IDEAS home Printed from https://ideas.repec.org/p/hoh/hohdip/245.html
   My bibliography  Save this paper

Contingent Valuation of Mining Land Reclamation in East Germany

Author

Listed:
  • Michael Ahlheim
  • Oliver Frör
  • Ulrike Lehr
  • Gerhard Wagenhals
  • Ursula Wolf

Abstract

Large parts of East German landscapes are formed by lignite mining activities. The mining pits destroy vast areas of the existing cultural landscapes. These areas have to be made re-accessible to society through extensive reclamation projects after mining has been finished. For an appraisal of the social benefits that need to be compared to the costs of these projects the Contingent Valuation Method (CVM) is the method of choice. The CVM measures the willingness to pay of households for such a project. This paper reports the findings of a Con-tingent Valuation study assessing the social utility created by a reclamation project north of the city of Cottbus in Brandenburg, Germany. The goal of the study is threefold. Firstly, the affected population's aggregate willingness to pay for the planned reclamation project is cal-culated; it amounts to 2.7 mil. Euro per year. Secondly, the determinants of this willingness to pay are analyzed. Apart from the expected positive impact of income on willingness to pay we find that it is also influenced by people's recreational activities, their general attitudes to-wards public spending and by their concerns about the economic situation. Thirdly, the study explores methodological specifics of an application of the CVM to Germany, especially in East Germany, by focusing on the appropriate design of the willingness to pay question which is an important feature still controversially discussed in the literature.

Suggested Citation

  • Michael Ahlheim & Oliver Frör & Ulrike Lehr & Gerhard Wagenhals & Ursula Wolf, 2004. "Contingent Valuation of Mining Land Reclamation in East Germany," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 245/2004, Department of Economics, University of Hohenheim, Germany.
    • Handle: RePEc:hoh:hohdip:245
    as

    Download full text from publisher

    File URL: http://www.uni-hohenheim.de/RePEc/hoh/papers/245.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Joseph C. Cooper, 1994. "A Comparison of Approaches to Calculating Confidence Intervals for Benefit Measures from Dichotomous Choice Contingent Valuation Surveys," Land Economics, University of Wisconsin Press, vol. 70(1), pages 111-122.
    2. DeShazo, J. R., 2002. "Designing Transactions without Framing Effects in Iterative Question Formats," Journal of Environmental Economics and Management, Elsevier, vol. 43(3), pages 360-385, May.
    3. Richard Carson & Nicholas Flores & Norman Meade, 2001. "Contingent Valuation: Controversies and Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(2), pages 173-210, June.
    4. Blomquist, Glenn C. & Whitehead, John C., 1998. "Resource quality information and validity of willingness to pay in contingent valuation," Resource and Energy Economics, Elsevier, vol. 20(2), pages 179-196, June.
    5. Timothy Park & John B. Loomis & Michael Creel, 1991. "Confidence Intervals for Evaluating Benefits Estimates from Dichotomous Choice Contingent Valuation Studies," Land Economics, University of Wisconsin Press, vol. 67(1), pages 64-73.
    6. Bishop, Richard C. & Heberlein, Thomas A., 1979. "Measuring Values Of Extramarket Goods: Are Indirect Measures Biased?," 1979 Annual Meeting, July 29-August 1, Pullman, Washington 277818, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    7. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    8. Hanemann, W Michael, 1991. "Willingness to Pay and Willingness to Accept: How Much Can They Differ?," American Economic Review, American Economic Association, vol. 81(3), pages 635-647, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ik-Chang Choi & Hyun No Kim & Hio-Jung Shin & John Tenhunen & Trung Thanh Nguyen, 2017. "Economic Valuation of the Aquatic Biodiversity Conservation in South Korea: Correcting for the Endogeneity Bias in Contingent Valuation," Sustainability, MDPI, vol. 9(6), pages 1-20, June.
    2. Lim, Seul-Ye & Min, Seo-Hyeon & Yoo, Seung-Hoon, 2016. "The public value of contaminated soil remediation in Janghang copper smelter of Korea," Resources Policy, Elsevier, vol. 50(C), pages 66-74.
    3. Michael Ahlheim & Benchaphun Ekasingh & Oliver Frör & Jirawan Kitchaicharoen & Andreas Neef & Chapika Sangkapitux & Nopasom Sinphurmsukskul, 2008. "Better than their reputation - A case for mail surveys in contingent valuation," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 297/2008, Department of Economics, University of Hohenheim, Germany.
    4. Isabel Mendes, 2013. "Mining Rehabilitation Planning, Mining Heritage Tourism, Benefits and Contingent Valuation," Working Papers wp032013, Socius, Socio-Economics Research Centre at the School of Economics and Management (ISEG) of the Technical University of Lisbon.
    5. Isabel Mendes & Idalina Dias Sardinha & Sérgio Milheiras, 2013. "Methodological Issues for Estimating the Total Value of the Rehabilitation of Mining Fields: the Case of S. Domingo’s Mine," International Journal of Finance, Insurance and Risk Management, International Journal of Finance, Insurance and Risk Management, vol. 3(4), pages 593-593.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Hermann Donfouet & P. Jeanty & P.-A. Mahieu, 2014. "Dealing with internal inconsistency in double-bounded dichotomous choice: an application to community-based health insurance," Empirical Economics, Springer, vol. 46(1), pages 317-328, February.
    2. Halkos, George, 2012. "The use of contingent valuation in assessing marine and coastal ecosystems’ water quality: A review," MPRA Paper 42183, University Library of Munich, Germany.
    3. Seung-Jun Kwak & Seung-Hoon Yoo & Sang-Yong Han, 2003. "Estimating the Public's Value for Urban Forest in the Seoul Metropolitan Area of Korea: A Contingent Valuation Study," Urban Studies, Urban Studies Journal Limited, vol. 40(11), pages 2207-2221, October.
    4. Hanemann, W. Michael & Kanninen, Barbara, 1996. "The Statistical Analysis Of Discrete-Response Cv Data," CUDARE Working Papers 25022, University of California, Berkeley, Department of Agricultural and Resource Economics.
    5. Cooper, Joseph C., 1995. "The Application of Nonmarket Valuation Techniques to Agricultural Issues," Staff Reports 333359, United States Department of Agriculture, Economic Research Service.
    6. Richard Yao & Pamela Kaval, 2008. "Valuing Biodiversity Enhancement in New Zealand," Working Papers in Economics 08/07, University of Waikato.
    7. Samnaliev, Mihail & Stevens, Thomas H. & More, Thomas, 2006. "A comparison of alternative certainty calibration techniques in contingent valuation," Ecological Economics, Elsevier, vol. 57(3), pages 507-519, May.
    8. Lee, Gunwoo & Kim, Soo-Yeob & Lee, Min-Kyu, 2015. "Economic evaluation of vessel traffic service (VTS): A contingent valuation study," Marine Policy, Elsevier, vol. 61(C), pages 149-154.
    9. Veisten, Knut, 2007. "Contingent valuation controversies: Philosophic debates about economic theory," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 36(2), pages 204-232, April.
    10. Jung-Eun Kim & Jungsung Yeo, 2010. "Valuation of Consumers’ Personal Information: A South Korean Example," Journal of Family and Economic Issues, Springer, vol. 31(3), pages 297-306, September.
    11. Paul Mwebaze & Jeff Bennett & Nigel W. Beebe & Gregor J. Devine & Paul Barro, 2018. "Economic Valuation of the Threat Posed by the Establishment of the Asian Tiger Mosquito in Australia," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 71(2), pages 357-379, October.
    12. W. George Hutchinson & Riccardo Scarpa & Susan M. Chilton & T. McCallion, 2001. "Parametric and Non‐Parametric Estimates of Willingness to Pay for Forest Recreation in Northern Ireland: A Discrete Choice Contingent Valuation Study with Follow‐Ups," Journal of Agricultural Economics, Wiley Blackwell, vol. 52(1), pages 104-122, January.
    13. Skuras, Dimitris & Vakrou, Alexandra, 1999. "Willingness to pay for origin labelled products : a case study of Greek wine consumers," 67th Seminar, October 28-30, 1999, LeMans, France 241049, European Association of Agricultural Economists.
    14. Choi, Andy S., 2011. "Implicit prices for longer temporary exhibitions in a heritage site and a test of preference heterogeneity: A segmentation-based approach," Tourism Management, Elsevier, vol. 32(3), pages 511-519.
    15. Oliver Froer, 2003. "Using Stated Preference Methods for Biodiversity Valuation. A critical analysis," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim 217/2003, Department of Economics, University of Hohenheim, Germany.
    16. Claudy, Marius C. & Michelsen, Claus & O'Driscoll, Aidan, 2011. "The diffusion of microgeneration technologies - assessing the influence of perceived product characteristics on home owners' willingness to pay," Energy Policy, Elsevier, vol. 39(3), pages 1459-1469, March.
    17. Baker, Rick & Ruting, Brad, 2014. "Environmental Policy Analysis: A Guide to Non‑Market Valuation," 2014 Conference (58th), February 4-7, 2014, Port Macquarie, Australia 165810, Australian Agricultural and Resource Economics Society.
    18. Samnaliev, Mihail & Stevens, Thomas H. & More, Thomas, 2003. "A Comparison Of Cheap Talk And Alternative Certainty Calibration Techniques In Contingent Valuation," Working Paper Series 14517, University of Massachusetts, Amherst, Department of Resource Economics.
    19. Vivien Foster & Susana Mourato, 2003. "Elicitation Format and Sensitivity to Scope," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 24(2), pages 141-160, February.
    20. Dahal, Ram P. & Grala, Robert K. & Gordon, Jason S. & Petrolia, Daniel R. & Munn, Ian A., 2018. "Estimating the willingness to pay to preserve waterfront open spaces using contingent valuation," Land Use Policy, Elsevier, vol. 78(C), pages 614-626.

    More about this item

    Keywords

    contingent valuation;

    JEL classification:

    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • H43 - Public Economics - - Publicly Provided Goods - - - Project Evaluation; Social Discount Rate
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hoh:hohdip:245. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ulrike Berberich (email available below). General contact details of provider: https://edirc.repec.org/data/ivhohde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.