The Effects of a Provision Rule in Choice Modelling

Kasia Mazur () and Jeffrey Bennett
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Kasia Mazur: Crawford School of Public Policy, The Australian National University

Environmental Economics Research Hub Research Reports from Environmental Economics Research Hub, Crawford School of Public Policy, The Australian National University

Abstract: This research report presents results of a study designed to investigate the effects of including a provision rule in choice modelling non-market valuation studies. Split samples with and without a provision rule were used to test for differences in household willingness to pay (WTP) for improvements in environmental quality in the Hawkesbury-Nepean catchment. Local/rural and distant/urban sub-samples of residents were selected. The results of the study show that the inclusion of a provision rule had an effect on preferences in the distant/urban communities. However, the impact of a provision rule in the local/rural community sub-samples was negligible.

Keywords: Choice modelling; Incentive comparability; Provision rule; Non-market valuation; Environment (search for similar items in EconPapers)
Date: 2010-02
New Economics Papers: this item is included in nep-dcm and nep-env
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Working Paper: The Effects of a Provision Rule in Choice Modelling (2010)
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Persistent link: https://EconPapers.repec.org/RePEc:een:eenhrr:1049

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