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Spatial Preference Heterogeneity: A Choice Experiment

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  • Roy Brouwer
  • Julia Martin-Ortega
  • RJulio Berbel
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    Abstract

    The main objective is to assess preference heterogeneity related to the spatial distribution of water quality improvements throughout a river basin. In a choice experiment, the river basin’s hydrogeographical units and the levels of water quality improvement are included as attributes in the experimental design. Changes in water quality throughout the river basin are visualized with maps and modeled simultaneously in relation to where respondents live, in a random utility model. Not accounting for spatial preference heterogeneity results, in this case study, in an underestimation of welfare when aggregating willingness-to-pay values from subbasins to the river basin as a whole.

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    File URL: http://le.uwpress.org/cgi/reprint/86/3/552
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    Bibliographic Info

    Article provided by University of Wisconsin Press in its journal Land Economics.

    Volume (Year): 86 (2010)
    Issue (Month): 3 ()
    Pages:

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    Handle: RePEc:uwp:landec:v:86:y:2010:iii:1:p552-568

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    Web page: http://le.uwpress.org/

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    Cited by:
    1. Mavra Stithou & Stephen Hynes & Nick Hanley & Danny Campbell, 2012. "Estimating the Value of Achieving “Good Ecological Status”in the Boyne River Catchmentin Ireland Using Choice Experiments," The Economic and Social Review, Economic and Social Studies, vol. 43(3), pages 397-422.
    2. Martin-Ortega, Julia & Brouwer, Roy & Berbel, Julio, 2009. "Economic analysis of spatial preferences heterogeneity of water quality," 2009 Conference, August 16-22, 2009, Beijing, China 50626, International Association of Agricultural Economists.
    3. Johnston, Robert J. & Ramachandran, Mahesh & Schultz, Eric T. & Segerson, Kathleen & Besedin, Elena Y., 2011. "Characterizing Spatial Pattern in Ecosystem Service Values when Distance Decay Doesn’t Apply: Choice Experiments and Local Indicators of Spatial Association," 2011 Annual Meeting, July 24-26, 2011, Pittsburgh, Pennsylvania 103374, Agricultural and Applied Economics Association.

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