A comparison of approaches to estimating confidence intervals for willingness to pay measures

Arne Hole

No 008cherp, Working Papers from Centre for Health Economics, University of York

Abstract: This paper describes three approaches to estimating confidence intervals for willingness to pay measures, the delta, Krinsky and Robb and bootstrap methods. The accuracy of the various methods is compared using a number of simulated datasets. In the majority of the scenarios considered all three methods are found to be reasonably accurate as well as yielding similar results. The delta method is the most accurate when the data is well-conditioned, while the bootstrap is more robust to noisy data and misspecification of the model. These conclusions are illustrated by empirical data from a study of willingness to pay for a reduction in waiting time for a general practitioner appointment in which all the methods produce fairly similar confidence intervals.

Keywords: willingness to pay; confidence interval; delta method; boot-strap (search for similar items in EconPapers)
Pages: 28 pages
Date: 2006-01
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (9)

Downloads: (external link)
http://www.york.ac.uk/media/che/documents/papers/r ... ntervals_for_WTP.pdf First version, 2006 (application/pdf)

Related works:
Journal Article: A comparison of approaches to estimating confidence intervals for willingness to pay measures (2007)
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:chy:respap:8cherp

Access Statistics for this paper

More papers in Working Papers from Centre for Health Economics, University of York Contact information at EDIRC.
Bibliographic data for series maintained by Gill Forder ().