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What is the damage-based method?
The damage assessment method is used to assess economic losses caused by environment deterioration. This method begins with an assessment of the scope of damage (including impact of pollution on production, ecosystems, and human health), followed by assessment of the monetary value of the damage. Damage assessment can be implemented by assessing the lost income due to sickness and death caused by environmental deterioration, property and goods purchased by the public in order to avoid damage, or by asking members of the public what price they would be willing to pay for environmental asset quality (such as air quality).