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Alternative Payment Vehicles in Contingent Valuation: The Case of Genetically Modified Foods


  • Kontoleon, Andreas
  • Yabe, Mitsuyasu
  • Darby, Laura


In this paper, a secondary consumer food survey is used to explore the role of the payment vehicle in contingent valuation. More specifically, the paper investigates the household willingness-to-pay in the UK for a GM and non-GM labelling program under two alternative payment vehicles: 1) a standard product tax, under which consumers must trade-off some of their personal income for the labelling program; and 2) a taxation reallocation scheme, whereby consumers must trade-off some amount of their household’s taxation money that is currently spent on other government-funded goods. Contrary to previous valuation research, the willingness-to-pay under each vehicle is not found to be statistically significantly different, suggesting that in the case study investigated here, the marginal values of private income and other public goods in the UK are approximately equal.

Suggested Citation

  • Kontoleon, Andreas & Yabe, Mitsuyasu & Darby, Laura, 2005. "Alternative Payment Vehicles in Contingent Valuation: The Case of Genetically Modified Foods," MPRA Paper 1827, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:1827

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    References listed on IDEAS

    1. Hadker, Nandini & Sharma, Sudhir & David, Ashish & Muraleedharan, T. R., 1997. "Willingness-to-pay for Borivli National Park: evidence from a Contingent Valuation," Ecological Economics, Elsevier, vol. 21(2), pages 105-122, May.
    2. Ellen Moons, 2003. "The development and application of economic valuation techniques and their use in environmental policy - A survey," Energy, Transport and Environment Working Papers Series ete0307, KU Leuven, Department of Economics - Research Group Energy, Transport and Environment.
    3. S. V. Ciriacy-Wantrup, 1947. "Capital Returns from Soil-Conservation Practices," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(4_Part_II), pages 1181-1196.
    4. Schlapfer, Felix, 2006. "Survey protocol and income effects in the contingent valuation of public goods: A meta-analysis," Ecological Economics, Elsevier, vol. 57(3), pages 415-429, May.
    5. Cameron, Trudy Ann & James, Michelle D, 1987. "Efficient Estimation Methods for "Closed-ended' Contingent Valuation Surveys," The Review of Economics and Statistics, MIT Press, vol. 69(2), pages 269-276, May.
    6. Richard T. Carson, 2011. "Contingent Valuation," Books, Edward Elgar Publishing, number 2489.
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    Cited by:

    1. Stithou, Mavra, 2009. "Respondent Certainty and Payment Vehicle Effect in Contingent Valuation: an Empirical Study for the Conservation of Two Endangered Species in Zakynthos Island, Greece," Stirling Economics Discussion Papers 2009-21, University of Stirling, Division of Economics.
    2. Kyriaki Remoundou & Fikret Adaman & Phoebe Koundouri & Paulo Nunes, 2014. "Is the value of environmental goods sensitive to the public funding scheme? Evidence from a marine restoration programme in the Black Sea," Empirical Economics, Springer, vol. 47(4), pages 1173-1192, December.
    3. Kyriaki Remoundou & Fikret Adaman & Phoebe Koundouri & Paulo Nunes, "undated". "Is the Value of Environmental Goods Sensitive to the Source of Public Funding? Evidence from a Marine Restoration Programme in the Black Sea," DEOS Working Papers 1321, Athens University of Economics and Business.
    4. Louinord Voltaire & Abdelhak Nassiri & Denis Bailly & Jean Boncoeur, 2011. "Effet d’une taxe et d’un droit d’entrée sur les consentements à payer des touristes pour de nouvelles réserves naturelles dans le golfe du Morbihan," Review of Agricultural and Environmental Studies - Revue d'Etudes en Agriculture et Environnement, INRA Department of Economics, vol. 92(2), pages 183-209.
    5. Jürgen Meyerhoff & Morten Mørkbak & Søren Olsen, 2014. "A Meta-study Investigating the Sources of Protest Behaviour in Stated Preference Surveys," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 58(1), pages 35-57, May.
    6. Paulo A.L.D. Nunes & Chiara M. Travisi, 2006. "Comparing Tax and Tax Reallocations Payments in Financing Rail Noise Abatement Programs: Results from a CE valuation study in Italy," Working Papers 2006.95, Fondazione Eni Enrico Mattei.
    7. Achyut Kafle & Stephen K. Swallow & Elizabeth C. Smith, 2015. "Does Public Funding Affect Preferred Tradeoffs and Crowd-In or Crowd-Out Willingness to Pay? A Watershed Management Case," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 60(3), pages 471-495, March.
    8. Voltaire, Louinord & Nassiri, Abdelhak & Bailly, Denis & Boncoeur, Jean, 2011. "Testing for Consistency in Tourists' Willingness to Pay for New Nature Reserves in the Gulf of Morbihan (France)," 2011 International Congress, August 30-September 2, 2011, Zurich, Switzerland 114378, European Association of Agricultural Economists.

    More about this item


    Payment Vehicles; Contingent Valuation:;

    JEL classification:

    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • Q18 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Agriculture - - - Agricultural Policy; Food Policy


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