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Empirical Tests Of Hypothetical Bias In Consumers' Surplus Surveys

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  • Sinden, Jack A.
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    Abstract

    Questionnaire surveys are an established economic research method for eliciting consumers' surplus values. However, the necessarily hypothetical nature of surveys may not promote truthful responses. In 17 empirical tests, actual money donations were elicited and compared to hypothetical donations elicited previously. In all 17, there was no statistical difference between the actual and hypothetical willingness to pay. Hypothetical bias was therefore absent in all these tests.

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    Bibliographic Info

    Article provided by Australian Agricultural and Resource Economics Society in its journal Australian Journal of Agricultural Economics.

    Volume (Year): 32 (1988)
    Issue (Month): 02-03 ()
    Pages:

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    Handle: RePEc:ags:ajaeau:22956

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    Postal: AARES Central Office Manager, Crawford School of Public Policy, ANU, Canberra ACT 0200
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    Keywords: Consumer/Household Economics; Research Methods/ Statistical Methods;

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    1. Brookshire, David S. & Ives, Berry C. & Schulze, William D., 1976. "The valuation of aesthetic preferences," Journal of Environmental Economics and Management, Elsevier, vol. 3(4), pages 325-346, December.
    2. Bohm, Peter, 1972. "Estimating demand for public goods: An experiment," European Economic Review, Elsevier, vol. 3(2), pages 111-130.
    3. Bennett, J. W., 1987. "Strategic behaviour : Some experimental evidence," Journal of Public Economics, Elsevier, vol. 32(3), pages 355-368, April.
    4. William D. Schulze & Ralph C. d'Arge & David S. Brookshire, 1981. "Valuing Environmental Commodities: Some Recent Experiments," Land Economics, University of Wisconsin Press, vol. 57(2), pages 151-172.
    5. Knetsch, Jack L & Sinden, J A, 1984. "Willingness to Pay and Compensation Demanded: Experimental Evidence of an Unexpected Disparity in Measures of Value," The Quarterly Journal of Economics, MIT Press, MIT Press, vol. 99(3), pages 507-21, August.
    6. Clifford S. Russell, 1982. "Publicly Vested Values for Fish and Wildlife: Comment," Land Economics, University of Wisconsin Press, vol. 58(4), pages 559-562.
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    Cited by:
    1. Dominique Ami & Frédéric Aprahamian & Olivier Chanel & Stephane Luchini, 2009. "A Test Of Cheap Talk In Different Hypothetical Contexts: The Case Of Air Pollution," Working Papers halshs-00382511, HAL.
    2. Gubanova, Tatiana & Adamowicz, Wiktor L. & McMillan, Melville, 2009. "‘Pocket and Pot’: Hypothetical Bias in a No-Free-Riding Public Contribution Game," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin, Agricultural and Applied Economics Association 49318, Agricultural and Applied Economics Association.
    3. List, John A. & Shogren, Jason F., 2002. "Calibration of Willingness-to-Accept," Journal of Environmental Economics and Management, Elsevier, vol. 43(2), pages 219-233, March.
    4. Douglas Macmillan & Trevor Smart & Andrew Thorburn, 1999. "A Field Experiment Involving Cash and Hypothetical Charitable Donations," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 14(3), pages 399-412, October.
    5. W. Michael Hanemann, 1994. "Valuing the Environment through Contingent Valuation," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 19-43, Fall.
    6. John List & Craig Gallet, 2001. "What Experimental Protocol Influence Disparities Between Actual and Hypothetical Stated Values?," Environmental & Resource Economics, European Association of Environmental and Resource Economists, European Association of Environmental and Resource Economists, vol. 20(3), pages 241-254, November.
    7. Murphy, James J. & Stevens, Thomas H., 2004. "Contingent Valuation, Hypothetical Bias, and Experimental Economics," Agricultural and Resource Economics Review, Northeastern Agricultural and Resource Economics Association, Northeastern Agricultural and Resource Economics Association, vol. 33(2), October.

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