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Improving value transfer through socio-economic adjustments in a multicountry choice experiment of water conservation alternatives

Author

Listed:
  • Roy Brouwer
  • Julia Martin-Ortega
  • Thijs Dekker
  • Laura Sardonini
  • Joaquin Andreu
  • Areti Kontogianni
  • Michalis Skourtos
  • Meri Raggi
  • Davide Viaggi
  • Manuel Pulido-Velazquez
  • John Rolfe
  • Jill Windle

Abstract

type="main" xml:id="ajar12099-abs-0001"> This study tests the transferability of the nonmarket values of water conservation for domestic and environmental purposes across three south European countries and Australia applying a common choice experiment design. Different approaches are followed to test the transferability of the estimated values, aiming to minimise transfer errors for use in policy analysis, comparing both single- and multicountry transfers, with and without socio-economic adjustments. Within Europe, significant differences are found between implicit prices for environmental water use, but not for domestic water use. In the Australian case study, alleviating restrictions on domestic water use has no significant value. Pooling the three European samples improves the transferability of the environmental flow values between Europe and Australia. Results show that a reduction in transfer error is achieved when controlling for unobserved and observed preference heterogeneity in the single- and multicountry transfers, providing additional support for the superiority of socio-economic adjustment procedures in value transfer.

Suggested Citation

  • Roy Brouwer & Julia Martin-Ortega & Thijs Dekker & Laura Sardonini & Joaquin Andreu & Areti Kontogianni & Michalis Skourtos & Meri Raggi & Davide Viaggi & Manuel Pulido-Velazquez & John Rolfe & Jill W, 2015. "Improving value transfer through socio-economic adjustments in a multicountry choice experiment of water conservation alternatives," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 59(3), pages 458-478, July.
  • Handle: RePEc:bla:ajarec:v:59:y:2015:i:3:p:458-478
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    File URL: http://hdl.handle.net/10.1111/ajar.2015.59.issue-3
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    1. Areti Kontogianni & Dimitris Damigos & Michail Skourtos & Christos Tourkolias & Eleanor Denny & Ibon Galarraga & Steffen Kallbekken & Edin Lakić, 2021. "Model Validity and Transferability Informing Behavioral Energy Policies," Energies, MDPI, vol. 14(11), pages 1-20, May.
    2. Riccardo Scarpa & Cristiano Franceschinis & Mara Thiene, 2017. "A Monte Carlo Evaluation of the Logit-Mixed Logit under Asymmetry and Multimodality," Working Papers in Economics 17/23, University of Waikato.
    3. Rafiei-Sardooi, Elham & Azareh, Ali & Joorabian Shooshtari, Sharif & Parteli, Eric J.R., 2022. "Long-term assessment of land-use and climate change on water scarcity in an arid basin in Iran," Ecological Modelling, Elsevier, vol. 467(C).
    4. Czajkowski, Mikołaj & Ahtiainen, Heini & Artell, Janne & Meyerhoff, Jürgen, 2017. "Choosing a Functional Form for an International Benefit Transfer: Evidence from a Nine-country Valuation Experiment," Ecological Economics, Elsevier, vol. 134(C), pages 104-113.
    5. 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.
    6. MacDonald, Darla Hatton & Rose, John M. & Johnston, Robert J. & Bark, Rosalind H. & Pritchard, Jodie, 2019. "Managing groundwater in a mining region: an opportunity to compare best-worst and referendum data," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 63(4), October.
    7. Norton, Daniel & Hynes, Stephen, 2018. "Estimating the Benefits of the Marine Strategy Framework Directive in Atlantic Member States: A Spatial Value Transfer Approach," Ecological Economics, Elsevier, vol. 151(C), pages 82-94.
    8. Lamprinakis, L. & Rodriguez, D. G. P. & Prestvik, A. S. & Veidal, A. & Klimek, B., 2017. "31 DOI: http://dx.doi.org/10.18461/pfsd.2017.1705 INTERNATIONAL JOURNAL ON FOOD SYSTEM DYNAMICS A Mixed Methods Approach Towards Mapping and Economic Valuation of the Divici-Pojejena Wetland Ecosystem," 2018 International European Forum (163rd EAAE Seminar), February 5-9, 2018, Innsbruck-Igls, Austria 276889, International European Forum on System Dynamics and Innovation in Food Networks.
    9. Lamprinakis, L. & Rodriguez, D. G. P. & Prestvik, A. & Veidal, A. & Klimek, B., 2017. "31 DOI: http://dx.doi.org/10.18461/pfsd.2017.1705 INTERNATIONAL JOURNAL ON FOOD SYSTEM DYNAMICS A Mixed Methods Approach Towards Mapping and Economic Valuation of the Divici-Pojejena Wetland Ecosystem," International Journal on Food System Dynamics, International Center for Management, Communication, and Research, vol. 2017(1), June.

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