A logit model is used to estimate the elasticities and cross elasticities for freight transport services. The model is applied to a sample of cherry and apple shipments. The performance of the model in explaining choice of transportation method is highly satisfactory. Estimated coefficients, with one exception, have expected signs and are statistically significant.
The contingent valuation method (CVM) was used to measure the value of a community service, rural transit, that has both user and nonuser values. Traditional focus groups and a CVM questionnaire provide estimates of willingness to pay and willingness to accept. Tobit analysis was used to test relationships among the variables. Income was not related to the amount of perceived benefit, but the alternative desire to provide transit for others was statistically significant. Ranges for possible total benefits, user and nonuser, are provided for the test transit systems. Proper aggregation of benefits to the population was found to be critical. Q uantifying benefits for publicly provided services and goods is an essential but difficult task for determining optimum provision levels. What is the worth to society of public transit, a new park, better schools, or preservation of an endangered species? Often the arguments over provision of these public goods stem from measurement problems; we truly do not know the overall community benefits of providing free public transit, or the future impact of the loss of a particular species. If there are substantial nonuser benefits, nonmarket evaluation Kathleen M.
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