Generalized Additive Models for Nonmarket Valuation via Revealed or Stated Preference Methods
Silvia Ferrini () and
Land Economics, 2012, vol. 88, issue 4
Single-site recreation demand and dichotomous choice contingent valuation analyses are typically conducted by implementing models containing strong parametric assumptions, which are rarely underpinned by theoretical arguments. This work illustrates how these assumptions can be relaxed and the estimation conducted semiparametrically by using generalized additive models (GAMs). This approach directly estimates the degree of the variables’ nonlinearities from the data, thereby avoiding subjective choices on the smoothing parameters and offering many advantages when compared to the conventional modeling techniques that dominate the environmental economics literature. Additionally, this paper illustrates how GAMs can be specified to construct theoretically consistent willingness-to-pay measures.
JEL-codes: C14 Q51 (search for similar items in EconPapers)
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)
A subscripton is required to access pdf files. Pay per article is available.
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:uwp:landec:v:88:y:2012:iv:1:p:782-802
Access Statistics for this article
More articles in Land Economics from University of Wisconsin Press
Bibliographic data for series maintained by ().