Scale sensitivity and question order in the contingent valuation method
AbstractThis study examines the effect on respondents' willingness to pay to reduce mortality risk by the order of the question in a stated preference study. Using answers from an experiment conducted on a Swedish sample where respondentsâ cognitive ability was measured and where they participate in a contingent valuation survey it is found that scale sensitivity is the strongest when respondents are asked about a smaller risk reduction first (âBottom-upâ approach). This contradicts some previous evidence in the literature. It is also found that the respondentsâ cognitive ability is correlated with their answers being line with theoretical predictions. The latter being important for the validity of the answers. Hence, the results of this paper suggest that scale sensitivity is related to the order of the questions and to respondentsâ cognitive ability.
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Bibliographic InfoPaper provided by LERNA, University of Toulouse in its series LERNA Working Papers with number 10.03.309.
Date of creation: Jan 2010
Date of revision:
Other versions of this item:
- Andersson, Henrik & Svensson, Mikael, 2010. "Scale Sensitivity and Question Order in the Contingent Valuation Method," TSE Working Papers 10-155, Toulouse School of Economics (TSE).
- Andersson, Henrik & Svensson, Mikael, 2010. "Scale sensitivity and question order in the contingent valuation method," Working Papers 2010:2, Örebro University, School of Business.
- D80 - Microeconomics - - Information, Knowledge, and Uncertainty - - - General
- I10 - Health, Education, and Welfare - - Health - - - General
- Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
This paper has been announced in the following NEP Reports:
- NEP-ALL-2010-01-30 (All new papers)
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