How can Behavioral Economics Inform Non-Market Valuation? An Example from the Preference Reversal Literature
AbstractPsychological insights have made inroads within most areas of study in economics. One area where less advance has occurred is environmental and resource economics. In this study, we examine preference reversals over evaluation modes, in which economic values critically depend on whether a good is valued jointly with others, or in isolation. The question arises because two methods for eliciting stated preferences differ in that one presents objects together and another presents them in isolation. Our empirical evidence demonstrates the import of behavioral economics, and sheds new light on the possible insensitivity of valuations to the scope of the good.
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Bibliographic InfoPaper provided by University of Alaska Anchorage, Department of Economics in its series Working Papers with number 2010-08.
Date of creation: 2010
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- Jonathan E. Alevy & John A. List & Wiktor L. Adamowicz, 2011. "How Can Behavioral Economics Inform Nonmarket Valuation? An Example from the Preference Reversal Literature," Land Economics, University of Wisconsin Press, vol. 87(3), pages 365-381.
- Jonathan Alevy & John List & Vic Adamowicz, 2010. "How can behavioral economics inform non-market valuation? An example from the preference reversal literature," Artefactual Field Experiments 00002, The Field Experiments Website.
- Jonathan E. Alevy & John List & Wiktor Adamowicz, 2010. "How Can Behavioral Economics Inform Non-Market Valuation? An Example from the Preference Reversal Literature," NBER Working Papers 16036, National Bureau of Economic Research, Inc.
- C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
- Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
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