Economics at your fingertips  

Spatially explicit demand for afforestation

Julian Sagebiel (), Klaus Glenk and Jürgen Meyerhoff ()

Forest Policy and Economics, 2017, vol. 78, issue C, 190-199

Abstract: Afforestation is a stated goal in European Union policy and several member states have already implemented schemes to extend forest cover. However, little is known about the magnitude of non-market benefits of afforestation and how these benefits spatially differ. In this article, we propose a novel method to spatially explicitly predict marginal willingness to pay for afforestation. The approach is illustrated with data from a discrete choice experiment on local land use changes in Germany. GIS data on the respondent's place of residence allows inferring their current endowment with forest, which enters the utility specification of each respondent's status quo alternative. Marginal willingness to pay estimates therefore represent the value of changes in local forest cover relative to the observed status quo. This relationship can be utilized to predict willingness to pay at the county level. We find that marginal willingness to pay decreases as the current endowment with forest increases. The estimated optimal share of forest based on the average respondent's preferences is between 50 and 60%. The associated county level predictions of marginal and total willingness to pay can be used to inform national, regional and local policies that aim to increase forest cover.

Keywords: Discrete choice experiment; Spatial preference heterogeneity; Stated preferences; Land use changes; Willingness to pay; Cultural ecosystem services (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link)
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:

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 Dana Niculescu ().

Page updated 2019-03-31
Handle: RePEc:eee:forpol:v:78:y:2017:i:c:p:190-199