Damage schedules provide predictability and enforceability by specifying in advance the payments that will be
required in the event of a loss (Rutherford et al. 1998). Traditionally, economic valuation of resource damage takes
place after the incident has occurred and usually involves long processes of collecting information, identifying impact,
and calculating costs of restoration or replacement. Hence, not only are value assessments problematic, but the cost
of assessing the damages could easily exceed the recovery cost of the resource itself. With the damage schedule,
Damage Schedules for Thai Coastal Areas: An Alternative Approach to Assessing Environmental Values 5/15/03 12:26 PM
http://203.116.43.77/publications/research1/ACFC9.html Page 5 of 33loss assessment could be implemented quickly at low transaction cost. Further, developers and planners can take
the predictable outcomes into account when considering alternative actions and differing precaution levels.