An Experimental Validation of Hypothetical WTP for a Recyclable Product
AbstractUsing a within-subject experiment, we compare hypothetical andreal willingness to pay (WTP) for an improvement in therecyclability of a product. Subjects are faced with a real paymentscenario after they have responded to a hypothetical question.Contrary to most of the results obtained in similar studies, at apopulation level, there are no significant median differencesbetween actual and hypothetical stated values of WTP. However,within-subject comparisons between hypothetical and actual valuesindicate that subjects stating a low (high) hypothetical WTP tendto underestimate (overestimate) the value of their actualcontributions. Copyright Kluwer Academic Publishers 2004
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Bibliographic InfoArticle provided by European Association of Environmental and Resource Economists in its journal Environmental and Resource Economics.
Volume (Year): 27 (2004)
Issue (Month): 3 (March)
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Web page: http://www.springerlink.com/link.asp?id=100263
contingent valuation; laboratory experiments; product design; product recyclability; vertical differentiation; willingness to pay;
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