Divergence between WTA and WTP Revisited: Livestock Grazing on Public Range
The research reported here provides further empirical support for the contention that there is a divergence between WTA and WTP. The conclusion is based on results from a 2002 survey of Nevada ranchers that asked about willingness to pay for public forage and WTA compensation to part with grazing rights. WTP and WTA are estimated simultaneously, with the estimators used to demonstrate a statistically significant divergence between WTP and WTA. The simultaneous estimation allows us to identify ranch characteristics that influence the discrepancy in valuations. Ranch size, public grazing allotment, financial distress, and long term commitment to ranching are all significant influences on the disparity. We interpret these results both with respect to general differences in welfare measures and with respect to ranch policy.
|Date of creation:||Jul 2005|
|Date of revision:|
|Contact details of provider:|| Postal: P.O. Box 1700, STN CSC, Victoria, B.C., V8W 2Y2|
Phone: (250) 721-8532
Fax: (250) 721-6214
Web page: http://web.uvic.ca/~repa/
More information through EDIRC
When requesting a correction, please mention this item's handle: RePEc:rep:wpaper:2005-06. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (G.C. van Kooten)
If references are entirely missing, you can add them using this form.