The theoretical root of payments for environmental
services (PES) lies in neoclassical welfare economics,which implies that once
the pricing of environmental services is set,the market will automatically
modify the assumptions of buyers and sellers of environmental
services.However,this assumption is difficult to accomplish and requires a
reexamination of the basic assumptions of welfare economics theory in most
projects involving PES.This paper reviews the evolution of the PES theory and
summarizes typical PES case practices at home and abroad.Further,the problems
of PES in theory and practice are discussed.It is found that some government
initiatives that are implemented via the social network complementary to PES practices
through various forms provided by PES (i.e.,physical,technical,and cash) help
local participants create new revenue opportunities.This PES implementation
promotes the formation of coordination linkage,benign mechanisms of ecological
protection,economic development,and improvement of people’s livelihoods.
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