The Theoretical Structure of Producer Willingness to Pay Estimates
AbstractThis paper analyzes the theoretical underpinnings of producers’ willingness to pay (WTP) for novel inputs. In addition to conceptualizing the WTP function for producers, we derive its comparative statics and demonstrate the use of these properties to estimate input quantities demanded, outputs supplied, and price elasticities. We also discuss implications of the comparative statics results for the specification of empirical producer WTP models and survey design.
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Bibliographic InfoPaper provided by Agricultural and Applied Economics Association in its series 2012 Annual Meeting, August 12-14, 2012, Seattle, Washington with number 123434.
Date of creation: 2012
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Cobb-Douglas production function; contingent valuation; price elasticities; new technologies; survey design.; Agribusiness; Demand and Price Analysis; Environmental Economics and Policy; Production Economics;
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