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Measuring Consumer Sustainability Benefits

Author

Listed:
  • Inderst, Roman
  • Thomas, Stefan

Abstract

While consumer sustainability benefits exhibit particular characteristics, e.g., as they are typically based on non-use value, they can be measured by standard instruments as applied in environmental cost-benefit analysis, such as conjoint analysis and contingent valuation. Their measurement may be particularly sensitive to provided context, which makes it necessary to be particularly careful when measuring consumers’ willingness-to-pay. This sensitivity, however, also allows to expand the scope for such benefits and enables an appropriate modelling of the counterfactual. While we advocate for a careful consideration of such more “reflective willingness-to-pay†, we are critical about a blank consideration of externalities and with it consumers’ willingness-to-pay for a change in the behaviour of other consumers.

Suggested Citation

  • Inderst, Roman & Thomas, Stefan, 2022. "Measuring Consumer Sustainability Benefits," CEPR Discussion Papers 16903, C.E.P.R. Discussion Papers.
  • Handle: RePEc:cpr:ceprdp:16903
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    More about this item

    Keywords

    Antitrust; Consumer welfare; Sustainability;
    All these keywords.

    JEL classification:

    • A13 - General Economics and Teaching - - General Economics - - - Relation of Economics to Social Values
    • K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law

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