of a food chain represents a different
trophic level.
Thetrophic levelof anorganismis the position it
occupies in afood chain.

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Grazing Good Chain
Originates from plants and go to grazing animals
and then to animal eaters
Dependent on Solar Energy

Detritus Food Chain

Starts from Dead organic matter into


microorganisms and their predators
Less dependent on solar energy

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The energy is passed on fromtrophic levelto trophic
level and each time about 90% of the energy is lost,
with some being lost as heat into the environment
(an effect ofrespiration) and some being lost as
incompletely digested food (egesta).
Therefore, primary consumers get about 10% of the
energy produced by autotrophs, while secondary
consumers get 1% and tertiary consumers get 0.1%.
This means the top consumer of afood chain
receives the least energy, as a lot of the food
chain's energy has been lost between trophic levels.
This loss of energy at each level limits typical food
chains to only four to six links.
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Food Web
The network of food chains where
different types of organisms are
connected at different trophic
levels, so that option of eating
and being eaten at each trophic
level.
The interlocking pattern of a
number of food chain.
Consumption and service pattern.
Understanding their connections
important to understand any
ecosystem.

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Mutualism (+,+)
Competition (-,-)
Predation (+,-)
Parasitism (+,-)
Commensalism (+, 0)
Amensalism (-,0)

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Both the population are benefited/mutually

The occur a close and often permanent


obligatory contact more of less essential for
their individual survival.

Eg., Rhizobium and leguminous plant

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The two species in a biotic community
interact in such a way that it affects their
growth and survival.
Both the species share the same resources
like water, nutrients, space, sunlight, food etc
of a biotic community
Members of both species compete to survive
in that respective biotic community,
inhibiting the other.
Eg.,trees, herbs and shrubs

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The stronger animal called predator captures
and feeds on the weaker animal called prey.
The decline in the number of predators leads
to a increase in number of prey.
Decrease in number of prey species leads to
decrease in number of predators
(competition for food)
These fluctuations play an important role in
regulating natural populations.
Eg., Tiger feeds on deer.
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Parasitism is a negative interaction in a biotic
community where one not only derives
nourishment but also lives a part or the
whole of life on another organism.
The parasite is an organism that lives on
another organisms, the host from which it
obtains food as well as shelter in a biotic
community.
It could be between animals, between plants
or between animal and plants.

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One organism is benefited while the other is
neither benefited not harmed.
The association may be temporary of
permanent in a biotic community.
Eg., small fishes attach itself to the lower
side of a shark.

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Relationship in which a product of one organism
has a negative effect on another organism.
It is specifically a population interaction in which
one organism is harmed while the other is
neither harmed or benefited.
Usually this occurs when one organism exudes a
chemical compound as part of its normal
metabolism that is detrimental to another
organism.
Eg., Black walnut tree secrets juglone that harms
or kills some species of neighboring plants.

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THATS ALL FOR TODAY

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Population within ecosystems grow, shrink, or stay
the same based on the how many are born (birth
rate), die (death rate), join (immigration), and leave
(emigration) over time.
Exponential growth
Logistic Model of Population Growth

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Exponential growth
occurs when resources are unlimited and
environmental conditions are ideal.
Birth Rate >>> Death Rate
J-shaped curve results when number of organisms over
time is graphed

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Resources are NOT unlimited.limiting factors slow
population growth by increasing death rate and
decreasing birth rate.
The Logistic Model of Population Growth incorporate
limiting factors and recognizes a carrying capacity in
each ecosystem.
Results in an S-shaped curve (Sigmoid) when
number of individuals over time is graphed.

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Imagine Your Fridge

Your fridge is
like all of the
resources
(food, water,
free space) in
an ecosystem.

What if we
want to throw
a party?
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Imagine Your Fridge

We can keep
inviting
people, as
long as
theres
enough food
in the fridge.
But with
each new
guest,
theres less
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The fridge wont replenish magically, and I dont
have the money to keep putting food in the fridge
forever.

So too many guests means that


So too many animals means that
Someone goes hungry
Not enough food/water/free space
And leaves the party.
And organisms die.
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Number of individuals that can be supported in a given
area within natural resource limits, and without degrading
the natural social, cultural and economic environment for
present and future generation.
In ecological terms, the carrying capacity of an
ecosystem is the size of the population that can be
supported indefinitely upon the available resources and
services of that ecosystem.
Living within the limits of an ecosystem depends on three
factors:
the amount of resources available in the ecosystem,
the size of the population, and
the amount of resources each individual is consuming.
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The carrying capacity graph to predict the changes in
the population size When a population is BELOW its
carrying capacity, it will INCREASE
in size
C Birth rate exceeds death rates
Population size

But if it increases too much and


rises ABOVE its carrying
capacity, it will DECREASE in size
D
Death rate exceeds birth rate
A B This happens over and over but
the increases and decreases get
Time
smaller and smaller
Until eventually, the population size BECOMES
STABLE AT THE CARRYING CAPACITY
Birth rate = death rate
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Carrying Capacity (K) is reflected in the Logistic
Model for Population Growth

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Limiting factors
Populations would continue to increase if they had all
of the resources they require in unlimited amounts, but
there are always factors that limit their increase.
Condition of the environment (biotic or abiotic) limits
the growth of the species.
Because of these limiting factors, each ecosystem has
a finite capacity for growth connected to its carrying
capacity.
Limiting factors control the growth of populations.
Some limiting factors are density-dependent and
others density-independent.

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Density-dependent
Density-dependent limiting factors have
more of an effect on large or crowded
populations.
Examples: Competition, Predation, Space

Density-independent
Density-independent limiting factors can
affect both large and small populations.
Example: Earthquake, Volcanic eruption

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Ecosystem composition of plants and animals is
determined by various abiotic factors, as well as
biotic factors that also act as limiting factors to
growth.
Disruptions of any of these factors shift the carrying
capacity of ecosystems. Biotic
All biological aspects of an ecosystem
Abiotic fall into this category.
Temperature
Precipitation Vegetation composition often
Soil composition determines what species will be
pH attracted to a given area due to food
availability.
Humidity
Salinity Scientists note that competition,
Amount of sunlight predator-prey relations, mutualism,
Availability of nitrogen and host-pathogen interactions are
critical to consider when accessing
carrying capacity.

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Robert Malthus said nearly 200 years ago: "There
should be no more people in a country than could
enjoy daily a glass of wine and piece of meat for
dinner.
A diet of grain or bread is symbolic of minimum
living standards; wine and meat are symbolic of all
forms of higher living standards that make greater
demands on the environment.

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Low standard living
K1

K2 Medium standard living


Population

K3 High standard living

Time
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Technologies Environmental Conditions

Technologies enhance Environmental


the carrying capacity Conditions decreases
carrying capacity
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The word biodiversity is a contracted form of the term
biological diversity where bio=life and diversity=variety.
The Convention on Biological Diversity defines
biodiversity as:
"the variability among living organisms from all sources,
inter alia, terrestrial, marine and other aquatic
ecosystems and the ecological complexes of which
they are a part; this includes diversity within species,
between species, and of ecosystems.
The tremendous variety of life on Earth is made possible
by complex interactions among all living things including
microscopic species like algae and mites.
Biodiversity increases the stability of an ecosystem and
contributes to the health of the biosphere.
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Group No. of Species
Bacteria and blue green algae 4,760
Fungi 46,983
Algae 26,900
the variety and variability among
Bryophytes (mosses and liverworts) 17,000
living organisms and the ecological
Gymnosperms (Conifers) 750
complexes in which they occur For
Angiosperms (Flowering plants) 250,000 biodiversity the range is from
Protozoans 30,800 complete ecosystems to the
Sponges 5,000 chemical structures that are the
Corals and Jelly fish 9,000 molecular basis of heredity.
- U.S Office of Technology
Roundworms and earth worms 24,000
Assessment: 1987
Crustaceans 38,000
Insect 751,000
Arthopos and minor invertebrates 132,461
the variability among living
organisms from all sources
Mollusks 50,000 including inter alia, terrestrial,
Starfish 6,100 marine and other aquatic
Fishes 19,056 ecosystems and the ecological
Amphibians 4,184 complexes of which they are a part
Reptiles 6,300 -Convention of Biological Diversity:
Birds 9,198 1992
Mammals
Society 4,170
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Diversity of Species
Species diversityis defined as the number of
species and abundance of each species that live
in a particular location.

Diversity of Ecosystem
It is the variation in ecosystemsfound in a region or
the variation in ecosystems over the whole
planet.

Diversity of Genes
Genetic diversityrefers to the total number
ofgeneticcharacteristics in the genetic makeup
of a species. Genetic diversity serves as a way
for populations to adapt to changing
environments.
Consumptive value:
Food/Drink
Fuel
Medicine
Crop varieties
Industrial Material
Non-Consumptive Value:
Recreation
Education and Research
Traditional value
Ecological services:
Balance of nature
Biological productivity
Regulation of climate
Degradation of waste
Cleaning of air and water
Cycling of nutrients
Control of potential pest and disease causing species
Detoxification of soil and sediments
Stabilization of land against erosion
Carbon sequestration and global climate change
Maintenance of Soil fertility
Generation of soils
Maintenance of soil quality/air quality/water quality
Pest control
Detoxification and decomposition of wastes
Pollination
Crop production
Climate stabilization
Prevention and mitigation of natural disasters
Provision of food security
Provision of health care medicines
Income generation
Spiritual and cultural value
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The exploitation of natural resources, such as oceans and
forests faster than they can be renewed.
Overpopulation
Draining wetlands, clearing forests and grasslands for
agricultural purposes, towns and cities.
Ruining habitats by fragmentation, due to road construction
and development.
Introduction of harmful species into foreign ecosystems.
Releasing toxic pollutants into waterways and lands.
Climate change continued rise of global temperatures.
Poaching as well as the unsustainable hunting and illegal trade
of wildlife.

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Biological hotspots are earth's biologically richest regions
that harbour a great diversity of endemic species and have
been significantly impacted and altered by human activities.
Plant diversity is the biological basis for hotspot designation.
To qualify as a biodiversity hotspot must meet two strict
criteria:
it must contain at least1,500 species of vascular plants as
endemics, and
it has to have lost at least 70% of its primary vegetation.
Globally there are 34 hotspots (2005) which covers 15.7
percent of the Earth's land surface, with nine other possible
candidates.
These sites support nearly 60% of the world's plant, bird,
mammal, reptile, and amphibianspecies, with a very high
share of endemic.
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Some 75 per cent of the genetic diversity of crop plants been lost
in the past century.
Some scientists estimate that as many as 3 species per hour are
going extinct and 20,000 extinctions occur each year.
About 24 per cent of mammals and 12 per cent of bird species are
currently considered to be globally threatened.
More than 50 per cent of the worlds wetlands have been drained,
and populations of inland water and wetland species have declined
by 50 per cent between 1970 and 1999.
Biodiversity inventories
Conserving Biodiversity in protected Habitats-
In situ conservation
Ex situ conservation
Seed Bank, Gene Bank, Pollen Bank, DNA
zoo
Bank

Gene Bank Bandhavgarh National Park


Freshwater can be defined as water with less than
0.5 parts per thousand of dissolved salts. (Seawater
or Brine has more than 50 parts per thousand).
The ultimate source of fresh water is rain and snow.
Freshwater systems are the rivers, streams, lakes,
ponds, groundwater, cave water, springs, floodplains,
and wetlands (bogs, marshes, and swamps).
Freshwater provides water for drinking, sanitation,
agriculture, transport, electricity generation and
recreation. It also creates habitats for a diverse
range of animals and plants.
We cannot live without freshwater.

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Plants and animals in freshwater regions are
adjusted to the low salt content and would not be
able to survive in areas of high salt concentration
(i.e. ocean).
There are two distinct categories:
Lentic (standing water) : Lakes, Ponds, Wetlands
Lotic (running water) : Rivers and Streams

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Derived from Latin word Lentus meaning Sluggish
or stagnant
Diverse ranging from a small, temporary rainwater
pool to big lakes with a maximum depth of 1740 m.
Vary considerably in physical, chemical and biological
characteristics.

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Littoral Zone
Itadjoins the shore (and is thus the home of rooted
plants) and extends down to a point called the light
compensation level, or the depth at which the rate of
photosynthesis equals the rate of respiration.
Within the littoral zone producers are of two main
types: rooted or benthic plants, and phytoplankton
(plant plankton) or floating green plants, which are
mostly algae.
Thelittoral zone is the home of greater variety of
consumers than are the other zones.

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Limnetic Zone
It includes all the waters beyond the littoral zone and
down to the light compensation level.
It derives its oxygen content from the photosynthetic
activity of phytoplankton and from the atmosphere
immediately over the lakes surface.
The atmospheric source of oxygen becomes
significant primarily when there is some surface
disturbance of water caused by wind action or human
activity.
The community of the limnetic zone is composed only
of plankton, nekton, and sometimes neuston
(organisms resting or swimming on the surface).
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Profundel zone
The bottom and deep water area of a lake, which is beyond the depth
of effective light penetration is called the pro-fundal zone.
Themajor community consists of bacteria and fungi and blood worms,
small clams, and Phantom larvae.
Allthe animals of the pro-fundal zone are adapted to withstand periods
of low oxygen concentration, whereas many bacteria are anaerobic.
Large
numbers of bacteria in the bottom ooze constantly bring about
decomposition of the organic matter that accumulates on the bottom.
Eventually
the organic sediments are mineralized and nitrogen and
phosphorus are put back into circulation in the form of soluble salts.
Inthis way, the pro-fundal zone provides rejuvenated nutrients, which
are carried by currents and swimming animals to other zones.

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The thermal stratification of lakes refers
to a change in the temperature at
different depths in the lake, and is due to
the change in water's density with
temperature.

Cold water is denser than warm water


and the epilimnion generally consists of
water that is not as dense as the water in
the hypolimnion.

However, the temperature of maximum


density for freshwater is 4 C.

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Based on the temperature differences:
Epilimnion:
The top-most layer.
It is warmer and higherdissolved oxygenconcentration.
Being exposed at the surface, it typically becomes
turbulently mixed as a result of surface wind-mixing.
It is also free to exchange dissolved gases such
asO2andCO2with the atmosphere.
Because this layer receives the most sunlight it contains the
most phytoplankton.

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Metalimnion (Thermocline):
This zone is characterized by rapid temperature changes.
Where the most temperature drop occurs in three feet of depth is
called the thermocline.
Athermoclineis a thin but distinct layer in a large body of fluid in
which temperature changes more rapidly with depth than it does in the
layers above or below.
Thermocline is athermal barrierto the mixing of surface and bottom
waters.
The depth of the thermocline is generally related to transparency
(clarity) of the lake water and the degree of exposure of the lake to
wind.
Aclear lake will have a deeper thermocline than a turbid lake. A wind-
exposed lake will have a deeper thermocline than a protected lake.

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Hypolimnion:
Thehypolimnionis the dense, bottom layer of water in a
thermally-stratified lake.
It is the layer that lies below the thermocline.
It
is the coldest layer of a lake in summer, and the
warmest layer during winter.
Without an influx of oxygen, the hypolimnion can become
depleted of oxygen during summer stratification due to
bacterialdecompositionoforganicmatter, which uses
oxygen.

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Rivers and streams rarely display the vertical
stratification patterns found in standing bodies of water
because of their turbulent flow.
Flowing water systems frequently possess greater
habitat heterogeneity than lentic systems.
Flow is unidirectional.
There is a state of continuous physical change.
There is a high degree of spatial and temporal
heterogeneity at all scales (microhabitats).
Variability between lotic systems is quite high.
The biota is specialized to live with flow conditions.
Animals must be adapted to survive in high oxygen
content and lower salt content
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Lentic Ecosystem Lotic Ecosystem
Acidification Stream-bank
Eutrophication encroachment
Invasive species Pollution
Solidwaste disposal Solidwaste disposal
Groundwater/surface Flow modification
water extraction Surface/groundwater
extraction

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Ecosystem services are the benefits people obtain from
ecosystems.
Ecosystem services are the conditions and processes through
which natural ecosystems, and the species that make them up,
sustain and fulfill human life.
They maintain biodiversity and the production of ecosystem
goods, such as seafood, forage timber, biomass fuels, natural
fiber, and many pharmaceuticals, industrial products, and their
precursors.
Ecosystem goods (such as food) and services (such as waste
assimilation) represent the benefits human populations derive,
directly or indirectly, from ecosystem functions (Costanza et al.
1997:253).
The ecosystem services concept itself was popularized by
theMillennium Ecosystem Assessment(MEA) in the early 2000s.

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Eighty percent of the worlds population relies upon
natural medicinal products.
Of the top 150 prescription drugs used in the U.S., 118
originate from natural sources: 74 percent from plants,
18 percent from fungi, 5 percent from bacteria, and 3
percent from one vertebrate (snake species).
Nine of the top 10 drugs originate from natural plant
products.
Over 100,000 different animal species - provide free
pollination services. One third of human food comes
from plants pollinated by wild pollinators.

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Ecosystem valuation

Ecosystem valuation is a widely used tool in determining the


impact of human activities on an environmental system, by
assigning an economic value to an ecosystem or its services.

To help inform decision-makers, many ecosystem services are


being assigned economic values.

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Direct Value
Outputs that can be consumed or processed
directly, such as timber, fodder, fuel, non-timber
forest products, meat, medicines, wild foods, etc

Use Value Indirect Value


Ecological services, such as flood control,
regulation of water flows and supplies, nutrient
retention, climate regulation, etc.
Option Value
Premium placed on maintaining resources &
landscapes for future possible uses, some of
which may not be known now.

Existence Value
Intrinsic value of resources and landscapes,
Non -use Value irrespective of its use such as cultural, aesthetic,
inheritance significance, etc.
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To justify and decide how to allocate public spending
on conservation, preservation or restoration
initiatives
To consider the publics value and encourage public
participation and support for environmental
initiatives.
To compare the benefits of different projects or
programs.
To prioritize the conservation or restoration projects.
To maximize the environmental benefits per dollar
spent.

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Market Approach:
Revealed Willingness to Circumstantial Evidence Surveys Expressed
Pay Imputed Willingness to Pay Willingness to Pay
Values can be estimated by People cannot reveal
estimating consumer and The value of some what they are willing to pay
producer surplus, as with ecosystem services can be for those not sold directly in
any other market good. measured by estimating the market.
what people are willing to In these cases, surveys can
Some ecosystem services, pay, or the cost of actions be used to ask people
like aesthetic views or many they are willing to take, to directly what they are
recreational experiences, avoid the adverse effects willing to pay, based on a
may not be directly bought that would occur if these hypothetical scenario.
and sold in markets. services were lost, or to Alternatively, people can
However, the prices people replace the lost services. be asked to make tradeoffs
are willing to pay in markets among different
for related goods can be alternatives, from which
used to estimate their their willingness to pay can
values. be estimated.
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Standard environmental economic methods are used
to place a monetary value on ecosystem services
where there are no market prices.
These include:
MARKET APPROACH METHOD
"STATED PREFERENCE" METHODS
"REVEALED PREFERENCE" METHODS

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Revealed Preferences
Market Approach: Stated Preferences
Approaches:
Method:
Market Price Method
Travel Cost Method
Productivity Method Contingent Valuation
Hedonic Price Method
Replacement Cost Method Method
Hedonic Property
Choice Modeling
(House, Land)
Hedonic Wage

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1. Market Price Method
Estimates economic values for environmental products or
services that are bought and sold in commercial markets (e.g.
fisheries, timber, medicinal herbs)
2. Productivity Method
Estimates economic values for environmental products or
services that contribute to the production of commercially
marketed goods (water for irrigation, water quality in drinking
water system)
3. Replacement Cost/damage avoided/substitute cost
Estimate economic values based on costs of avoided damages
resulting from lost environmental services, costs of replacing
ecosystem services, or costs of providing substitute services
(e.g. oil spills clean-up, cost of water treatment)
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4. Human Capital/cost of illness
Estimate the cost of bad health resulting from
environmental change, according to its effect on the
productivity of its worker

5. Avertive Behavior/Defense Expenditure


Obtain information from what people are observed to
spend to protect themselves against an actual
potential decline in their environmental quality.

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1. Travel Cost Method
Estimates economic values associated with
ecosystems or sites that are used for recreation.
Assumes that the value of a site is reflected in how
much people are willing to pay to travel to visit the
site.

2. Hedonic Cost Method


Estimates economic values for ecosystem or
environmental services that directly affect market
prices of some other good.
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1. Contingent Valuation Method
Asks people to directly state their willingness to pay for
specific environmental services, based on a hypothetical
scenario.

2. Choice Modeling Method


Based on asking people to make tradeoffs among sets of
ecosystem or environmental services or characteristics.
Does not directly ask for willingness to paythis is
inferred from tradeoffs that include cost as an attribute.

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END OF CHAPTER 5

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