Narrow Results

By exploiting unique contingent valuation data from rural Indian households, we estimate the individuals’ willingness to pay to reduce risk from household air pollution, using the double-bounded dichotomous choice model. The estimated mean annual willingness to pay for such risk reduction is obtained as INR 886.59 accounting for approximately 1% of the annual household income. Although conducted in a different time and sample, the ratio of our estimated WTP to average household expenditure lies in a comparable range with extant literature. Furthermore, the estimated WTP lies in a moderately comparable range to the market price of devices that reduces HAP exposure. The sensitivity analysis of the estimated willingness to pay with respect to relevant behavioral and health factors further provides scope for policy prescriptions.

Household waste sorting is important to actively promote the construction of beautiful countryside and beautiful city via household waste reduction or recycling. The Law of China on the Prevention and Control of Solid Waste Environmental Pollution indicates that household waste treatment fee system follows the principle of “who produces, who pays”, reflecting differentiated management such as classified pricing and metering fees. This research mainly investigates the determinants of willingness to pay (WTP) for household waste sorting in China. This study mainly compares different effects of the waste sorting information publicity, waste sorting facilities diversity, perceived convenience and reference group behavior on WTP via multiple and logistic regression. It also explores gender and regional heterogeneity for WTP of household waste sorting in China. This study also analyzes how individuals respond to different levels of WTP fees of household waste sorting via logistic regression. The empirical results reveal that the facilities diversity of waste sorting has the highest effect on WTP for household waste sorting, followed by perceived convenience, publicity and reference group behaviors. Females have relatively lower WTP than males. Education has significant positive effects on males’ waste sorting WTP. In logistic regression, reference group has larger effect on WTP compared with other antecedents. It is important to enhance facilities and publicity of household waste sorting. This research is of great significance to increase the household waste sorting behavior, enhance the governance system of household waste sorting via the collaboration of government, medias, communities and individuals.

Urban river restoration brings about ecological improvements to the urban environment and generates social benefits. However, previous studies have paid insufficient attention to investigating the social value of urban river restoration, especially its impacts on residents’ living conditions. This study aimed to examine how urban river restoration affects residents’ life satisfaction, using life satisfaction data to evaluate the value of river restoration. This study examines the effects of urban river restoration in Nanyang, China, from 2015 to 2019, combining public opinion surveys and water quality monitoring data. Using a difference-in-differences (DID) approach, the results demonstrate a significant positive impact of river restoration on life satisfaction. This improvement is attributed to enhanced water quality, increased recreational opportunities and better aesthetic environments. Robustness checks, including placebo tests and ordered probit models, confirm the validity of the findings. Economic valuation through the life satisfaction approach estimates residents’ willingness to pay (WTP) for river restoration at 24,780 CNY-27,129 CNY (3,591–3,928 USD) per year. For a one standard deviation improvement in water quality, the WTP is 12,631 CNY (1,830 USD) per year for biological oxygen demand (BOD) reduction and 13,116 CNY (1,900 USD) per year for chemical oxygen demand (COD) reduction. These findings underscore the importance of integrating urban river restoration with social well-being considerations, providing policymakers with evidence to prioritize urban river restoration as part of sustainable urban development strategies.

This paper measures the impact of a micronutrient training among women farmers with young children on the demand for zinc-enhanced varieties. We conducted a randomized control trial by providing micronutrient training in randomly selected villages in May–June 2017. These farmers were also given information on the biofortification of rice with zinc. One week after the training, we conducted a phone-based bidding for high-zinc rice seeds among trainees and their counterparts in control villages. More than 70% of the treated female farmers participated in the bidding for high-zinc rice seed, but only 23% of the women in the control group participated in the bidding. Female farmers who self-reported that they had input into most or all decisions on the use of income generated from rice bid a higher price than other female farmers. The results suggest the effectiveness of the micronutrient training, at least in a short period immediately after the training.

We apply the contingent valuation method to estimate how much a specific group of society, which is relatively prone to falling victim to crime, is willing to pay to reduce the likelihood of being the victim of violent crime. Based on responses from 1122 students, we found that younger and female students revealed that they are more inclined to pay so as to avoid violent crime. Students' field of study, cautious behavior and a strong opinion about policies and payment vehicles with potential to reduce the risk of crime are key determinants of the willingness to pay.

The choice to visit a park depends on individual preferences and understanding these preferences will be useful to parks’ management decisions on facilities and infrastructure needs and maintenance. Choice experiment (CE) method is used to inform parks’ management in Kuala Lumpur City, Malaysia on the social values of attributes available at the park. The latent class (LC) model is used to explore the effect of taste heterogeneity on the attributes. The results in the LC models indicate that the most preferred attribute at parks in Kuala Lumpur is recreational facilities. The willingness to pay (WTP) for these facilities range from RM3.25 to RM39.96. This shows that individuals can afford to pay up to RM40.00 per visit for such improvement in the attributes.

This study used the contingent valuation method (CVM) to measure the benefits of improved air quality in Metro Manila through the adoption of cleaner public transportation. A single-bound dichotomous choice contingent valuation approach using the referendum format was used to estimate the willingness to pay (WTP) from a survey of 1,000 households. The study arrived at WTP estimates for the proposed program ranging from USD3.85 to USD5.77 per month. Income elasticity of WTP was estimated at 0.49. The study also investigated the impact of using secret ballots for eliciting WTP responses to minimize "yea-saying" behavior and reduce social desirability bias.

The coastal zone in Bangladesh is the most powerfully lethal due to cyclones and storm hazard where 29% of the total population reside. Thus, collective disaster mitigation measures are urgent, and it is important to understand people’s pro-social attitude toward such countermeasures. However, few studies on this issue have been conducted in the context of developing countries, such as Bangladesh, and we therefore address this issue. We made a questionnaire survey of 1,000 respondents and elicited (i) a willingness to donate their labor (WDL) and (ii) a willingness to pay (WTP) to collective countermeasures for avoiding the damages from cyclones and associated disasters. With this data, we examine WDL and WTP in relation to respondents’ occupation, education and income. The novelty lies in offering respondents an option of choosing WDL and/or WTP in the questionnaire. The study finds that the poor and less educated people are likely to choose WDL and willing to donate more labor, while rich and educated people are likely to choose WTP and willing to donate more money. However, we also find that voluntary labor donation from poor and less educated people is significant in that donation from poor and less educated people exceeds that from rich and educated people on per-household basis. Poor and less educated people may be more pro-social and WDL is an important source of contribution to be utilized in natural disaster mitigation of developing countries. This finding can be considered a useful guidance for future policies in more general cases, since it is consistent with observed labor donations for the recovery in the 2011 earthquake off the Pacific coast of Tohoku, Japan.

Willingness to pay (WTP) for pork with different traceability information was investigated in 143 consumers in Wuxi, Jiangsu Province, China, using experimental auctions combined with real choice experiments based on incentive compatibility and external validity of non-hypothetical elicitation. The results indicated that participants had the highest WTP for government certification information, attached the greatest importance to farming information and comprehensive traceability information on the whole. Therefore, emphasis of Chinese government should be placed on prevention and regulation of potential safety risks in pig farming. Also, effective transfer of traceability information should be guaranteed through government certification.

To address the lack of awareness on environmental values, this study estimates the environmental value of mountain ranges (Jeongmaek) connected to the Baekdudaegan mountain system in South Korea. Seven Jeongmaek are studied during 2011–2016 using a questionnaire survey and the contingent valuation method. Based on willingness to pay (WTP) for biodiversity, this study finds that the lowest estimated WTP was KRW 5813 for Geumbuk and Hannam-Geumbuk Jeongmaek, and the highest value was KRW 120,471 for Hanbuk Jeongmaek. These differences in WTP appear to be significantly determined by education level and number of visits of respondents.

The arguments put forward by Bulow and Rogoff [Brookings Papers on Economic Activity, 2 (1988) 675; Quarterly Journal of Economics, 106 (1991) 1219] against sovereign debt buybacks are re-examined in a willingness-to-pay framework. This paper argues that the Bulow–Rogoff framework treats default by a debtor as an event with no dead-weight loss, and, as such, underestimates the potential gains from a buyback. The willingness-to-pay framework allows dead-weight costs of default to be introduced in a consistent and simple fashion into the buybacks calculus. Two versions of this framework are considered. First, a model in which the default costs induce an all-or-nothing default decision is analyzed. In this case, an ambiguous result is derived in which the variability of the debtor's income determines whether (small) buybacks are beneficial to the debtor, even though expected total transfers to the creditor increase, consistent with Bulow–Rogoff. In a second version, default costs are modeled so as to induce at most a partial default. This model corresponds most closely, in terms of the repayment behavior of the sovereign debtor, to the models used by Bulow and Rogoff. It is shown that small buybacks are always beneficial to the debtor in this case. The second version is extended to include an investment opportunity. Only if the country has sufficiently scarce resources when the investment can be made will a buyback be harmful to the interests of the debtor.

When conjoint experiments are applied to study complex decision making that wears many attributes, this sometimes results in problems of information overload and respondent burden, potentially weakening the validity of such experiments. To reduce the impact of these potential problems, an integrated hierarchical survey design (IHSD) to be used with Kano model for large conjoint analysis has been suggested. The author compared the utility of mobile phone's attributes for each market by analysing empirical data which wear obtained from 5,400 respondents (1,800 respondents per country) in UK, Saudi Arabia, and Philippines. In total 2,400 respondents in four segments. Firstly, UK showed importance mainly towards Camera, Memory_size, LTE, Brand, FM_transmitter which are the necessary things for a good smart phone. Secondly, Philippines revealed choice largely towards Camera, Brand, External_momory, Mobile_TV, and NFC. Finally, Saudi Arabia selected primarily Brand, Camera, External_memory, 3G, and GPS. The results of this study were successfully implemented for product planning, product development, and marketing strategy in terms of price setting, features prioritising, and optimal designing for new products in the mobile phone company.

Rivers provide us with general life support, water supply, transportation, waste assimilation, and a wide array of recreation and tourism activities. However, due to undervaluation of the functions of rivers and river ecosystems, rivers of the world have been overexploited or degraded. To tackle the problem of undervaluation, this study measures the benefits of Ping River quality improvement using the contingent valuation method (CVM). The study estimates the lower-bound and higher-bound annual benefits gained by the residents of Chiang Mai District from the river quality improvement as 42,453,000 THB (1.25 million USD) and 102,835,317 THB (3 million USD), respectively. Moreover, in an attempt to explain the determinants of willingness to pay (WTP) statements, it was found that both behavioural and attitudinal factors affect WTP positively. The study also found distance decay, where WTP statements decreased with increased distance. And rather interestingly, male respondents tend to pay more than their female counterparts. Two other socioeconomic factors which affected WTP positively and significantly are education, partly because it can lead to a well paying and stable job, and normally raises the awareness of citizens towards environmental conservation, as well as income.

Air pollution in Tehran, the capital city of Iran, has led to poor air quality, with consequences for the health of residents. This study uses a contingent valuation method to estimate the willingness to pay of Tehran’s residents for air quality improvement. Open-ended and stochastic payment card approaches were used to determine the willingness to pay of the sample. The mean individual willingness to pay for a specified air quality improvement was approximately US $6.40 per month, and the variance of the willingness to pay was approximately U.S. $4, as estimated using the SPC approach. Open-ended questions revealed that the mean individual willingness to pay was approximately U.S. $4 per month. Significant positive effects of income, use of public transportation, marriage, job and health status on the mean willingness to pay were observed. Although most respondents believed that air quality improvement is the government’s responsibility, they are willing to bear the cost as a supplement to achieve better air quality.

Environmental degradation has been one of the major global concerns in the last few decades. Efforts are made to improve our environment including how to alter consumers’ preferences toward the use of environmental-friendly products. We conduct an online laboratory experiment to investigate the effectiveness of information and nudges regarding green products using social (cultural) identity-specific campaigns. Our study shows that information and green nudges are unable to alter subjects’ risk aversion and time preference. However, green nudges are effective to motivate subjects to allocate more to green product and that differs the effectiveness between information and green nudges in our context. Lastly, we find that some green perceptions are associated with subjects’ willingness to pay for green products and characteristics. We conclude with a discussion of how to effectively deliver nudges in promoting green consumption.

Accounting for socioeconomic and demographic variables, as well as country-specific effects, households' marginal willingness to pay for climate is revealed using European data on life-satisfaction. Individuals located in areas with lower average levels of sunshine and higher average levels of relative humidity are less satisfied as are individuals in locations subject to significant seasonal variation in monthly mean temperatures and rain days. Ranking regions by climate households appear strongly to favor the Mediterranean climate over the climate of Northern Europe.

Following the UK’s hosting of the United Nations Convention of the Parties Climate Summit in 2021, political targets for reducing greenhouse gas emissions — “Net-Zero” — have gained momentum. We address the gap in how public preferences are accounted for in climate decision-making by applying Contingent-Valuation techniques which ask people to state their Willingness-to-Pay (WTP) for the UK’s 2050 Net-Zero target. Mean WTP is £37.57/household to support Net-Zero (median £11.25), with a present-value of £2.3 billion across UK households. While younger people are more likely to experience the long-term impacts of climate change, older generations are willing to pay more to support it, suggesting that public support for Net-Zero is largely based on “nonuse” benefits, rather than direct “use” benefits to oneself. The COVID-19 epidemic affected WTP bids in a quarter of respondents. Finally, we explore how choice of positive or normative discount rate affects policy conclusions when monetizing consumer preferences.

Worldwide, aquatic ecosystems subsist on water leftover from agricultural, industrial, and municipal water uses. While bi-national agreements have temporarily provided water for the Colorado River Delta (Delta) in Mexico, dedication of water to support aquatic ecosystems is rare. High-level U.S. – Mexico negotiations are underway to consider whether and how to provide water for the Delta once the current pilot program ends in 2017. Better understanding of the value of aquatic ecosystems can be useful in securing water to sustain them. This paper reports research findings on values held by visitors from nearby Mexican communities for environmental flows in the Delta. Based on surveys conducted at five recreation locations, this contingent valuation methodology (CVM) study assesses visitors' willingness-to-pay (WTP) for an assured source of water to sustain the Delta's ecosystem and the recreational opportunities it provides. Results indicate strong support for Delta restoration, with the majority of respondents indicating positive WTP to ensure adequate amounts of water to sustain a healthy and vibrant Delta ecosystem. Econometric model results indicate a median WTP ranging from $97 to $168 MXN (approximately $7–$13 USD at the time of analysis) per car per entry. These values represent only a subset of recreational users, and recreation values are only one of many components of the ecosystem services provided by the Delta. While only a fraction of recreation value and total economic value, it is important to understand values held by local recreation visitors. These values gauge support for preserving aquatic ecosystems in nearby communities. Furthermore, values held in the local area affect water management and policy decisions regarding restoration of this unique aquatic ecosystem.

Over the past few years, several empirical studies have estimated the economic benefits of treating and reusing wastewater for different purposes and in different countries. This work has resulted in an expanded data pool potentially usable for evaluating the social and economic implications of wastewater investments, particularly those incorporating reuse projects. We present the results of a systematic and comprehensive review of available empirical studies that assessed individual willingness-to-pay (WTP) estimates of recycled wastewater. Using a meta-analysis method (MA), we investigated the results of 84 WTP estimates from 22 international studies covering 12 countries. From our general meta-regression model, we estimated the mean WTP for recycled wastewater at US$ 52.62 per-household/per-year. We find that WTP can vary in a systematic and predictable way with respect to key factors that determine an individual’s WTP for recycled water, such as socio-economic and contextual characteristics as well as the individuals’ attitudes and perceptions concerning recycled water. We demonstrate that such categories of variables are important for the potential use of MA for value transfer. This finding can be useful to inform and guide research and development on future empirical valuation studies, and to facilitate the use of value-transfer methods through the MA model.

A procedure to estimate the economically efficient site- or system-specific treatment objective for enteric viruses in drinking water is presented. The health benefits of treatment are estimated using an existing quantitative microbiological risk assessment model for Rotavirus, which yields a reduction in burden of disease, measured in DALYs. The community’s willingness to pay for this reduced disease burden is then inferred using an estimate of the value of an avoided DALY from the literature. Economically efficient treatment occurs where the marginal cost of additional treatment equals the marginal benefit in terms of willingness to pay for avoided illness. In a case study on a small water system, capital and operating costs are estimated for four alternative treatment levels using commercially available UV disinfection systems. The case study results compare the economically efficient virus disinfection level, risk of infection, and burden of disease to international guidelines. A sensitivity analysis suggests that source water quality, population served, and the dose–response model are key inputs. Site-specific treatment objectives offer a viable alternative to prescribed national standards while respecting water safety and local autonomy.