A Semi-parametric Estimator of Willingness-to-pay Applied to Dichotomous Choice Contingent Valuation Data

2000 ◽  
Vol 39 (2) ◽  
pp. 200-214 ◽  
Author(s):  
Michael Burton
Keyword(s):  
Willingness To Pay ◽  
Contingent Valuation ◽  
Dichotomous Choice

scholarly journals Consumer willingness-to-pay for restaurant surcharges to reduce carbon emissions: default and information effects

2021 ◽  
pp. 1-29
Author(s):  
Dede Long ◽  
Grant H. West ◽  
Rodolfo M. Nayga
Keyword(s):  
Climate Change ◽  
Willingness To Pay ◽  
Contingent Valuation ◽  
Carbon Emissions ◽  
Emission Reduction ◽  
Carbon Emission ◽  
Dichotomous Choice ◽  
Carbon Reduction ◽  
The Mean ◽  
Agriculture And Food

Abstract The agriculture and food sectors contribute significantly to greenhouse gas emissions. About 15 percent of food-related carbon emissions are channeled through restaurants. Using a contingent valuation (CV) method with double-bounded dichotomous choice (DBDC) questions, this article investigates U.S. consumers’ willingness to pay (WTP) for an optional restaurant surcharge in support of carbon emission reduction programs. The mean estimated WTP for a surcharge is 6.05 percent of an average restaurant check, while the median WTP is 3.64 percent. Our results show that individuals have a higher WTP when the surcharge is automatically added to restaurant checks. We also find that an information nudge—a short climate change script—significantly increases WTP. Additionally, our results demonstrate that there is heterogeneity in treatment effects across consumers’ age, environmental awareness, and economic views. Our findings suggest that a surcharge program could transfer a meaningful amount of the agricultural carbon reduction burden to consumers that farmers currently shoulder.

scholarly journals A Study on the Value of Preserving a Parasitic Volcanic Sieve as a Tourism Good for Sustainable Management: Using the Contingent Valuation Method

2020 ◽  
Vol 12 (7) ◽  
pp. 2825
Author(s):  
Won Seok Lee
Keyword(s):  
Willingness To Pay ◽  
Contingent Valuation ◽  
Causal Relationship ◽  
Sustainable Management ◽  
Contingent Valuation Method ◽  
Economic Value ◽  
Dichotomous Choice ◽  
Valuation Method ◽  
Good For

The purpose of this study is to estimate the economic value of Geomun Oreum (GO), a parasitic volcanic sieve, for sustainable management by using the dichotomous choice contingent valuation method. To address the exaggeration tendency of willingness to pay (WTP), the contingent valuation method’s (CVM’s) traditional threshold, respondents’ WTP answers were reconfirmed to screen only true responses for our analysis. In addition to estimating the economic value, the causal relationship between the tour guide’s quality of explanation and the respondents’ payment intention is examined in the study. The results reveal that the estimated preservation value of GO is 35,881 KRW (33.28 USD), and the quality of the tour guide’s narrative is statistically related to the respondents’ payment intention.

Improved Estimation of Willingness to Pay in Dichotomous Choice Contingent Valuation Studies

1998 ◽  
Vol 74 (1) ◽  
pp. 65 ◽  
Author(s):  
Ian H. Langford ◽  
Ian J. Bateman ◽  
Andrew P. Jones ◽  
Hugh D. Langford ◽  
Stavros Georgiou
Keyword(s):  
Willingness To Pay ◽  
Contingent Valuation ◽  
Dichotomous Choice

scholarly journals The Provision Point Mechanism and Scenario Rejection in Contingent Valuation

2009 ◽  
Vol 38 (2) ◽  
pp. 271-280 ◽  
Author(s):  
Peter A. Groothuis ◽  
John C. Whitehead
Keyword(s):  
Willingness To Pay ◽  
Contingent Valuation ◽  
Contingent Valuation Method ◽  
Free Riding ◽  
Dichotomous Choice ◽  
Economic Experiments ◽  
Valuation Method ◽  
Provision Point

The provision point mechanism mitigates free-riding behavior in economic experiments. In two contingent valuation method surveys, we implement the provision point design. We ask respondents for their perceptions about the success of the provision point mechanism. We find that respondents who believe that the provision point would not be met are more likely to saynoto a contingent valuation dichotomous choice question. The scenario rejection that arises may result in biased willingness-to-pay estimates.

Contingent valuation of a Taiwanese wetland

2001 ◽  
Vol 6 (2) ◽  
pp. 259-268 ◽  
Author(s):  
James K. Hammitt ◽  
Jin-Tan Liu ◽  
Jin-Long Liu
Keyword(s):  
Willingness To Pay ◽  
Contingent Valuation ◽  
Flood Control ◽  
Waste Treatment ◽  
Stated Preference ◽  
Revealed Preference ◽  
Wildlife Habitat ◽  
Dichotomous Choice ◽  
Market Prices ◽  
Local Residents

Wetlands provide a variety of important environmental services including flood control, wildlife habitat, waste treatment, and recreational opportunities. Because most of these services are public goods, the value of wetland preservation cannot be directly obtained from market prices but may be estimated using revealed-preference or stated-preference methods. We estimate the value to local residents of protecting the Kuantu wetland in Taiwan using contingent valuation. Estimates are sensitive to question format, with estimates using a double-bounded dichotomous-choice format about three times larger than estimates using a single open-ended question. Using the open-ended format, the estimated annual mean household willingness to pay to preserve the Kuantu wetland is about US$21. Using the dichotomous-choice questions, the value is about US$65. These estimates suggest the total present-value willingness to pay to preserve Kuantu wetland is about US$200 million to US$1.2 billion (discounted at 5–10%).

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