An experimental investigation of explanations for inconsistencies in responses to second offers in double referenda

Burton, A.C.; Carson, Katherine; Chilton, S. M.; Hutchinson, George

doi:10.1016/s0095-0696(03)00022-6

Cited by 28 publications

(22 citation statements)

References 8 publications

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“…We used the double-bound model rather than an open-ended WTP question format to reduce strategic bias and the elicitation effect (Burton, Carson, Chilton, & Hutchinson, 2003). Several previous studies have also used this method (Zografakis et al, 2010;Lee & Heo, 2016).…”

Section: Discussionmentioning

confidence: 99%

Evidence for Mangrove Restoration in the Mahakam Delta, Indonesia, Based on Households’ Willingness to Pay

Susilo¹,

Takahashi²,

Yabe³

2017

JAS

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Mangroves provide multiple benefits for local communities' livelihoods. However, in the Mahakam delta mangroves have declined considerably. This study examines the factors affecting households' willingness to pay (WTP) for mangrove restoration in three villages in the Mahakam delta and determines whether a mangrove restoration project would be viable and should be implemented in the study area or not. The contingent valuation method was applied through a double-bound dichotomous choice format to estimate the WTP for mangrove restoration. The results showed that over 80% of perception of respondents considered the benefits of mangroves were essential that associated with their livelihoods. Local residents tended to be willing to pay more for mangrove restoration when they acknowledged the benefits of mangroves and when they felt that the sustainability of mangrove ecosystems was their responsibility. The benefits transfer method was also used to estimate the costs and benefits of an ongoing mangrove restoration project in the study area. The benefits provided by mangroves, as estimated based on households' WTP, clearly outweighed the costs for the mangrove restoration project. We conclude that mangrove restoration should be implemented in the study area by increasing local communities' awareness and responsibility to protect and manage the mangrove a sustainable.

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Section: Discussionmentioning

confidence: 99%

Evidence for Mangrove Restoration in the Mahakam Delta, Indonesia, Based on Households’ Willingness to Pay

Susilo¹,

Takahashi²,

Yabe³

2017

JAS

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“…Schkade and Payne 1994). Burton et al (2003) who examined the effects of cost uncertainty in a laboratory referendum setting with induced preferences likewise found that cost uncertainty did not affect the choices in expected ways. We are not convinced that our respondents to the majority-rule format fully understood the consequences of this implementation rule for their strategic opportunities.…”

Section: Discussionmentioning

confidence: 99%

“…Third, individuals may simply believe that their response is inconsequential. However, based on theoretical grounds, more general claims that the CV referendum protocol is incentive compatible are misleading (Green et al, 1998;Riera, 2003;Burton et al 2003).…”

Section: Conceptual Frameworkmentioning

confidence: 99%

“…Only few authors have noted the panel's mistake (e.g. Diamond & Hausman, 1994;Fisher, 1996;Green et al, 1998;Posovac, 1998;Burton et al, 2003). Fisher (1996), for instance, notes that " [...] the case for closed-ended CV responses being free of strategic bias has not been made either in theory or by empirical findings" (p.26).…”

Section: Introductionmentioning

confidence: 99%

“…Previous designed experiments on public good provision and incentives have been conducted in laboratory settings (Andreoni, 1988;Andreoni & McGuire, 1993;Cummings et al, 1995;Burton et al, 2003). Experiments have demonstrated that in early rounds, subjects do not free-ride to the extent predicted by theory.…”

Section: Introductionmentioning

confidence: 99%

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Theoretical incentive properties of contingent valuation questions: Do they matter in the field?

Schläpfer¹,

Bräuer²

2007

Ecological Economics

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Green et al. (1998) [Green, D., Jacowitz, K.E., Kahneman, D., McFadden, D., 1998. Referendum contigent valuation, anchoring, and willingness to pay for public goods. Resource and Energy Economics 20 (2), show theoretically that stated preference questions about public services can be framed in such ways that if the subjects accept the frame the payoff-maximizing behavior will be to answer truthfully. One key element of such a theoretically incentive-compatible framing is that the (hypothetical) decision rule specified in the survey instrument is understood to be a majority rule rather than the efficiency rule typically used in cost-benefit analysis. We conducted field experiments in Germany and Switzerland to test if a referendum framing as suggested by Green et al. is effective in reducing strategic misrepresentation in a contingent valuation setting. We did not find the expected effects of the framing treatments on stated willingness to pay or on individuals' (stated) beliefs about the social choice context. The results do not support hopes that a theoretically incentive compatible framing could be purposefully used to invoke the specific beliefs about the linkage between responses and policy implementation that would make stated preference questions incentive compatible. Ecological Economics, in pressEditor Cutler J. Cleveland AbstractGreen et al. [1998, Resource and Energy Economics 20, 85-116] show theoretically that stated preference questions about public services can be framed in such ways that if the subjects accept the frame the payoff-maximizing behavior will be to answer truthfully. One key element of such a theoretically incentive-compatible framing is that the (hypothetical) decision rule specified in the survey instrument is understood to be a majority rule rather than the efficiency rule typically used in cost-benefit analysis. We conducted field experiments in Germany and Switzerland to test if a referendum framing as suggested by Green et al. is effective in reducing strategic misrepresentation in a contingent valuation setting. We did not find the expected effects of the framing treatments on stated willingness to pay or on individuals' (stated) beliefs about the social choice context. The results do not support hopes that a theoretically incentive compatible framing could be purposefully used to invoke the specific beliefs about the linkage between responses and policy implementation that would make stated preference questions incentive compatible.

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The distance decay of willingness to pay and the spatial distribution of benefits and costs for the ecological restoration of an urban branch stream in Ulsan, South Korea

Kim

Doh

2015

Ann Reg Sci

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An experimental investigation of explanations for inconsistencies in responses to second offers in double referenda

Cited by 28 publications

References 8 publications

Evidence for Mangrove Restoration in the Mahakam Delta, Indonesia, Based on Households’ Willingness to Pay

Evidence for Mangrove Restoration in the Mahakam Delta, Indonesia, Based on Households’ Willingness to Pay

Theoretical incentive properties of contingent valuation questions: Do they matter in the field?

The distance decay of willingness to pay and the spatial distribution of benefits and costs for the ecological restoration of an urban branch stream in Ulsan, South Korea

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