Mikołaj Czajkowski

University of Warsaw | UW · Faculty of Economic Sciences

Agri-environmental policies generally build around two complementary approaches: mandatory requirements and (compensated) voluntary measures. One of the challenges of the future EU Common Agricultural Policy is precisely to find the right balance between these two types of interventions. We conducted an experiment with farmers in three EU Member St...

Economic experiments have emerged as a powerful tool for agricultural policy evaluations. In this perspective, we argue that involving stakeholders in the design of economic experiments is critical to satisfy mandates for evidence-based policies and encourage policymakers' usage of experimental results. To identify advantages and disadvantages of i...

We assess what drives the lower valuation of nature protection on the other side of the border in two European transboundary nature areas, the Białowieża Forest (Poland and Belarus), and Fulufjället (Norway and Sweden). Applying hybrid choice modelling, we account for people's attitudes when eliciting their preferences for extensions of transbounda...

We replicate Bocquého et al. (2014), who used multiple price lists to investigate the risk preferences of 107 French farmers. We collected new data from 1430 participants in 11 European farming systems. In agreement with the original study, farmers' risk preferences are best described by Cumulative Prospect Theory. Structural model estimates show t...

We investigate the problem of endogeneity and measurement bias arising from incorporating indicator variables (e.g., measures of attitudes) into discrete choice models. We demonstrate that although a hybrid choice framework can resolve both endogeneity and measurement problems, the former requires explicit accounting for in the model, which has not...

Outdoor advertising (OA) produces externalities, such as access to information and visual pollution, that have to be considered in cityscape planning. We propose a theoretical model of demand for OA that considers positive and negative externalities, as well as consumers income and advertising space they can rent. We then present the results of a s...

Bias related to the hypothetical setting remains controversial regarding the reliability and validity of value estimates from discrete choice experiments (DCEs). This has motivated a large body of literature to investigate approaches for mitigating hypothetical and strategic bias. Our study provides further evidence to inform this debate by testing...

Forests play a fundamental role in the economy, in climate change mitigation and in halting the loss of biodiversity. The economic value of goods and services provided to the societies by forests, including forest-based recreation, is highly dependent on the way in which forests are managed. On a European scale, forests are diverse and managed in m...

Malignant Catarhal Fever (MCF), caused by a virus transmitted from asymptomatic wildebeest, is a lethal disease in cattle that threatens livestock-based livelihoods and food security in many areas of Africa. Many herd owners reduce transmission risks by moving cattle away from infection hot-spots, but this imposes considerable economic burdens on t...

This behavioural experiment with farmers assessed the effect of two policy features of the new green architecture of the EU common agricultural policy on the adoption of environmentally friendly practices: (1) increasing mandatory adoption and (2) shifting budget to voluntary schemes. Results shed light on behavioural patterns, highlighting potenti...

In this milestone report, we explain how we have developed public goods games to perform an ex-ante assessment of novel collective contract models in the Contracts2.0 project. Workshops were conducted in Germany, Hungary, the Netherlands, and Poland. The first data collection was completed in Germany, and an expert prediction survey was run in para...

In this paper, we investigate the potential gains in cost-effectiveness from changing the spatial scale at which nutrient reduction targets are set for the Baltic Sea, with particular focus on nutrient loadings from agriculture. The costs of achieving loading reductions are compared across five levels of spatial scale, namely the entire Baltic Sea;...

This chapter outlines the essential topics for developing and testing a questionnaire for a discrete choice experiment survey. It addresses issues such as the description of the environmental good, pretesting of the survey, incentive compatibility, consequentiality or mitigation of hypothetical bias. For the latter, cheap talk scripts, opt-out remi...

This chapter describes and compares suitable software for the analysis of basic and advanced discrete choice models. Software packages are classified into proprietary and non-proprietary, according to the operating system required and modelling capabilities. Abilities of both selected commercial (Stata, SAS and Latent Gold, e.g.) and open-source pa...

This chapter focuses on the calculation of marginal and non-marginal welfare measures. It outlines how the calculation of welfare measures is related to the specified model and the assumptions underlying that model. It further describes how the calculation of these measures is affected by the inclusion of preference heterogeneity, including the inc...

This chapter starts by briefly presenting the theoretical background of welfare economics and introducing key aspects such as the indirect utility function, the expenditure function, or the concepts of compensating surplus or equivalent surplus. Next, it draws attention to willingness to pay and willingness to accept, essential measures in environm...

This chapter discusses aspects related to data collection. It focuses, firstly, on sampling issues and, secondly, on the survey mode. Sampling issues include sample size and the type of sampling that enable precise estimates to be obtained. Regarding the survey mode, discrete choice experiments can be implemented by mail, telephone, face-to-face or...

Cultural institutions are the main beneficiaries of public funds for culture. However, cultural policies suffer from ‘adhocism’ in the administration of institutions, which are often publicly owned and receive little recognition of the benefits that society gains from their use. The aim of this study is to provide the measurement of the use value o...

This open access book (https://link.springer.com/book/10.1007/978-3-030-62669-3) offers up-to-date advice and practical guidance on how to undertake a discrete choice experiment as a tool for environmental valuation. It discusses crucial issues in designing, implementing and analysing choice experiments. Compiled by leading experts in the field, th...

This chapter concerns different aspects of validity and reliability of a discrete choice experiment. Firstly, it focuses on three essential concepts for assessing the validity of the welfare estimates obtained in the choice experiment, namely content, construct and criterion validity. Secondly, it discusses how the reliability of the recorded choic...

This chapter addresses basic topics related to choice data analysis. It starts by describing the coding of attribute levels and choosing the functional form of the attributes in the utility function. Next, it focuses on econometric models with special attention devoted to the random parameter mixed logit model. In this context, the chapter compares...

This chapter is devoted to advanced issues of econometric modelling. The topics covered are, among others, models in willingness to pay space, the meaning of scale heterogeneity in discrete choice models and the application of various information processing rules such as random regret minimisation or attribute non-attendance. Other topics are ancho...

This chapter covers various issues related to the experimental design, a statistical technique at the core of a discrete choice experiment. Specifically, it focuses on the dimensionality of a choice experiment and the statistical techniques used to allocate attribute levels to choice tasks. Among others, the pros and cons of orthogonal designs, opt...

The main objective of our study was investigating the impact of norms and financial motivation on the disutility of energy management for Polish households. We analyzed consumer preferences and willingness to accept demand-side management (DSM) programs. Choice experiment was applied for electricity contracts including external control of electrici...

This study illustrates how respondents’ stated choices (the discrete choice experiment method) combined with the random utility framework can be used to model preferences for higher education. The flexibility offered by stated preference data circumvents limitations of other approaches, and allows quantifying young people’ preferences for selected...

Stated preference methods are frequently employed to measure people's willingness to pay (WTP) for ecosystem services. However, these techniques are also criticized for following a simplified approach, which often ignores the role of complex psychological and sociological factors, such as general environmental attitudes and place identity beliefs....

The treatment of the opportunity cost of travel time in travel cost models has been an area of research interest for many decades. Our analysis develops a methodology to combine the travel distance and travel time data with respondent-specific estimates of the value of travel time savings (VTTS). The individual VTTS are elicited with the use of dis...

We use data from a survey of 2439 farmers in 5 countries around the Baltic Sea (Denmark, Estonia, Finland, Poland and Sweden) to investigate their preferences for adopting agricultural practices aimed at reducing nutrient leaching and greenhouse gas emissions. The measures considered are set-aside, catch crops and reduced fertilization. Contracts v...

This paper analyzes the main weaknesses and key avenues for improvement of nutrient policies in the Baltic Sea region. HELCOM’s Baltic Sea Action Plan (BSAP), accepted by the Baltic Sea countries in 2007, was based on an innovative ecological modeling of the Baltic Sea environment and addressed the impact of the combination of riverine loading and...

Agri-environmental schemes have become an integral tool of land use management policies in ecologically valuable river valleys, that are commonly recognized as very important bird habitats. When high adoption of extensive agricultural practices is not only a political goal, but also a necessary condition for conservation of vulnerable ecosystems, u...

Economic valuation of ecosystem services has emerged as a valuable tool to promote conservation and sustainable land management. Our study adds to this literature, by reporting the results of a discrete choice experiment used to analyse local population preferences and willingness-to-pay for selected ecosystem services resulting from different mana...

Previous research on pro-environmental behaviours has shown that nudges can be effective in changing behaviour in some settings. However, to be a useful policy tool, nudges should have stable, predictable impacts on targeted behaviours. In this paper, we use a randomized experiment to test one specific nudge, namely the communication of a descripti...

This article examines the role of stated preference (SP) valuation methods in the environmental economist's toolbox. Overall, the article makes the case for using SP methods in a wide range of settings, showing how the approach can be used to both inform policy and gain a better understanding of people's choices and preferences. First, we provide a...

The outcome of a conservation policy is often subject to uncertainty. In stated preference valuation, it is increasingly recognised that uncertainty affects preferences for the outcomes of environmental policies. However, there is also agreement that the effect of uncertainty and people’s attitudes towards risk need to be better understood. To shed...

Maximum simulated likelihood is the preferred estimator of most researchers who deal with discrete choice. It allows estimation of models such as mixed multinomial logit (MXL), generalized multinomial logit, or hybrid choice models, which have now become the state-of-practice in the microeconometric analysis of discrete choice data. All these model...

Poland aims at stimulating the market to reach a target of 50,000 plug-in and battery electric vehicles by 2020. However, as in other Eastern European countries, the market penetration stays very low. In Poland, there were only 475 battery electric vehicles and 514 plug-in electric vehicles registered in 2017. To identify effective support measures...

There is substantial variation in individual preferences for public goods, yet much of that variation remains poorly understood. However, simple measures of personality can help to explain economic values and choices in a systematic way. In this paper, we examine the effects of personality on individual economic choices over public environmental go...

Incentivizing respondents to truthfully reveal their preferences in stated preference surveys requires that they believe their survey responses can influence decisions related to the outcome in question (policy consequentiality) and that they will have to bear their share of the coercive cost if the outcome is implemented (payment consequentiality)...

This paper reports the results of a stated preference experiment designed to test how information about a good's attributes provided in a survey affects knowledge, and how knowledge affects preferences for that good. A novel experimental design allows us to elicit subjects’ ex ante knowledge levels about a public good's attributes, exogenously vary...

Using an economic valuation approach, we assessed people's stated preferences for policy aimed at enhancing restoration of functional networks of naturally dynamic boreal forest habitats as a public good. Active landscape restoration can improve the functionality of boreal forest habitats as green infrastructure, which is essential for biodiversity...

Coastal global oceans are expected to undergo drastic changes driven by climate change and increasing anthropogenic pressures in coming decades. Predicting specific future conditions and assessing the best management strategies to maintain ecosystem integrity and sustainable resource use are difficult, because of multiple interacting pressures, unc...

Recent models of network competition demonstrate the incentives for incumbent firms to reduce receiver benefits in an entrant’s network through excessive off-net pricing. Theoretical reasoning behind the role of call externalities in limiting the market share of smaller networks assumes that receiving a call contributes to consumer utility. This pa...

Economic valuation is frequently employed to provide evidence of people's preferences for environmental goods. However, it is also often criticised for providing a simplified representation of preferences, with many factors that affect value formation not accounted for. This is the case of environmental attitudes and especially place identity perce...

Economic valuation is frequently employed to provide evidence of people's preferences for environmental goods. However, it is also often criticised for providing a simplified representation of preferences, with many factors that affect value formation not accounted for. This is the case of environmental attitudes and especially place identity perce...

A substantial literature in behavioural science and psychology shows that emotions affect human choices and values. This paper investigates whether such emotional impacts are also present in stated choice experiments for environmental goods. If this were so, it would introduce an additional element of context dependence to the welfare measures deri...

How willingness to pay for environmental quality changes as incomes rise is a central question in several areas of environmental economics. This paper explores both theoretically and empirically whether or not the willingness to pay (WTP) for pollution control varies with income. Our model indicates that the income elasticity of the marginal WTP fo...

The paper investigates the spatial heterogeneity of public’s preferences for the implementation of a new country-wide forest management and protection program in Poland. Spatial econometric methods and high resolution geographical information system data related to forest characteristics are used to explain the variation in individual-specific will...

The stated preference (SP) methods use respondents’ stated choices made in hypothetical situations to infer their preferences for environmental and other public goods. These methods enable researchers to express the general public’s preferences in monetary terms, and hence, to estimate the economic value of a change in the quantity or quality of th...

Protecting the ecological integrity of marine waters is a prime objective that has recently been explicitly acknowledged by the United Nations with the sustainable development goal SDG14, but that is challenged by the mounting pressures on marine systems. We here argue that the Baltic Sea can serve as marine time machine to study the causes and con...

An emerging theoretical literature focused on the incentive compatibility of stated preference surveys offers a new lens through which to view extant evidence on external validity, and provides guidance for practitioners. However, critical theoretical assumptions rest on latent respondent beliefs, such as the belief that respondents view surveys as...

In addition to indirect support to fisheries, marine habitats also provide non-use benefits often overlooked in most bioeconomic models. We expand a dynamic bioeconomic fisheries model where presence of natural habitats reduces fishing cost via aggregation effects and provides non-use benefits. The theoretical model is illustrated with an applicati...

We examine how the direction of price changes affects the value people place on avoiding renewable energy externalities in Poland. Additionally, we investigate the influence of individuals' financial loss aversion and financial risk preferences on this valuation. In our study we conduct a choice experiment survey in which respondents' choices indic...