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Stated preferences with survey consequentiality and outcome uncertainty: A split sample discrete choice experiment

Tensay Hadush Meles (tensay.hadushmeles@esri.ie), Razack Lokina (razack_lokina@yahoo.co.uk), Erica Louis Mtenga (ericamtenga@gmail.com) and Julieth Julius Tibanywana (juliethjulius@ymail.com)
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Tensay Hadush Meles: Economic and Social Research Institute, Ireland
Razack Lokina: University of Dar es Salaam
Erica Louis Mtenga: Georgia State University
Julieth Julius Tibanywana: School of Economics, University of Dar es Salaam, Tanzania

No 23-16, EfD Discussion Paper from Environment for Development, University of Gothenburg

Abstract: Stated preference studies are often based on the assumptions that proposed outcomes would be realized with certainty and respondents believe their survey responses are consequential. This paper uses split sample treatments to test whether survey consequentiality and outcome uncertainty lead to differences in welfare measures, focusing on a discrete choice experiment on improving quality of electricity supply among business enterprises in Tanzania. Our results show that while survey consequentiality and outcome uncertainty have some influence on preferences and willingness to pay (WTP) estimates for certain attributes, they do not significantly affect overall welfare estimates. The findings highlight that incorporating uncertainty and survey consequentiality into a stated preference study could improve its credibility but may not have substantial economic or statistical imp

Keywords: Stated preferences; Survey consequentiality; Outcome uncertainty; Discrete choice experiment; Power outages; Business enterprises; Tanzania (search for similar items in EconPapers)
JEL-codes: D22 D81 L94 Q58 (search for similar items in EconPapers)
Pages: 48 pages
Date: 2023-10-16
New Economics Papers: this item is included in nep-dcm and nep-exp
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