Estimates of the value of carbon sequestration services provided by a savan
na ecosystem and of the value of water for the supply of a number of enviro
nmental goods and services are developed in a Zimbabwean case study using a
n ecological-economic model that captures the interactions between ecologic
al and economic processes. The estimated values of carbon sequestration, in
both the woodlands of the Communal Area and the State Forest, are substant
ial, but slightly lower than the value of converting these lands to individ
ually held agricultural land. This, and the lack of markets in which indivi
duals can be compensated for maintaining some land under woodland as a stor
e for carbon, creates strong incentives for households to convert woodlands
to agriculture. There is a high value for additional water availability, a
ssociated with the supply of wild foods, firewood, crop production and carb
on sequestration, suggesting that efforts towards conservation in this eco-
region can have high economic returns. (C) 2000 Elsevier Science B.V. All r
ights reserved.