Qualitative valuation of environmental criteria through a group consensus based on stochastic dominance
This paper introduces a qualitative valuation method to elicit stakeholders' intensities of preferences for a complex environmental issue and multiple social groups. Environmental valuation studies have shown that in any complex environment with a diversity of environmental services, stakeholders have difficulties using a monetary valuation to make trade-offs between different environmental services. Stated preference methods such as the Contingent Valuation Method (CVM) have been criticised for their individualistic format and assumptions of commensurability between environmental criteria. To alleviate both of these criticisms, we propose a qualitative valuation method. The method contains a discursive step to allow stakeholders to discuss and construct a list of environmental criteria and alternative plans. The list of criteria and plans is subsequently used by a group of experts to formulate an Impact Matrix (IM), which is to be used in the succeeding individualistic steps of the methodology. The first individualistic step consists of asking the stakeholders to rank Alternative Impacts (AIs) in the IM for each single criterion. The stakeholders are then asked to express intensities of their preferences through pairwise comparisons between the AIs of the constructed rank order on each single criterion. These intensities are expressed on a qualitative scale. Subsequently, to provide social intensities of preferences, a social preference (social rank order) is first determined for each single criterion. We propose to use the median value among the intensities of preferences as the social intensity of preference by assuming interpersonal comparability and taking into account stochastic monotonocity. This is a pre-processing step, which allows us to reach social intensities of preferences in the Lar rangeland (Iran), where several social groups have conflicting interests on rangeland services, leading to conflicting preferences on environmental criteria.
If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Kevin W. S. Roberts, 1980. "Interpersonal Comparability and Social Choice Theory," Review of Economic Studies, Oxford University Press, vol. 47(2), pages 421-439.
- Kahneman, Daniel & Ritov, Ilana & Schkade, David A, 1999. "Economic Preferences or Attitude Expressions?: An Analysis of Dollar Responses to Public Issues," Journal of Risk and Uncertainty, Springer, vol. 19(1-3), pages 203-235, December.
- Cookson, Richard, 2000. "Incorporating psycho-social considerations into health valuation: an experimental study," Journal of Health Economics, Elsevier, vol. 19(3), pages 369-401, May.
- Sagoff, M., 1998. "Aggregation and deliberation in valuing environmental public goods:: A look beyond contingent pricing," Ecological Economics, Elsevier, vol. 24(2-3), pages 213-230, February.
- Kahneman, Daniel & Knetsch, Jack L., 1992. "Valuing public goods: The purchase of moral satisfaction," Journal of Environmental Economics and Management, Elsevier, vol. 22(1), pages 57-70, January.
- Richard B. Howarth & Matthew A. Wilson, 2006. "A Theoretical Approach to Deliberative Valuation: Aggregation by Mutual Consent," Land Economics, University of Wisconsin Press, vol. 82(1), pages 1-16.
- van den Bergh, Jeroen C. J. M. & Ferrer-i-Carbonell, Ada & Munda, Giuseppe, 2000. "Alternative models of individual behaviour and implications for environmental policy," Ecological Economics, Elsevier, vol. 32(1), pages 43-61, January.
- Mas-Colell, Andreu & Whinston, Michael D. & Green, Jerry R., 1995. "Microeconomic Theory," OUP Catalogue, Oxford University Press, number 9780195102680, April.
- Arild Vatn, 2004. "Environmental Valuation and Rationality," Land Economics, University of Wisconsin Press, vol. 80(1), pages 1-18.
- Wendy Proctor & Martin Drechsler, 2006. "Deliberative multicriteria evaluation," Environment and Planning C: Government and Policy, Pion Ltd, London, vol. 24(2), pages 169-190, April.
- Johansson,Per-Olov, 1991. "An Introduction to Modern Welfare Economics," Cambridge Books, Cambridge University Press, number 9780521356954, January.
- Diamond, Peter, 1996.
"Testing the Internal Consistency of Contingent Valuation Surveys,"
Journal of Environmental Economics and Management,
Elsevier, vol. 30(3), pages 337-347, May.
- Diamond, P., 1993. "Testing the Internal Consistency of Contingent Valuation Surveys," Working papers 93-1, Massachusetts Institute of Technology (MIT), Department of Economics.
- Spash, Clive L., 2007. "Deliberative monetary valuation (DMV): Issues in combining economic and political processes to value environmental change," Ecological Economics, Elsevier, vol. 63(4), pages 690-699, September.
- Roy Brouwer & Neil Powe & R. Kerry Turner & Ian J. Bateman & Ian H. Langford, 1999. "Public Attitudes to Contingent Valuation and Public Consultation," Environmental Values, White Horse Press, vol. 8(3), pages 325-347, August.
- Spash, Clive L. & Vatn, Arild, 2006. "Transferring environmental value estimates: Issues and alternatives," Ecological Economics, Elsevier, vol. 60(2), pages 379-388, December.
- Cook, Wade D., 2006. "Distance-based and ad hoc consensus models in ordinal preference ranking," European Journal of Operational Research, Elsevier, vol. 172(2), pages 369-385, July.
- Peter A. Diamond & Jerry A. Hausman, 1994. "Contingent Valuation: Is Some Number Better than No Number?," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 45-64, Fall.
- S. Illeris & G. Akehurst, 2002. "Introduction," The Service Industries Journal, Taylor & Francis Journals, vol. 22(1), pages 1-3, January.
- Joel A. Diemer & John R. McKean, 1978. "The Assessment of Community Preference: A Methodology and Case Study," Land Economics, University of Wisconsin Press, vol. 54(2), pages 244-252.
- Fischhoff, Baruch & Welch, Ned & Fredrick, Shane, 1999. "Construal Processes in Preference Assessment," Journal of Risk and Uncertainty, Springer, vol. 19(1-3), pages 139-164, December.
- Wade D. Cook & Moshe Kress, 1985. "Ordinal Ranking with Intensity of Preference," Management Science, INFORMS, vol. 31(1), pages 26-32, January. Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:eee:ecolec:v:67:y:2008:i:2:p:253-264. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.