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Calibration of Willingness-to-Accept

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  • List, John A.
  • Shogren, Jason F.

Abstract

This paper calibrates real and hypothetical willingness-to-accept estimates elicited for consumer goods in a multi-unit, random nth-price auction. Using a within-subject experimental design, we find that people understated their real willingness to accept in the hypothetical regimes, framed both as demand and non-demand revealing. After controlling for personspecific effects, however, hypothetical and real statements are equivalent on the margin.
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Suggested Citation

  • 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.
  • Handle: RePEc:eee:jeeman:v:43:y:2002:i:2:p:219-233
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