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Empirical Tests Of Hypothetical Bias In Consumers' Surplus Surveys

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  • Sinden, Jack A.

Abstract

Questionnaire surveys are an established economic research method for eliciting consumers' surplus values. However, the necessarily hypothetical nature of surveys may not promote truthful responses. In 17 empirical tests, actual money donations were elicited and compared to hypothetical donations elicited previously. In all 17, there was no statistical difference between the actual and hypothetical willingness to pay. Hypothetical bias was therefore absent in all these tests.

Suggested Citation

  • Sinden, Jack A., 1988. "Empirical Tests Of Hypothetical Bias In Consumers' Surplus Surveys," Australian Journal of Agricultural Economics, Australian Agricultural and Resource Economics Society, vol. 32(2-3), pages 1-15, August.
    • Handle: RePEc:ags:ajaeau:22956
    DOI: 10.22004/ag.econ.22956
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    References listed on IDEAS

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    Cited by:

    1. Gubanova, Tatiana & Adamowicz, Wiktor L. & McMillan, Melville, 2009. "‘Pocket and Pot’: Hypothetical Bias in a No-Free-Riding Public Contribution Game," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49318, Agricultural and Applied Economics Association.
    2. Douglas Macmillan & Trevor Smart & Andrew Thorburn, 1999. "A Field Experiment Involving Cash and Hypothetical Charitable Donations," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 14(3), pages 399-412, October.
    3. James Murphy & P. Allen & Thomas Stevens & Darryl Weatherhead, 2005. "A Meta-analysis of Hypothetical Bias in Stated Preference Valuation," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 30(3), pages 313-325, March.
    4. Dominique Ami & Frédéric Aprahamian & Olivier Chanel & Stéphane Luchini, 2011. "A Test of Cheap Talk in Different Hypothetical Contexts: The Case of Air Pollution," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 50(1), pages 111-130, September.
    5. Vivien Foster & Ian J. Bateman & David Harley, 1998. "Real and hypothetical willingness to pay for environmental preservation: a non-experimental comparison," Chapters, in: Melinda Acutt & Pamela Mason (ed.), Environmental Valuation, Economic Policy and Sustainability, chapter 3, pages 35-50, Edward Elgar Publishing.
    6. Stefani, Gianluca & Scarpa, Riccardo & Lombardi, Ginevra V., 2014. "An addendum to: a meta-analysis of hypothethical bias in stated preference valuation," Bio-based and Applied Economics Journal, Italian Association of Agricultural and Applied Economics (AIEAA), vol. 3(2), pages 1-10, August.
    7. Fabio Verneau & Francesco La Barbera & Teresa Del Giudice, 2017. "The Role of Implicit Associations in the Hypothetical Bias," Journal of Consumer Affairs, Wiley Blackwell, vol. 51(2), pages 312-328, July.
    8. Jeff Bennett, 2005. "Australasian environmental economics: contributions, conflicts and ‘cop‐outs’," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 49(3), pages 243-261, September.
    9. W. Michael Hanemann, 1994. "Valuing the Environment through Contingent Valuation," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 19-43, Fall.
    10. List, John A. & Shogren, Jason F., 2002. "Calibration of Willingness-to-Accept," Journal of Environmental Economics and Management, Elsevier, vol. 43(2), pages 219-233, March.
    11. Murphy, James J. & Stevens, Thomas H., 2004. "Contingent Valuation, Hypothetical Bias, and Experimental Economics," Agricultural and Resource Economics Review, Cambridge University Press, vol. 33(2), pages 182-192, October.
    12. Jinkwon Lee & Uk Hwang, 2016. "Hypothetical Bias in Risk Preferences as a Driver of Hypothetical Bias in Willingness to Pay: Experimental Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 65(4), pages 789-811, December.
    13. John K. Horowitz & Kenneth E. McConnell & James J. Murphy, 2013. "Behavioral foundations of environmental economics and valuation," Chapters, in: John A. List & Michael K. Price (ed.), Handbook on Experimental Economics and the Environment, chapter 4, pages 115-156, Edward Elgar Publishing.
    14. Lopez-Becerra, E.I. & Alcon, F., 2021. "Social desirability bias in the environmental economic valuation: An inferred valuation approach," Ecological Economics, Elsevier, vol. 184(C).
    15. Sue O’Keefe & Lin Crase, 2005. "Understanding the Education Choices of Public Sector Employees: The Relative Importance of Time and Money," Australian Journal of Labour Economics (AJLE), Bankwest Curtin Economics Centre (BCEC), Curtin Business School, vol. 8(4), pages 331-350, December.
    16. Mørkbak, Morten Raun & Olsen, Søren Bøye & Campbell, Danny, 2014. "Behavioral implications of providing real incentives in stated choice experiments," Journal of Economic Psychology, Elsevier, vol. 45(C), pages 102-116.
    17. Schwer, Keith & Daneshvary, Rennae, 1999. "The Impact of Casino Gambling on Charitable Contributions: The Willingness to Contribute to a Local Public Television Station," The Review of Regional Studies, Southern Regional Science Association, vol. 29(1), pages 77-90, Summer.
    18. John List & Craig Gallet, 2001. "What Experimental Protocol Influence Disparities Between Actual and Hypothetical Stated Values?," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 20(3), pages 241-254, November.

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