EconPapers    
Economics at your fingertips  
 

What accounts for the divergence between ranchers' WTA and WTP for public forage?

Lili Sun, Gerrit van Kooten and Graham Voss ()

Forest Policy and Economics, 2009, vol. 11, issue 4, 271-279

Abstract: Results from a 2002 survey of Nevada ranchers that asked about willingness to pay for public forage and willingness to accept compensation to part with grazing rights provide empirical support for the contention of large divergence between WTA and WTP. WTA and WTP are estimated simultaneously, thereby enabling the identification of ranch characteristics that could explain the discrepancy in valuations. We find that some of the discrepancy might be explained by the size of a ranch's herd and the amount of public forage the ranch can access. We find little evidence that the ranching lifestyle accounts for the difference between WTP and WTA for public forage, as asserted by some ranch economists. It would appear that the discrepancy between WTA and WTP can be attributed primarily to an endowment effect.

Keywords: Divergence; between; WTA; and; WTP; Grazing; rights; and; public; forage; Quality; of; life; and; ranching (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1) Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1389-9341(09)00051-3
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:forpol:v:11:y:2009:i:4:p:271-279

Access Statistics for this article

Forest Policy and Economics is currently edited by M. Krott

More articles in Forest Policy and Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().

 
Page updated 2021-07-20
Handle: RePEc:eee:forpol:v:11:y:2009:i:4:p:271-279