The effect of varying the causes of environmental problems on stated wtp values: Evidence from a field study
AbstractStandard applications of utility theory assume that utility depends solely on outcomes and not on causes. This study uses a field experiment conducted in the Netherlands to determine if alternative causes of an environmental problem affect willingness to pay to ameliorate it. We find evidence supporting the hypothesis that people are willing to pay significantly more to correct problems caused by humans than by nature (the "outrage effect"), but find no support for the hypothesis that "moral responsibility" matters. We also find support for the hypothesis that stated willingness to pay values obtained via "cheap talk" and "consequential" treatments are lower than without inclusion of these protocols.
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Bibliographic InfoPaper provided by The Field Experiments Website in its series Framed Field Experiments with number 00134.
Date of creation: 2004
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Other versions of this item:
- Bulte, Erwin & Gerking, Shelby & List, John A. & de Zeeuw, Aart, 2005. "The effect of varying the causes of environmental problems on stated WTP values: evidence from a field study," Journal of Environmental Economics and Management, Elsevier, vol. 49(2), pages 330-342, March.
- C93 - Mathematical and Quantitative Methods - - Design of Experiments - - - Field Experiments
- Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy
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