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Testing for differences in benefit transfer values between state and regional frameworks

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  • John Rolfe
  • Jill Windle

Abstract

Policy makers are often interested in transferring non-market estimates of environmental values from a 'source' study to predict economic values at a 'target' site. While most applications of the benefit transfer process involve an opportunistic search for suitable source studies, there are some examples available of more systematic approaches to developing a framework of values for benefit transfer processes. A key issue in developing such a framework is to deal with adjustment factors, where value estimates might vary systematically according to the context of the trade-offs. Previous research has identified that large differences in scope, such as between national and regional contexts, do affect values and hence benefit transfer. The research reported in this paper indicates that such differences are not significant for smaller scope variations, such as between state and regional contexts. These results provide some promise that systematic databases for benefit transfer can be developed. Copyright 2008 The Authors.Journal compilation 2008 Australian Agricultural and Resource Economics Society Inc. and Blackwell Publishing Asia Pty Ltd.

Suggested Citation

  • John Rolfe & Jill Windle, 2008. "Testing for differences in benefit transfer values between state and regional frameworks," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 52(2), pages 149-168, June.
    • Handle: RePEc:bla:ajarec:v:52:y:2008:i:2:p:149-168
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    File URL: http://hdl.handle.net/10.1111/j.1467-8489.2008.00405.x
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    References listed on IDEAS

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    1. Productivity Commission, 2003. "Industries, land use and water quality in the Great Barrier Reef Catchment," Others 0305001, University Library of Munich, Germany.
    2. Smith, V. Kerry & van Houtven, George & Pattanayak, Subhrendu K., 1999. "Benefit Transfer as Preference Calibration," Discussion Papers 10607, Resources for the Future.
    3. Poe, Gregory L. & Giraud, Kelly L. & Loomis, John B., 2001. "Simple Computational Methods for Measuring the Difference of Empirical Distributions: Application to Internal and External Scope Tests in Contingent Valuation," Staff Papers 121130, Cornell University, Department of Applied Economics and Management.
    4. Unknown, 2003. "Industries, Land Use and Water Quality in the Great Barrier Reef Catchment," Commissioned Studies 31918, Productivity Commission.
    5. Jeff Bennett & Russell Blamey (ed.), 2001. "The Choice Modelling Approach to Environmental Valuation," Books, Edward Elgar Publishing, number 2028.
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    Cited by:

    1. Jill Windle & John Rolfe & Roy Brouwer, 2009. "Public values for improved water security for domestic and environmental use," Environmental Economics Research Hub Research Reports 0918, Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University.
    2. Spencer-Cotton, Alaya & Burton, Michael & Kragt, Marit Ellen, 2016. "Scope and scale in valuing coastal management in the remote Kimberley region of Australia," Working Papers 249272, University of Western Australia, School of Agricultural and Resource Economics.
    3. Alaya Spencer‐Cotton & Marit E. Kragt & Michael Burton, 2018. "Spatial and Scope Effects: Valuations of Coastal Management Practices," Journal of Agricultural Economics, Wiley Blackwell, vol. 69(3), pages 833-851, September.
    4. Robert J. Johnston & Kevin J. Boyle & Maria L. Loureiro & Ståle Navrud & John Rolfe, 2021. "Guidance to Enhance the Validity and Credibility of Environmental Benefit Transfers," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 79(3), pages 575-624, July.
    5. Gregg, Daniel & Rolfe, John, 2014. "The value of environmental health in agricultural production across nonparametric efficiency quantiles," 2014 Conference, August 28-29, 2014, Nelson, New Zealand 187499, New Zealand Agricultural and Resource Economics Society.
    6. Rolfe, John & Windle, Jill & Bennett, Jeffrey W. & Mazur, Kasia, 2013. "Calibration of values in benefit transfer to account for variations in geographic scale and scope: Comparing two choice modelling experiments," 2013 Conference (57th), February 5-8, 2013, Sydney, Australia 152176, Australian Agricultural and Resource Economics Society.

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