Contingent Valuation and Incentives

Contingent Valuation and Incentives

We empirically investigate the effect of the payment mechanism on contingent values by asking a willingness-to-pay question with one of three different payment mechanisms: individual contribution, contribution with provision point, and referendum. We Ž nd statistical evidence of more afŽ rmative responses in the referendum treatment relative to the individual contribution treatment, some weak s...

Contingent Valuation

822

Contingent Valuation: Controversies and Evidence

Contingent valuation (CV) has become one of the most widely used non-market valuation techniques. CV’s prominence is due to its flexibility and ability to estimate total value, including passive use value. Its use and the inclusion of passive use value in benefit-cost analyses and environmental litigation are the subject of a contentious debate. This paper discusses key areas of the debate over...

Market Segmentation within Contingent Valuation

A finite probability mixture model is combined with a contingent valuation model to analyze the existence of differential market segments in a hypothetical market. The approach has at least two principle benefits. First, the model is capable of identifying market segments within the hypothetical market. Second, the model can be used to estimate WTP/WTA within each segment. The model is illustra...

-celear"gand Contingent Valuation Methods