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Measuring Passive Use Value: Pledges, Donations and CV Responses in Connection with an Important Natural Resource

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  • M. Shechter

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  • B. Reiser
  • N. Zaitsev

Abstract

This paper examines monetary valuations of lost passive-use benefits associated with damage to a unique environmental resource – a national park, elicited through contingent valuation, and compares them with actual donations to the same end, where the latter are interpreted as a quasi-market expression of willingness to pay for non-market resource services. The relationships between the two valuation approaches were investigated in the specific context of an environmental episode which damaged a unique natural endowment, Israel's Carmel National Park. The empirical analysis is based on data from two sample surveys; one sample was drawn from the population of people who either pledged or pledged and donated during a fund-raising campaign following the episode, with the proceeds dedicated to rehabilitation or prevention of future episodes; the second sample was drawn from the general population of the country. The results cannot be interpreted as providing unqualified support for the reliability of contingent valuation as a means for obtaining passive use values. Copyright Kluwer Academic Publishers 1998

Suggested Citation

  • M. Shechter & B. Reiser & N. Zaitsev, 1998. "Measuring Passive Use Value: Pledges, Donations and CV Responses in Connection with an Important Natural Resource," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 12(4), pages 457-478, December.
    • Handle: RePEc:kap:enreec:v:12:y:1998:i:4:p:457-478
    DOI: 10.1023/A:1008397411466
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    Cited by:

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    2. Vladimir Otrachshenkoy, 2014. "The Passive Use Value of the Mediterranean Forest," Working Papers 2014.86, Fondazione Eni Enrico Mattei.
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    4. Wiser, Ryan H., 2007. "Using contingent valuation to explore willingness to pay for renewable energy: A comparison of collective and voluntary payment vehicles," Ecological Economics, Elsevier, vol. 62(3-4), pages 419-432, May.
    5. Aline Chiabai & Ibon Galarraga & Anil Markandya & Unai Pascual, 2013. "The Equivalency Principle for Discounting the Value of Natural Assets: An Application to an Investment Project in the Basque Coast," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 56(4), pages 535-550, December.
    6. Aline Chiabai & Chiara Travisi & Anil Markandya & Helen Ding & Paulo Nunes, 2011. "Economic Assessment of Forest Ecosystem Services Losses: Cost of Policy Inaction," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 50(3), pages 405-445, November.
    7. Barrio, Melina & Loureiro, Maria L., 2010. "A meta-analysis of contingent valuation forest studies," Ecological Economics, Elsevier, vol. 69(5), pages 1023-1030, March.
    8. Ojea, Elena & Loureiro, Maria L., 2011. "Identifying the scope effect on a meta-analysis of biodiversity valuation studies," Resource and Energy Economics, Elsevier, vol. 33(3), pages 706-724, September.
    9. Schilizzi, Steven, 1999. "Deciding between development and preservation of a natural asset: a way out of the impasse?," 1999 Conference (43th), January 20-22, 1999, Christchurch, New Zealand 124547, Australian Agricultural and Resource Economics Society.

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    More about this item

    Keywords

    passive-use benefits; existence value; CVM; donations; quasi-market valuations; JEL Classification: Q20; Q24; Q26;
    All these keywords.

    JEL classification:

    • Q20 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - General
    • Q24 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Land
    • Q26 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Recreational Aspects of Natural Resources

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