First published in 1988. This book has grown from a research workshop that began at the University of North Carolina under the direction of Maynard Hufschmidt. Professor Hufschmidt’s long-held interest in the incorporation of environmental and other social values into benefit-cost analysis led to a research project entitled, The Role of Environmental Indicators in Water Resource Planning and Policy Development, funded by the U.S. Department of the Interior. That project brought together the authors of this volume for a two-year period during which the groundwork for this book was laid.