Economics at your fingertips  

Willingness-to-Pay for Science as a Public Good: A Contingent Valuation Experiment

Massimo Florio () and Francesco Giffoni ()

Departmental Working Papers from Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano

Abstract: Every year a significant amount of money is invested by governments on large-scale research infrastructures such as particle accelerators, telescopes, robotic space probes, biological data banks, oceanographic vessels, etc. The majority of these projects is funded through general taxation, and hence taxpayers are implicitly called to contribute to scientific discovery. Against the actual tax burden, how much the general public is actually willing to pay for investment in science? This paper explores the attitudes of young science-outsiders (the taxpayers of tomorrow) by the design of a pilot experiment involving a sample of undergraduate students in economics at University of Milan. We were interested in building a replicable survey setting aimed at eliciting the willingness to pay (WTP) for the discovery potential of a basic science project. Our case study is the Large Hadron Collider (LHC), the most powerful particle accelerator worldwide. The experiment takes the form of a Contingent Valuation Referendum-like in depth interview. Both parametric and non-parametric estimators were used to calculate the mean WTP. Our results suggest that the sample mean WTP for the LHC discoveries ranges from EUR 23 to 28 per person annually. This is a relatively high result, several times in excess of the actual average tax-burden for supporting the CERN budget by Italian taxpayers, but can be compared with several previous empirical findings about the WTP for the non-use value of specific cultural and environmental goods. Building on this pilot experiment, we discuss possible future research avenues in order to extend to representative samples of taxpayers the empirical analysis of WTP for scientific discovery.

Keywords: Research infrastructures; Willingness-to-pay; Science as public good; Non-use value; Large hadron collider (search for similar items in EconPapers)
JEL-codes: C83 D61 I23 O32 (search for similar items in EconPapers)
Date: 2017-11-25
References: View references in EconPapers View complete reference list from CitEc
Citations Track citations by RSS feed

Downloads: (external link) (application/pdf)

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 paper

More papers in Departmental Working Papers from Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano Via Conservatorio 7, I-20122 Milan - Italy. Contact information at EDIRC.
Bibliographic data for series maintained by DEMM Working Papers ().

Page updated 2018-06-10
Handle: RePEc:mil:wpdepa:2017-17