Valuing ecosystem services from restoring ancient irrigation systems: An application comparing labor vs. monetary payments for choice experiments

Abstract

The use of stated preference methods with monetary payments in developing countries can be problematic as barter and paying with labor are common in rural areas. In response, a growing number of stated preference studies explore using monetary and nonmonetary payment options. We contribute to this literature by exploring the impact of monetary vs. labor payment options on values elicited from choice experiment studies conducted in rural developing country settings. We also contribute to the literature by comparing data-gathering methods, specifically individual surveys vs. group information sessions. Our application is the restoration of an ancient irrigation system known as cascading tank systems in Sri Lanka. We conduct a choice experiment to understand the willingness to pay/willingness to contribute of rural households to restore these irrigation systems. We find that in the individual survey setting, there are no significant differences between monetary and labor payments. We also find that there is no difference between the group and individual survey settings for the monetary payment treatment. For the labor payment treatment, the group setting results in a positive payment coefficient for the labor payment attribute. This highlights that labor payments should be used cautiously in group evaluation settings.

Sustainability and Productivity of Village Tank Cascade Systems: A Bibliometric Analysis and Knowledge Mapping

“…The few studies that fit to this sub-cluster include those by Ratnayake et al [80], Hettiarachchi et al [108], Geekiyanage and Pushpakumara [109], and Marambe et al [110]. Further, Ratnayake et al [24] provided a methodological framework for the detailed assessment and mapping of ecosystem services in VTCS landscapes [36]. Dissanayake and Vidanage [111] used choice experiment surveys to conduct a valuation of ecosystem services to assist in the restoration of VTCSs.…”

“…As highlighted by the United Nations Sustainable Development Goals (UN-SDGs) of the 2030 Agenda, maintaining VTCSs in an optimal condition is critical for sustainable land and water resource management in agriculture, especially in dry and arid areas. Therefore, a transdisciplinary framework to evaluate the sustainability and productivity dimensions of VTCSs is crucial, as depicted in Figure 1 [35][36][37].…”

Information provision and preferences for more sustainable dairy farming: Choice experimental evidence from Sweden

“…This represents the payment vehicle in the DCE, as it reflects a cost (forgone revenue) to the farmer in accepting more grass-based feeding and the farmer is expected to experience a negative utility from the attribute, as described inMariel et al (2021) and applied inDissanayake and Vidanage (2023).4…”