A TEST OF CHEAP TALK IN DIFFERENT HYPOTHETICAL CONTEXTS: THE CASE OF AIR POLLUTION

Dominique Ami (), Frédéric Aprahamian (), Olivier CHANEL and Stephane Luchini ()
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Dominique Ami: GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - Université de la Méditerranée - Aix-Marseille II - Université Paul Cézanne - Aix-Marseille III - Ecole des Hautes Etudes en Sciences Sociales - CNRS : UMR6579
Frédéric Aprahamian: GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - Université de la Méditerranée - Aix-Marseille II - Université Paul Cézanne - Aix-Marseille III - Ecole des Hautes Etudes en Sciences Sociales - CNRS : UMR6579
Stephane Luchini: GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - Université de la Méditerranée - Aix-Marseille II - Université Paul Cézanne - Aix-Marseille III - Ecole des Hautes Etudes en Sciences Sociales - CNRS : UMR6579

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Abstract: We explore the influence of a neutral cheap talk script in three typical scenarios used in the CV literature devoted to the valuation of air pollution effects. We show that cheap talk has a differentiated effect depending on the scenario implemented. It decreases protest responses with no effect on WTP values in the scenario based on a new drug. When a move to a less polluted city is involved, it has no effect on protest responses but decreases WTP values. Surprisingly, cheap talk increases protest responses but decreases WTP values when new regional air pollution regulations are at stake.

Keywords: Willingness to pay; contingent valuation; cheap talk; context; field experiment; air pollution (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-env and nep-exp
Date: 2009-05-07
Note: View the original document on HAL open archive server: http://halshs.archives-ouvertes.fr/halshs-00382511/en/

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