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Interval Bidding in a Distribution Elicitation Format

Author

Listed:
  • Pierre-Alexandre Mahieu

    (LEMNA, University of Nantes)

  • François-Charles Wolff

    (LEMNA, University of Nantes and INED)

  • Jason Shogren

    (Department of Economics and Finance, University of Wyoming)

Abstract

Interval bidding allows people to report a range of values for a non-market good. Herein we allow people to choose their distribution over this range endogenously. Using elephant protection as our motivating example, our results suggest the shape of the distribution greatly varies across people and the degree of uncertainty is proportional to their willingness to pay. We also find that both the expected willingness to pay and the degree of uncertainty differ when the valuation exercise is real versus hypothetical.

Suggested Citation

  • Pierre-Alexandre Mahieu & François-Charles Wolff & Jason Shogren, 2014. "Interval Bidding in a Distribution Elicitation Format," Working Papers 2014.16, FAERE - French Association of Environmental and Resource Economists.
    • Handle: RePEc:fae:wpaper:2014.16
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    References listed on IDEAS

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    Cited by:

    1. Schlag, Karl H. & van der Weele, Joël J., 2015. "A method to elicit beliefs as most likely intervals," Judgment and Decision Making, Cambridge University Press, vol. 10(5), pages 456-468, September.
    2. Olivier Chanel & Khaled Makhloufi & Mohammad Abu-Zaineh, 2017. "Can a Circular Payment Card Format Effectively Elicit Preferences? Evidence From a Survey on a Mandatory Health Insurance Scheme in Tunisia," Applied Health Economics and Health Policy, Springer, vol. 15(3), pages 385-398, June.
    3. Champonnois, Victor & Chanel, Olivier & Makhloufi, Khaled, 2018. "Reducing the anchoring bias in multiple question CV surveys," Journal of choice modelling, Elsevier, vol. 28(C), pages 1-9.
    4. repec:cup:judgdm:v:10:y:2015:i:5:p:456-468 is not listed on IDEAS
    5. Luigi La Riccia & Vanessa Assumma & Marta Carla Bottero & Federico Dell’Anna & Angioletta Voghera, 2023. "A Contingent Valuation-Based Method to Valuate Ecosystem Services for a Proactive Planning and Management of Cork Oak Forests in Sardinia (Italy)," Sustainability, MDPI, vol. 15(10), pages 1-28, May.
    6. Moritz A. Drupp & Zachary M. Turk & Ben Groom & Jonas Heckenhahn, 2023. "Limited substitutability, relative price changes and the uplifting of public natural capital values," Papers 2308.04400, arXiv.org, revised Mar 2024.
    7. Persichina, Marco & Kriström, Bengt, 2022. "Self-selected intervals in psycho-physic experiments and the measurement of willingness to pay," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 98(C).
    8. Voltaire, Louinord, 2017. "Pricing Future Nature Reserves Through Contingent Valuation Data," Ecological Economics, Elsevier, vol. 135(C), pages 66-75.

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    More about this item

    Keywords

    Contingent Valuation; Uncertainty; Distribution format.;
    All these keywords.

    JEL classification:

    • C5 - Mathematical and Quantitative Methods - - Econometric Modeling
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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