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The Payment Vehicle Used in CV Studies of Environmental Goods Does Matter

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  • Ivehammar, Pernilla

Abstract

This paper examines the effect of the payment vehicle on the valuation of an environmental good with the contingent valuation method (CVM). Results from three CV studies comparing different payment vehicles by using split samples when valuing environmental encroachment caused by roads in Sweden are presented and compared to results from other such split-sample studies of payment vehicle effects. The results are consistent and show that the payment vehicle affects the valuation, but not always the way expected when considering incentives to behave strategically.

Suggested Citation

  • Ivehammar, Pernilla, 2009. "The Payment Vehicle Used in CV Studies of Environmental Goods Does Matter," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 34(3), pages 1-14, December.
    • Handle: RePEc:ags:jlaare:57628
    DOI: 10.22004/ag.econ.57628
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    Cited by:

    1. Vilela, Thais & Malky Harb, Alfonso & Mendizábal Vergara, Carla, 2022. "Chileans' willingness to pay for protected areas," Ecological Economics, Elsevier, vol. 201(C).
    2. Nthambi, Mary & Markova-Nenova, Nonka & Wätzold, Frank, 2021. "Quantifying Loss of Benefits from Poor Governance of Climate Change Adaptation Projects: A Discrete Choice Experiment with Farmers in Kenya," Ecological Economics, Elsevier, vol. 179(C).
    3. Voltaire, Louinord, 2012. "Effet d’une taxe et d’un droit d’entrée sur les consentements à payer des touristes pour de nouvelles réserves naturelles dans le golfe du Morbihan," Revue d'Etudes en Agriculture et Environnement, Editions NecPlus, vol. 92(02), pages 183-209, October.
    4. Mouter, Niek & Cabral, Manuel Ojeda & Dekker, Thijs & van Cranenburgh, Sander, 2019. "The value of travel time, noise pollution, recreation and biodiversity: A social choice valuation perspective," Research in Transportation Economics, Elsevier, vol. 76(C).
    5. Zawojska, Ewa & Bartczak, Anna & Czajkowski, Mikołaj, 2019. "Disentangling the effects of policy and payment consequentiality and risk attitudes on stated preferences," Journal of Environmental Economics and Management, Elsevier, vol. 93(C), pages 63-84.
    6. Ivehammar, Pernilla, 2014. "Valuing environmental quality in actual travel time savings – The Haningeleden road project in Stockholm," Research in Transportation Economics, Elsevier, vol. 48(C), pages 349-356.
    7. Martínez-Espiñeira, Roberto & Lyssenko, Nikita, 2011. "Correcting for the endogeneity of pro-environment behavioral choices in contingent valuation," Ecological Economics, Elsevier, vol. 70(8), pages 1435-1439, June.
    8. Robert J. Johnston & Kevin J. Boyle & Wiktor (Vic) Adamowicz & Jeff Bennett & Roy Brouwer & Trudy Ann Cameron & W. Michael Hanemann & Nick Hanley & Mandy Ryan & Riccardo Scarpa & Roger Tourangeau & Ch, 2017. "Contemporary Guidance for Stated Preference Studies," Journal of the Association of Environmental and Resource Economists, University of Chicago Press, vol. 4(2), pages 319-405.
    9. George Parsons & Kelley Myers, 2017. "Fat tails and truncated bids in contingent valuation: an application to an endangered shorebird species," Chapters, in: Daniel McFadden & Kenneth Train (ed.), Contingent Valuation of Environmental Goods, chapter 2, pages 17-42, Edward Elgar Publishing.
    10. Syed A. Shah & Dana L. K. Hoag & John Loomis, 2017. "Is willingness to pay for freshwater quality improvement in Pakistan affected by payment vehicle? Donations, mandatory government payments, or donations to NGO’s," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 19(4), pages 807-818, October.
    11. JongRoul Woo & Sesil Lim & Yong-Gil Lee & Sung-Yoon Huh, 2018. "Financial Feasibility and Social Acceptance for Reducing Nuclear Power Plants: A Contingent Valuation Study," Sustainability, MDPI, vol. 10(11), pages 1-16, October.
    12. Godwin Kofi Vondolia & Håkan Eggert & Ståle Navrud & Jesper Stage, 2014. "What do respondents bring to contingent valuation? A comparison of monetary and labour payment vehicles," Journal of Environmental Economics and Policy, Taylor & Francis Journals, vol. 3(3), pages 253-267, November.
    13. Tanvir Pavel & Pallab Mozumder, 2019. "Household Preferences for Managing Coastal Vulnerability: State vs. Federal Adaptation Fund," Economics of Disasters and Climate Change, Springer, vol. 3(3), pages 281-304, October.
    14. Funahashi, Hiroaki & Shibli, Simon & Sotiriadou, Popi & Mäkinen, Jarmo & Dijk, Bake & De Bosscher, Veerle, 2020. "Valuing elite sport success using the contingent valuation method: A transnational study," Sport Management Review, Elsevier, vol. 23(3), pages 548-562.
    15. Suziana Hassan & Søren Bøye Olsen & Bo Jellesmark Thorsen, 2018. "Appropriate Payment Vehicles in Stated Preference Studies in Developing Economies," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 71(4), pages 1053-1075, December.
    16. Lyssenko, Nikita & Martinez-Espineira, Roberto, 2009. "`Been there done that': Disentangling option value effects from user heterogeneity when valuing natural resources with a use component," MPRA Paper 21976, University Library of Munich, Germany, revised 08 Apr 2010.
    17. Dardanoni, Valentino & Guerriero, Carla, 2021. "Young people' s willingness to pay for environmental protection," Ecological Economics, Elsevier, vol. 179(C).
    18. Godwin Kofi Vondolia & Håkan Eggert & Ståle Navrud & Jesper Stage, 2014. "What do respondents bring to contingent valuation? A comparison of monetary and labour payment vehicles," Journal of Environmental Economics and Policy, Taylor & Francis Journals, vol. 3(3), pages 253-267, November.
    19. Breeze, T.D. & Bailey, A.P. & Potts, S.G. & Balcombe, K.G., 2015. "A stated preference valuation of the non-market benefits of pollination services in the UK," Ecological Economics, Elsevier, vol. 111(C), pages 76-85.
    20. Maria Antonieta Cunha-e-Sa & Til Dietrich & Ana Faria & Luis Catela Nunes & Margarida Ortigao & Renato Rosa & Carina Vieira da Silva, 2023. "Crowdfunding vs. Taxes: Does the payment vehicle influence WTP for Ecosystem Services protection?," Nova SBE Working Paper Series wp657, Universidade Nova de Lisboa, Nova School of Business and Economics.
    21. Louinord Voltaire & Abdelhak Nassiri & Denis Bailly & Jean Boncoeur, 2011. "Effet d’une taxe et d’un droit d’entrée sur les consentements à payer des touristes pour de nouvelles réserves naturelles dans le golfe du Morbihan," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 92(2), pages 183-209.
    22. Nthambi, Mary & Wätzold, Frank & Markova-Nenova, Nonka, 2018. "Quantifying benefit losses from poor governance of climate change adaptation projects: A discrete choice experiment with farmers in Kenya," MPRA Paper 94678, University Library of Munich, Germany.
    23. Basu, Amita & Srinivasan, Narayanan, 2021. "A Modified Contingent Valuation Method Shrinks Gain-Loss Asymmetry," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 94(C).

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    Keywords

    Environmental Economics and Policy;

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