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Multicultural Evaluation of the Performance of Contingent Valuation for Forest Fire Prevention

Author

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  • John Loomis
  • Armando Gonzalez‐Caban
  • Hayley Hesseln

Abstract

This article evaluates the ability of contingent valuation to measure the benefits received by several ethnic groups from a prescribed burning forest fire reduction program similar to President Bush's Healthy Forest Initiative. Reasons for refusing to pay higher taxes for the prescribed burning program were not statistically different between African Americans, Hispanics, and whites. Mean willingness to pay of whites was $400, whereas for African Americans it was $505, but the difference is not statistically significant. The results suggest a substantial statewide willingness to pay by whites and African Americans for forest fuel reduction projects using prescribed burning in California. (JEL Q26, Q23, J15)

Suggested Citation

  • John Loomis & Armando Gonzalez‐Caban & Hayley Hesseln, 2004. "Multicultural Evaluation of the Performance of Contingent Valuation for Forest Fire Prevention," Contemporary Economic Policy, Western Economic Association International, vol. 22(3), pages 407-419, July.
    • Handle: RePEc:bla:coecpo:v:22:y:2004:i:3:p:407-419
    DOI: 10.1093/cep/byh030
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    References listed on IDEAS

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    1. Halstead, John M. & Luloff, A.E. & Stevens, Thomas H., 1992. "Protest Bidders In Contingent Valuation," Northeastern Journal of Agricultural and Resource Economics, Northeastern Agricultural and Resource Economics Association, vol. 21(2), pages 1-10, October.
    2. W. Michael Hanemann, 1984. "Welfare Evaluations in Contingent Valuation Experiments with Discrete Responses," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 66(3), pages 332-341.
    3. Timothy Park & John B. Loomis & Michael Creel, 1991. "Confidence Intervals for Evaluating Benefits Estimates from Dichotomous Choice Contingent Valuation Studies," Land Economics, University of Wisconsin Press, vol. 67(1), pages 64-73.
    4. John B. Loomis & Lucas S. Bair & Armando González-Cabán, 2002. "Language-Related Differences in a Contingent Valuation Study: English Versus Spanish," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 84(4), pages 1091-1102.
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    Citations

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    Cited by:

    1. Le Trong Hung & John B. Loomis & Vu Tien Thinh, 2007. "Comparing money and labour payment in contingent valuation: the case of forest fire prevention in Vietnamese context," Journal of International Development, John Wiley & Sons, Ltd., vol. 19(2), pages 173-185.
    2. González-Cabán, Armando & Loomis, John B. & Rodriguez, Andrea & Hesseln, Hayley, 2007. "A comparison of CVM survey response rates, protests and willingness-to-pay of Native Americans and general population for fuels reduction policies," Journal of Forest Economics, Elsevier, vol. 13(1), pages 49-71, May.
    3. Varela, Elsa & Jacobsen, Jette Bredahl & Soliño, Mario, 2014. "Understanding the heterogeneity of social preferences for fire prevention management," Ecological Economics, Elsevier, vol. 106(C), pages 91-104.
    4. Alló, M. & Loureiro, M.L., 2020. "Assessing preferences for wildfire prevention policies in Spain," Forest Policy and Economics, Elsevier, vol. 115(C).
    5. Xiaolin Ren & Arianto A. Patunru & John B. Braden, 2008. "Language‐Related Differences In Environmental Benefits Estimation: Evidence From A Mail Survey," Contemporary Economic Policy, Western Economic Association International, vol. 26(1), pages 13-31, January.
    6. Mozumder, Pallab & Raheem, Nejem & Talberth, John & Berrens, Robert P., 2008. "Investigating intended evacuation from wildfires in the wildland-urban interface: Application of a bivariate probit model," Forest Policy and Economics, Elsevier, vol. 10(6), pages 415-423, August.
    7. John Talberth & Robert P. Berrens & Michael Mckee & Michael Jones, 2006. "Averting And Insurance Decisions In The Wildland–Urban Interface: Implications Of Survey And Experimental Data For Wildfire Risk Reduction Policy," Contemporary Economic Policy, Western Economic Association International, vol. 24(2), pages 203-223, April.

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    More about this item

    JEL classification:

    • Q26 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Recreational Aspects of Natural Resources
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination

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