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A cognitive psychological approach of analyzing preference uncertainty in contingent valuation AgEcon
Akter, Sonia; Bennett, Jeffrey W..
The sources of preference uncertainty in contingent valuation (CV) studies have rarely been investigated from a theoretical standpoint. This paper proposes a holistic theoretical framework of preference uncertainty that combines microeconomic theory with the theories of cognitive psychology. Empirical testing of the proposed theoretical model was carried out in Australia in the context of a national ‘Carbon Pollution Reduction Scheme (CPRS)’ to be introduced in 2010. Two separate ordered probit models for a certainty score associated with CV ‘Yes’ and ‘No’ responses were estimated. The results of the estimated regression models provide evidence supporting the hypotheses drawn from the theoretical model.
Tipo: Conference Paper or Presentation Palavras-chave: Contingent valuation; Preference uncertainty; Cognitive uncertainty; Climate change; Australia.
Ano: 2009 URL: http://purl.umn.edu/47938
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A Comparison of Approaches to Mitigate Hypothetical Bias AgEcon
Champ, Patricia A.; Moore, Rebecca; Bishop, Richard C..
We compare two approaches to mitigating hypothetical bias. The study design includes three treatments: an actual payment treatment, a contingent valuation (CV) treatment with a follow-up certainty question, and a CV treatment with a cheap talk script. Our results suggest that both the follow-up certainty treatment and the cheap talk treatment produce willingness-to-pay (WTP) estimates consistent with the actual payment treatment. However, the follow-up certainty treatment provides response distributions at all offer amounts that are statistically similar to the actual payment treatment, while the cheap talk treatment provides similar responses only at some offer amounts. Furthermore, the cheap talk treatment is effective only for inexperienced individuals....
Tipo: Journal Article Palavras-chave: Contingent valuation; Hypothetical bias; Follow-up certainty; Cheap talk; Nonmarket valuation; Environmental Economics and Policy; Public Economics; Research Methods/ Statistical Methods.
Ano: 2009 URL: http://purl.umn.edu/55867
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A Pseudo-Sequential Choice Model for Valuing Multi-Attribute Environmental Policies or Programs in Contingent Valuation Applications AgEcon
Volinskiy, Dmitriy; Bergstrom, John C.; Cornwell, Christopher M.; Holmes, Thomas P..
The assumption of independence of irrelevant alternatives in a sequential contingent valuation format should be questioned. Statistically, most valuation studies treat nonindependence as a consequence of unobserved individual effects. Another approach is to consider an inferential process in which any particular choice is part of a general choosing strategy of a survey respondent. A stochastic model is suggested, consistent with the reflexivity, transitivity, and continuity axioms of utility analysis. An application of this theoretical model to the valuation of watershed ecosystem restoration demonstrates that an empirical model recognizing reflexivity and transitivity, and also allowing for continuity, shows the highest in-sample predictive ability.
Tipo: Journal Article Palavras-chave: Contingent valuation; Sequential choices; Modeling approaches; Watershed ecosystem service valuation; Environmental Economics and Policy.
Ano: 2010 URL: http://purl.umn.edu/59325
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Adoption and Impact of Hybrid Wheat in India AgEcon
Matuschke, Ira; Qaim, Matin.
In the light of ongoing debates about the suitability of hybrid seeds for smallholder farmers, this paper analyzes the adoption and impact of hybrid wheat in India. Based on survey data we show that farmers can benefit significantly from the proprietary technology. Neither farm size nor the subsistence level influence the adoption decision, but access to information and credit matters. Moreover, willingness-to-pay analysis reveals that adoption levels would be higher if seed prices were reduced. Given decreasing public support to agricultural research, policies should be targeted at reducing institutional constraints, to ensure that resource-poor farmers are not bypassed by private sector innovations.
Tipo: Conference Paper or Presentation Palavras-chave: Hybrid wheat; India; Technology adoption; Contingent valuation; Crop Production/Industries.
Ano: 2006 URL: http://purl.umn.edu/25678
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Age, Health, and the Willingness to Pay for Mortality Risk Reductions: A Contingent Valuation Survey in Japan AgEcon
Itaoka, Kenshi; Krupnick, Alan J.; Akai, Makoto; Alberini, Anna; Cropper, Maureen L.; Simon, Nathalie B..
A contingent valuation survey was conducted in Sizuoka, Japan, to estimate the willingness to pay (WTP) for reductions in the risk of dying and calculate the value of statistical life (VSL) for use in environmental policy in Japan. Special attention was devoted to the effects of age and health characteristics on WTP. We find that the VSLs are somewhat lower (103 to 344 million yen) than those found in the virtually identical survey applied in some developed countries. These values were subject to a variety of validity tests, which they generally passed. We find that the WTP for those over age 70 is lower than that for younger adults, but that this effect is eliminated in multiple regression. Rather, when accounting for other covariates, we find that WTP...
Tipo: Working or Discussion Paper Palavras-chave: Willingness to pay; Value of statistical life; Mortality risk; Contingent valuation; Age; Risk and Uncertainty.
Ano: 2005 URL: http://purl.umn.edu/10829
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Age, Health, and the Willingness to Pay for Mortality Risk Reductions: A Contingent Valuation Survey of Ontario Residents AgEcon
Krupnick, Alan J.; Alberini, Anna; Cropper, Maureen L.; Simon, Nathalie B.; O'Brien, Bernie; Goeree, Ron; Heintzelman, Martin.
Much of the justification for environmental rulemaking rests on estimates of the benefits to society of reduced mortality rates. This research aims to fill gaps in the literature that estimates the value of a statistical life (VSL) by designing and implementing a contingent valuation study for persons 40 to 75 years of age, and eliciting WTP for reductions in current and future risks of death. Targeting this age range also allows us to examine the impact of age on WTP and, by asking respondents to complete a detailed health questionnaire, to examine the impact of health status on WTP. This survey was self-administered by computer to 930 persons in Hamilton, Ontario, in 1999. The survey uses audio and visual aids to communicate baseline risks of death and...
Tipo: Working or Discussion Paper Palavras-chave: Mortality risk valuation; Canada; Contingent valuation; Age; Health status; Risk and Uncertainty; I1; Q20; Q26.
Ano: 2000 URL: http://purl.umn.edu/10888
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Agriculture, Environmental Services and Agro-Tourism in the Dominican Republic AgEcon
Catalino, Alejandro Herrera; Lizardo, Magdalena.
This paper analyzes the links between agriculture and tourism. A contingent valuation study assesses tourist's willingness to pay (WTP) for agro-tourism and agriculture's positive environmental services and related positive externalities. The paper analyzes factors influencing tourist preferences in the Dominican Republic (DR) -- tourist income, the local tourist destination, sex, and nationality stand out among these factors. Estimates are given for different WTP scenarios according to farming systems. The study argues that a well developed agro-tourism industry would result in a market mechanism generating additional income of US $251 to US $364 million annually. Agro-tourist activities would have the added benefit of promoting sustainable agricultural...
Tipo: Journal Article Palavras-chave: Agriculture; Dominican Republic; Contingent valuation; Environment; Tourism; Environmental Economics and Policy; Resource /Energy Economics and Policy.
Ano: 2004 URL: http://purl.umn.edu/12008
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Ambivalent statements in contingent valuation studies: inclusive response formats and giving respondents time to think AgEcon
Svedsater, Henrik.
A recent concern in the valuation literature is the uncertainty respondents feel when posed with willingness-to-pay questions for environmental amenities in hypothetical market scenarios. Using a multiple-bounded discrete-choice format, the results indicate that respondents become less ambivalent when allowed considerable time to think about the valuation task before a response is elicited. In particular they tend to reduce the reported willingness to pay associated with low certainty of paying, hence resulting in more conservative welfare estimates. Implications for the application of environmental valuation techniques are discussed.
Tipo: Journal Article Palavras-chave: Contingent valuation; Environmental values; Imprecise preferences; Multiple bounded choice formats; Time to think; Resource /Energy Economics and Policy.
Ano: 2007 URL: http://purl.umn.edu/118320
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An Information-Theoretic Approach to Modeling Binary Choices: Estimating Willingness to Pay for Recreation Site Attributes AgEcon
Henry-Osorio, Miguel; Mittelhammer, Ronald C..
Information-Theoretic Econometrics
Tipo: Presentation Palavras-chave: Minimum power divergence; Cressie-Read statistics; Contingent valuation; Empirical likelihood; Discrete choice; Binary response models; Environmental Economics and Policy; Research Methods/ Statistical Methods; C13; C14; C25; Q51.
Ano: 2012 URL: http://purl.umn.edu/123432
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An Initial Assessment of Policies for Saving a Rare Australian Glider: Experimental Results, Economics and Ecology AgEcon
Tisdell, Clement A.; Wilson, Clevo; Swarna Nantha, Hemanath.
Reviews the ecological status of the mahogany glider and describes its distribution, habitat and abundance, life history and threats to it. Three serial surveys of Brisbane residents provide data on the knowledge of respondents about the mahogany glider. The results provide information about the attitudes of respondents to the mahogany glider, to its conservation and relevant public policies and about variations in these factors as the knowledge of participants of the mahogany glider alters. Similarly data is provided and analysed about the willingness to pay of respondents to conserve the mahogany glider. Population viability analysis is applied to estimate the required habitat area for a minimum viable population of the mahogany glider to ensure at least...
Tipo: Working or Discussion Paper Palavras-chave: Conservation policies; Contingent valuation; Knowledge; Mahogany glider Petaurus gracilis; Population viability analysis; Social cost-benefit analysis; Environmental Economics and Policy.
Ano: 2004 URL: http://purl.umn.edu/51290
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Are Italians Willing to Pay for Agricultural Environmental Safety? A Stated Choice Approach AgEcon
Travisi, Chiara M.; Nijkamp, Peter.
The widespread use of pesticides in agriculture provides a particularly complex pattern of multidimensional negative side-effects, ranging from food safety related effects to the deterioration of farmland ecosystems. The assessment of the economic implications of such negative processes is fraught with many uncertainties. This paper presents results of an empirical study recently conducted in the North of Italy aimed at estimating the value of reducing the multiple impacts of pesticide use. This type of analysis is rather novel in Italy. A statistical technique known as choice modelling is used here in combination with contingent valuation techniques. The experimental design of choice modelling provides a natural tool for tackling simultaneously the...
Tipo: Conference Paper or Presentation Palavras-chave: Pesticide risks; Food safety; Willingness-to-pay; Choice modeling; Contingent valuation; Environmental Economics and Policy.
Ano: 2004 URL: http://purl.umn.edu/24988
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Assessing Domestic Demand for Organic and ‘Locally Grown' Produce on An ‘Organic Island': Dominica's Dilemma AgEcon
Boys, Kathryn A.; Willis, David B.; George, Seraphine; Hammig, Michael D..
The economy of Dominica faces a unique set of challenges. As with many other Caribbean nations, Dominica has historically been dependent upon agriculture. Over the past several hundred years, the island's economy has been largely supported through the concentrated mono-cropping of a variety of export-oriented crops including coffee, limes, vanilla, and bananas (FAVACA, 2008). Today, approximately 45% of Dominica's labor force is employed in the agricultural sector (FAVACA, 2008). While neighboring countries have economically benefited from tourism, due to its lack of white sand beaches, Dominica is not a typical tourist destination. Taking advantage of its landscape, rainforests, and diversity of natural wildlife, in an effort to diversify its economy...
Tipo: Conference Paper or Presentation Palavras-chave: Contingent valuation; Willingness to pay; Caribbean; Organic; Locally grown; Food; Agricultural and Food Policy; International Development; Marketing; O13; O54; Q01; Q13; Q18.
Ano: 2011 URL: http://purl.umn.edu/103903
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Asymmetric Willingness-to-Pay Distributions for Livestock Manure AgEcon
Norwood, F. Bailey; Luter, Ryan L.; Massey, Raymond E..
The Environmental Protection Agency's new Concentrated Animal Feeding Operations (CAFO) regulations are forcing some farms to export livestock manure to off-farm acres. The regulation compliance cost depends on the willingness of neighboring crop producers to accept or pay for the manure. This study estimates a manure willingness-to-pay distribution for crop producers using a contingent valuation mail survey. A flexible parametric distribution is borrowed from the crop yield literature, which shows that manure willingness to pay is left-skewed. Most crop producers in our sample will pay a positive price close to the savings in commercial fertilizer, but approximately 25% require a payment before accepting manure.
Tipo: Journal Article Palavras-chave: Animal waste; Asymmetric distribution; Contingent valuation; Manure; Nonmarket valuation; Pollution; Willingness to pay; Environmental Economics and Policy.
Ano: 2005 URL: http://purl.umn.edu/30972
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Benefits of Safer Drinking Water: The Value of Nitrate Reduction AgEcon
Crutchfield, Stephen R.; Cooper, Joseph C.; Hellerstein, Daniel.
Nitrates in drinking water, which may come from nitrogen fertilizers applied to crops, are a potential health risk. This report evaluates the potential benefits of reducing human exposure to nitrates in the drinking water supply. In a survey, respondents were asked a series of questions about their willingness to pay for a hypothetical water filter, which would reduce their risk of nitrate exposure. If nitrates in the respondent's drinking water were to exceed the EPA minimum safety standard, they would be willing to pay $45 to $60, per household, per month, to reduce nitrates in their drinking water to the minimum safety standard. There are 2.9 million households in the four regions studied (White River area of Indiana, Central Nebraska, Lower...
Tipo: Report Palavras-chave: Water quality; Drinking water; Nitrates; Benefits; Contingent valuation; Resource /Energy Economics and Policy.
Ano: 1997 URL: http://purl.umn.edu/34025
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Bid Design and its Influence on the Stated Willingness to Pay in a Contingent Valuation Study AgEcon
Carmona-Torres, Carmen; Calatrava-Requena, Javier.
The CV method estimate the monetary value that specific changes in the provision of goods and services represent for society, which is asked for their Willingness To Pay (WTP) for it, according to their budget and individual preferences, in a survey. The applications of CV are a source of information to important public decision-making. Therefore, it seems to be a desirable objective for a CV study to strive to detect and reduce, as far as possible, the bias affecting the elicited values. In the present work, the starting point bias in an application to the case study of the conservation of the Iberian Lynx in Spain is analyzed. This bias is caused by the potential influence of the bid values offered to the interviewees on their stated preferences. Three...
Tipo: Conference Paper or Presentation Palavras-chave: Contingent valuation; Starting point bias; Bid design; Dichotomous choice; Openended question; Iberian Lynx; Resource /Energy Economics and Policy; H4; Q2; Q5; Q57.
Ano: 2006 URL: http://purl.umn.edu/25367
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Changing Abundance of Elephants and Willingness to Pay for their Conservation AgEcon
Bandara, Ranjith; Tisdell, Clement A..
This paper explores the way in which the stated willingness to pay for the conservation of Asian elephants in Sri Lanka varies with hypothetical variations in their abundance. To do that, it relies on results from a sample of residents of Colombo. The willingness to pay function is found to be unusual. It increases at an increasing rate for hypothetical reductions in the elephant population compared to its current level (a level that makes the Asian elephant endangered) and also increases at a decreasing rate for increases in this population from its current level. Rational explanations are given for this relationship. The relationship is, however, at odds with relationships suggested in some of the literature for total economic value as a function of...
Tipo: Working or Discussion Paper Palavras-chave: Asian elephant; Contingent valuation; Sri Lanka; Total economic value; Wildlife conservation; Willingness to pay; Environmental Economics and Policy.
Ano: 2004 URL: http://purl.umn.edu/90538
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Channeling consumption preferences for co-existence of landrace and modern varieties in-situ AgEcon
Krishna, Vijesh V.; Pascual, Unai; Zilberman, David.
The study examines the least-cost option of conserving landraces in-situ by the development of market friction instruments. The empirical examination is comprised of two closely-related studies on eggplant production and consumption sectors of India. An examination of the cost and return structure of eggplant farming in the study area reveals that the incremental farm price of eggplant products of landrace origin eclipses the yield advantage of hybrid varieties. Possibly due to the information asymmetries and other imperfections existing in this market, the price increment currently realized by the eggplant farmers is still only a fraction of consumers’ willingness to pay for landraces. This wide margin is indicative of the unexploited potential of...
Tipo: Conference Paper or Presentation Palavras-chave: Agrobiodiversity; Contingent valuation; Eggplant; Hedonic pricing; India; Labelling and certification; Landrace conservation; Agricultural and Food Policy; Consumer/Household Economics; Demand and Price Analysis; Food Consumption/Nutrition/Food Safety; Production Economics; Productivity Analysis.
Ano: 2009 URL: http://purl.umn.edu/51748
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Chapter 05: CONTINGENT VALUATION OF HEALTH RISK REDUCTIONS FOR SHELLFISH AgEcon
Lin, Chung-Tung Jordan; Milon, J. Walter.
This book was originally published by Westview Press, Boulder CO, 1995.
Tipo: Book Chapter Palavras-chave: Health risk; Shellfish; Contingent valuation; Willingness to pay; Food Consumption/Nutrition/Food Safety.
Ano: 1995 URL: http://purl.umn.edu/25971
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Chapter 12: USING CONTINGENT VALUATION TO VALUE FOOD SAFETY: A CASE STUDY OF GRAPEFRUIT AND PESTICIDE RESIDUES AgEcon
Buzby, Jean C.; Skees, Jerry R.; Ready, Richard C..
This book was originally published by Westview Press, Boulder CO, 1995.
Tipo: Book Chapter Palavras-chave: Pesticide residues; Grapefruit; Contingent valuation; Willingness to pay; Food Consumption/Nutrition/Food Safety.
Ano: 1995 URL: http://purl.umn.edu/25972
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Chapter 13: ANGLERS' WILLINGNESS TO PAY FOR INFORMATION ABOUT CHEMICAL RESIDUES IN SPORT FISH: DESIGN OF A CV QUESTIONNAIRE AgEcon
Krieger, Douglas J.; Hoehn, John P..
This book was originally published by Westview Press, Boulder CO, 1995.
Tipo: Book Chapter Palavras-chave: Chemical residues; Sport fish; Contingent valuation; Willingness to pay; Food Consumption/Nutrition/Food Safety.
Ano: 1995 URL: http://purl.umn.edu/25970
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