Incommensurability and Monetary Valuation
At the very heart of environmental cost-benefit analysis (CBA) is the claim that benefits and costs can be expressed in terms of money and hence made comparable. In particular, CBA puts all benefits and costs on a cardinal, monetary scale: it assumes monetary commensurability. A significant literature in ethics and political philosophy has arisen which doubts this assumption, but has so far had little impact on the theory or practice of CBA. In light of this, the paper assesses the defense of monetary commensurability offered by cost-benefit analysts and the wider economics literature.
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.:
- Payne, John W & Bettman, James R & Schkade, David A, 1999. "Measuring Constructed Preferences: Towards a Building Code," Journal of Risk and Uncertainty, Springer, vol. 19(1-3), pages 243-270, December.
- Arild Vatn, 2004. "Environmental Valuation and Rationality," Land Economics, University of Wisconsin Press, vol. 80(1), pages 1-18.
- Irwin, Julie R & Slovic, Paul & Lichtenstein, Sarah & McClelland, Gary H., 1993. "Preference Reversals and the Measurement of Environmental Values," Journal of Risk and Uncertainty, Springer, vol. 6(1), pages 5-18, January.
- Broome, John, 1978. "Trying to value a life," Journal of Public Economics, Elsevier, vol. 9(1), pages 91-100, February.
- Carol Mansfield & George L. Van Houtven & Joel Huber, 2002. "Compensating for Public Harms: Why Public Goods Are Preferred to Money," Land Economics, University of Wisconsin Press, vol. 78(3), pages 368-389.
- Chipman, John S & Moore, James C, 1978. "The New Welfare Economics, 1939-1974," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(3), pages 547-584, October.
- Frey, Bruno S & Oberholzer-Gee, Felix & Eichenberger, Reiner, 1996. "The Old Lady Visits Your Backyard: A Tale of Morals and Markets," Journal of Political Economy, University of Chicago Press, vol. 104(6), pages 1297-1313, December.
- John M. Gowdy, 2004.
"The Revolution in Welfare Economics and Its Implications for Environmental Valuation and Policy,"
University of Wisconsin Press, vol. 80(2), pages 239-257.
- John M. Gowdy, 2003. "The Revolution in Welfare Economics and its Implications for Environmental Valuation and Policy," Rensselaer Working Papers in Economics 0315, Rensselaer Polytechnic Institute, Department of Economics.
- Frey, Bruno S & Oberholzer-Gee, Felix, 1997. "The Cost of Price Incentives: An Empirical Analysis of Motivation Crowding-Out," American Economic Review, American Economic Association, vol. 87(4), pages 746-755, September.
- Goodin, Robert E, 1994. "Selling Environmental Indulgences," Kyklos, Wiley Blackwell, vol. 47(4), pages 573-596.
- Viscusi, W. Kip, 1998. "Rational Risk Policy: The 1996 Arne Ryde Memorial Lectures," OUP Catalogue, Oxford University Press, number 9780198293637, April.
- Satterfield, Terre & Slovic, Paul & Gregory, Robin, 2000. "Narrative valuation in a policy judgment context," Ecological Economics, Elsevier, vol. 34(3), pages 315-331, September.
- Ready Richard C. & Whitehead John C. & Blomquist Glenn C., 1995. "Contingent Valuation When Respondents Are Ambivalent," Journal of Environmental Economics and Management, Elsevier, vol. 29(2), pages 181-196, September.
- Bromley, Daniel W., 1990. "The ideology of efficiency: Searching for a theory of policy analysis," Journal of Environmental Economics and Management, Elsevier, vol. 19(1), pages 86-107, July.
- Krupnick, Alan J & Cropper, Maureen L, 1992. "The Effect of Information on Health Risk Valuations," Journal of Risk and Uncertainty, Springer, vol. 5(1), pages 29-48, February.
- Brekke, Kjell Arne, 1997. "The numeraire matters in cost-benefit analysis," Journal of Public Economics, Elsevier, vol. 64(1), pages 117-123, April.
- Nick Hanley & Jennifer Milne, "undated". "Ethical Beliefs and Behaviour in Contingent Valuation," Working Papers Series e96/1, University of Stirling, Division of Economics.
- Spash, Clive L., 2000. "Ecosystems, contingent valuation and ethics: the case of wetland re-creation," Ecological Economics, Elsevier, vol. 34(2), pages 195-215, August.
- List, John A., 2004. "Substitutability, experience, and the value disparity: evidence from the marketplace," Journal of Environmental Economics and Management, Elsevier, vol. 47(3), pages 486-509, May.
- John List, 2004. "Substitutability, experience, and the value disparity: Evidence from the marketplace," Framed Field Experiments 00175, The Field Experiments Website.
- Henrik Svedsäter, 2003. "Economic Valuation of the Environment: How Citizens Make Sense of Contingent Valuation Questions," Land Economics, University of Wisconsin Press, vol. 79(1), pages 122-135.
- 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.
- 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.
- Kelvin J. Lancaster, 1966. "A New Approach to Consumer Theory," Journal of Political Economy, University of Chicago Press, vol. 74, pages 132-132.
- Amartya K. Sen, 1971. "Choice Functions and Revealed Preference," Review of Economic Studies, Oxford University Press, vol. 38(3), pages 307-317.
- Frey, Bruno S & Jegen, Reto, 2001. " Motivation Crowding Theory," Journal of Economic Surveys, Wiley Blackwell, vol. 15(5), pages 589-611, December. Full references (including those not matched with items on IDEAS)