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Applications of the Contingent Valuation Method in Developing Countries

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Abstract

At the international level, the multiple roles of agriculture are receiving increasing attention. Namely, agriculture is more than just its primary function, that of production of food, fibre and other commodities; it also produces both positive and negative secondary functions, or externalities. Not only are these secondary functions an issue in developed countries, they are important in developing countries. However, as these secondary functions tend not be to priced in markets, their values are unknown, and hence, not available for benefit-cost analysis of the impact of agricultural policies. The contingent valuation technique (CVM) is a survey technique that is the primary economic tool for estimating the values of nonmarketed goods. While the vast majority of applications of this technique have been formulated with the developed country context in mind, it is possible to apply them in developing countries. This report surveys applications of CVM to date in developing countries, and discusses issues of relevance to successful implementation of this technique in these countries. This report can be used by FAO and its Member countries for guiding the work of practitioners who have a leading or technical contribution role in the design of CVM surveys. Furthermore, this report is meant to orient the work of experienced professionals with a general or technically specialized competence, towards the major steps in identification of the valuation issues, survey design, and empirical methods necessary for CVM to value the nonmarketed goods.

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... Conversely, if the initial bid amount is rejected, decreased bid amounts are presented until the participant agrees to pay. This iterative process helps to determine the threshold at which individuals are willing to pay for the service (FAO, 2000). ...
... Contingent valuation is a stated preference method that directly asks individuals their maximum willingness-to-pay (WTP) or willingness-to-accept compensation (WTA) Despite difficulties faced in some developing country contexts, adhering to best practices for survey design, sample selection, and validity testing helps ensure contingent valuation continues to be a useful tool for valuing non-market goods and services (FAO, 2000). ...
... Statistical models can then be fitted to the bounds to estimate the distribution of willingness-to-pay in the population and make predictions about expected valuations. This payment card approach avoids issues of starting point bias and respondent fatigue seen in iterative bidding techniques (FAO, 2000). ...
Thesis
Background: Health insurance enables financial protection, reducing medical expense burdens. It facilitates universal health coverage (UHC) by ensuring access to healthcare without financial strain. The current study sought to compare willingness-to-pay (WTP) for health insurance between formal and informal doctors. Methods: This comparative cross-sectional study was conducted between July 2022 and June 2023 to compare WTP for health insurance between formal and informal doctors in Bangladesh. The study included convenience sampling method and sample size was 116 in both formal and informal doctors group (total 232). Data were collected using a pretested, semi-structured questionnaire by face-to-face interview and analyzed using Stata 17 and RStudio. The Institutional Review Board (IRB) of NIPSOM granted ethical clearance, which was strictly followed. Results: The current study reported significant associations (p<0.05) between age, marital status, monthly personal income, number of elderly in the family, service years, clinical attachment, number of workdays per week, working hours per day, satisfaction regarding quality and WTP for community-based health insurance (CBHI) between informal and formal doctors. The mean (±SD) monthly personal income among informal doctors (50561.48±28867.47 BDT) was higher than formal doctors (31383.60±31383.60 BDT). Most of the participants belonged to service duration of 1-10 years in both groups (informal 88.8% and formal 73.3%). Non-clinicians mostly (50.9%) formed informal group, and clinicians (70.7%) for formal group. In both groups, doctors mostly worked for 7-12 hours per day (81.9% for informal and 95.7% for formal doctors). Willingness-to-accept CBHI scheme was shown by most of the participants (74.1% for informal and 85.3% for formal doctors). Formal doctors had higher odds (OR:2.03; 95% CI: 1.05-3.40; p-value <0.036) of joining CBHI than informal doctors. “Distrust in financial management” was the primary reason (24.6%) for informal doctors, whereas ‘lack of flexibility’ for most formal doctors (18.8%) were the primary cause for not joining CBHI. The truncated mean (±SD) WTP for CBHI of informal doctors (5.94±4.27) was higher than formal doctors (5.43±4.94), although the difference was not statistically significant (p=0.409). Conclusion: Most participants were willing to accept the CBHI scheme, irrespective to their type. Despite having lower mean WTP, formal doctors had higher odds of accepting CBHI than informal doctors. Further studies should be conducted to incorporate other professional groups for the formulation and expansion of CBHI.
... WTP per individu dapat secara langsung (straight forward) dapat diperoleh dari hasil perhitungan nilai tengah mengikuti formula sebagai berikut (FAO, 2000):    n i i y n MWTP 1 1 dimana, n adalah besaran atau jumlah sampel dan yi adalah besaran WTP yang diberikan responden ke-i. Apabila sebaran WTP terlalu ekstrim angka minimal dan maksimalnya, maka disarankan mengganti teknik nilai tengah dari rata-rata menjadi nilai median 3 . ...
... n nuansa atau kualitas lingkungan yang baik.Lebih lanjutBarton (1994) berpendapat bahwa metode CV secara umum lebih memberikan penekanan terhadap nilai pentingnya suatu barang dibandingkan dengan nilai barang yang sebenarnya. Hal ini dilakukan untuk mengeliminasi beberapa pilihan kebijakan dan menawarkan informasi penting dalam penentuan keputusan.FAO (2000) menunjukkan bahwa tujuan dari CV adalah untuk mengukur variasi nilai kompensasi dan nilai persamaan suatu barang yang ditanyakan. Variasi nilai konpensasi dan nilai persamaan dapat ditentukan dengan bertanya kepada seseorang untuk memberikan sejumlah satuan moneter yang ingin dibayarkan. Valuation (CV) digunakan untuk menghitung nilai a ...
... Teknik detil dapat dilihat padaFAO (2000) Electronic copy available at: https://ssrn.com/abstract=3685943 ...
Article
Coastal and marine resources of small island has a significant role for the coastal and small island community. They provided benefit on regulating-, provisioning-, supporting-, and culture-services for human well-being. Those services could be assessed using several techniques and approaches. The approach of SES could be used to formulate the relation between its resources and human activities, meanwhile EOP (effect on production), TCM, (travel cost method), CVM (contingent valuation method), BTM (benefit transfer method), and SVM (spatial valuation method) can be used to monetarize and put the worth of good and/or services provided by small island ecosystem.
... CV is utility based and asks people to directly report their WTP to obtain a specified good or willingness to accept (WTA) to give up a good. While CV has mostly been used in the valuation of environmental, water and sanitation services it can be used for commodities found in regular markets (FAO, 2000). IPPC (2001) describes the challenges associated with the various methods used for valuation of commodities when markets are nonexistent. ...
... Evidence show that when these guidelines are followed, CV yields reliable estimates of WTP. For example, a review by FAO (2000) found that estimates of WTP from CV studies that rigorously abided by the guidelines related well with households' economic circumstances and households cost of obtaining substitutes for the commodity described in the survey. CV is also reputed for its flexibility as it can be used to obtain estimations for public policies or projects that have not been implemented (Lopez-Feldman, 2012). ...
... As recommended (FAO, 2000) before estimation of the average levels of WTP data should be scrutinized for "protest zeros". The potential for "protest zeros" in the current study arises because some livestock keepers who may have positive WTP for RVF vaccination may be opposed to privatization of the veterinary service. ...
Article
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A double bounded contingent valuation (CV) model was used to assess the Willingness to Pay (WTP) for vaccination of cattle against RVF in a sample of 276 livestock producers in Murang'a, Laikipia and Kwale Counties. While the level of awareness about the disease was rather low, nearly all respondents expressed willingness to have their animals vaccinated against the disease. Average WTP was highest in Murang'a (mean = US1.44)wherefarmerspracticedairyfarmingusingexoticbreedsofcattlecomparedtoLaikipia(mean=US1.44) where farmers practice dairy farming using exotic breeds of cattle compared to Laikipia (mean = US1.24), where both exotic dairy and local breeds of cattle together with their crosses are kept, and Kwale (mean = US1.01)wherelocalbreedsarepredominantlykept.TheseaveragelevelsofWTPwere171.01) where local breeds are predominantly kept. These average levels of WTP were 17%-67% higher than the estimated cost incurred by government (US0.86 per head of cattle) in the most recent vaccination campaign conducted during RVF outbreak. Surprisingly, WTP tended to be lower among producers with many heads of cattle probably because the large herds would translate to bigger total costs. The study recommended support for sensitization campaigns about RVF and its control measures. While the high average levels of WTP implies potential for commercialization of vaccination against RVF, there may be need for price differentiation by region to ensure that sufficiently high numbers of producers vaccinate their animals to prevent outbreaks.
... The last hypothesis is motivated by the fact that water utilities in developing countries are strongly criticized for being inefficient (ADB, 2007), corrupt and rent-seeking (Davis, 2004;Whittington, Pattanayak, Yang, & Bal Kumar, 2002). As reported by several contingent valuation studies in Asia that in many locations respondents distrust the government which they blame for the poor condition of public facilities, and this is reflected in their low WTP for commodities such as water supply improvement (FAO, 2000). Based on that, it is expected that household would pay slightly higher amount for continuous water provided by private sector than that provided by PDAM, provided that their present municipal piped water is delivered in non-continuous basis. ...
... As previously mentioned, socio-economic factors determine how much households are willing to pay. Richer people has been shown to be willing to pay more (Goodstein), 2008) and women, who in developing countries are often responsible for obtaining water, usually report greater WTP (FAO, 2000). The later hypothesis is refuted in several studies, perhaps because women in developing countries have little control over the household finances and may restrain to express their own opinions for cultural reasons (Singh, et al., 1993). ...
... The effect of family size to WTP is ambiguous. Some studies report that WTP vary significantly with family size, while some others conclude that family size is not an important factor (FAO, 2000). ...
... The use of CV is given some endorsement by the findings of the NOAA panel of experts (Arrow et al. 1993), and it is widely used in both developed and developing countries (Whittington 1998;FAO 2000;Mourato and Mazzanti 2002). ...
... Much like the CV approach, the CE method allows the valuation of a good under conditions that do not currently exist. Possible difficulties associated with CE include respondent annoyance (if the respondent dislikes all the possible alternatives), and the potential for respondents to ignore one of the attributes if it lacks credibility (FAO 2000). ...
... Although the CE approach has been used extensively in developed countries, it has rarely been used in developing countries, especially for the valuation of cultural resources (FAO 2000;Mourato and Mazzanti 2002). ...
Technical Report
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This study estimates the value of the preservation of a World Heritage Site in Vietnam, the My Son Temple complex in Quanguam province. Despite its designation, the site is in poor repair and is in danger from the ravages of the weather and from the pressure of visitor numbers. Two complementary approaches – the Contingent Valuation (CV) method and the Choice Experiment (CE) method – were used to gauge the value that foreign and local visitors placed on the temple's preservation. It was found that foreign visitors in particular would be willing to pay substantially more than the current entrance fee to ensure the temple's safe future. This represents a significant new potential source of income.
... The use of CV is given some endorsement by the findings of the NOAA panel of experts (Arrow et al. 1993), and it is widely used in both developed and developing countries (Whittington 1998;FAO 2000;Mourato and Mazzanti 2002). ...
... Much like the CV approach, the CE method allows the valuation of a good under conditions that do not currently exist. Possible difficulties associated with CE include respondent annoyance (if the respondent dislikes all the possible alternatives), and the potential for respondents to ignore one of the attributes if it lacks credibility (FAO 2000). ...
... Although the CE approach has been used extensively in developed countries, it has rarely been used in developing countries, especially for the valuation of cultural resources (FAO 2000;Mourato and Mazzanti 2002). ...
Article
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There have been few applications of the contingent valuation method (CVM) to forests in developing countries. When applied, the method is seldom utilized to improve the implementation of development projects. In this paper an application of CVM to the Orissa Social Forestry Project is reported. The results show considerable variation between villages and the analysis of the bid function shows underlying factors to project success that can be used in project planning. The policy implications are to plant new VWL where natural forests are inaccessible, where people have prior experience of VWL, and where fuel consumption relies heavily on market purchases. Such plantations are expected to give greatest benefit to families with few men and many women. An analysis of the reliability of the study concludes that many of the observed biases originate from the enumerators. The study also recommends that one should be careful with the use of a discrete design in a cultural context such as this that is prone to yea-saying, and that strategic bias can arise from an open ended question that follows up the start bid in a culture characterized by bargaining.
... It is called "contingent" since individuals are asked to state their WTP contingent on a hypothetical scenario presented in a survey (Anderson, 2013). This method requires respondents to directly state their WTP for non-use values rather than infer them from observed behaviours in regular marketplaces (FAO, 2000). ...
Article
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This study analysed rural households' WTP for control of water hyacinth (Eichhornia crassipes) infestation in Lake Tana in terms of cash and man-days. A contingent valuation method through double-bounded dichotomous choice was used to elicit the WTP of 276 households in Fogera district, western Ethiopia. It was found that initial bid price, age of household head, labour availability, trust in the government, place of residence, household size, and income influence the probability of households WTP for control of water hyacinth. The mean WTP was estimated to be 26.41 ETB and 3.23 man-days per month per household, with a welfare aggregation of ETB 19,671,963 and 2,404,441 man-days per year. The study underscores that in utilizing public resources for water hyacinth control activities, accountability and transparency should be strengthened.
... Willingness to pay is defined as the maximum price a buyer is willing to pay for a given quantity of a product or service (Le Gall-Ely 2009). CVM uses questionnaires in which the individual records his or her decision to pay for the products or services after being informed about the hypothetical situation of the basket of those products or services targeted (FAO, 2000). Le Gall-Ely (2009), stated that WTP assessment approach can be classified into four categories: 1), those based on the measurement of real or revealed data in a market (revealed preferences), 2) those based on survey (revealed preferences), 3) those based on survey or established data (stated preferences), and 4) finally those based on an offer to purchase, known as incentive compatibility. ...
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Availability of quality feed is a major constraint for livestock production in Burkina Faso. Despite previous efforts to test improved forages at research stations to overcome the dry‐season feed gap, little has been done to promote them as cash crops that can contribute to meeting the growing feed demand in the country. This study was undertaken to evaluate the willingness to pay (WTP) for improved forage by livestock producers in the peri‐urban livestock production systems of Burkina Faso. A total of 202 livestock producers were interviewed using semi‐structured questionnaires. The contingent valuation method and Tobit econometric model were used to analyze the survey data. Exactly 79% of the interviewed livestock producers were willing to pay for improved forages for their livestock. Key factors that significantly affect this decision were the price of cottonseed cakes used as supplemental feed (P = .001), farmers’ knowledge about improved forage crops (P = .001), farmers’ ethnicity (P = .05), and farmers’ practice of daily grazing and transhumance (P = .01). The estimated WTP for improved forage as a cash crop was US0.32kg1foralllivestockproducersand0.32 kg–1 for all livestock producers and 0.58 kg–1 for those who only expressed a positive WTP. The positive WTP for improved forages and factors affecting that decision suggest that producing improved forages is a viable alternative to expensive cottonseed cakes and the practice of transhumance to overcome the dry‐season feed gap. Therefore, dissemination of improved forages is recommended to market‐oriented crop farmers to meet the growing feed demand in Burkina Faso.
... CVM has 66 been particularly useful when complemented by other techniques used in valuing non-67 market goods such as hedonic and travel cost approaches. Hence, the primary goal of the 68 contingent valuation is to determine the compensating variation for the good being as-69 sessed, in this case, renewable energy technologies [6]- [8]. 70 ...
Conference Paper
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This study examined household's poverty status and willingness to pay for renewable 16 energy technologies (RETs) in Southwestern Nigeria. Three hundred and four households were sur-17 veyed in Southwestern Nigeria. Households were grouped into poor and non-poor using two-18 thirds of the mean per capita expenditure (MPCE) and poverty depth and severity were calculated 19 using Foster Greer and Thorbecke (FGT) poverty measure. The poverty line (two-third of the MPCE) 20 for the households was calculated to be ₦80,412.57 and the poverty depth 0.0827. The results of 21 Heckman's two-stage model revealed that age, marital status, level of education, household size, 22 house location, income and awareness about RETs are factors influencing surveyed households' 23 WTP and payout levels for RETs.
... We decided on WTA over willingness to pay (WTP) because WTP has been researched to have a high protest effect of answering 0 ISK for services without a market price (Sunstein, 2018). We decided on an elicitation format with a price point presented and a follow-up higher price point if the respondent said yes at the lower price point combined with an open-ended WTA, because it provides more information than a strictly dichotomous price point survey (Green et al., 1995;FAO, 2000). If the respondents decided to keep access at the price point, we gave them a follow-up, higher would accept to lose access to all social media for one month. ...
Thesis
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The divergence between economic growth and welfare is increasing. The non-market aspect of free digital goods results in a key driver of welfare remaining unaccounted for by current economic measurements despite replacing traditional goods synonymous with our everyday life. This study aims to discover the impact free digital goods have on the economic welfare of Icelandic people by asking for their required monetary amount to give up access to a service. Research on this topic has been performed in different parts of the world, but not in Iceland. Answers were gathered in a survey from Icelandic internet users through convenience and snowball sampling. We employed a combined dichotomous choice and open-ended question format for each bundle of goods. Our conclusion is that free digital goods contribute significantly to the economic welfare of Icelandic people. We find that the median participant required a compensation of more than 35% of their salary to give up access to all the services we associate with free digital goods. Specifically, services associated with work were higher valued. Compared with other studies, we found that our participants valued messaging and social media more than their US counterparts suggesting a difference in consumer behavior between the countries. The results of our study confirm that the value derived from free digital goods are significantly higher than current economic measurements suggest. Further studies on the topic are necessary to guide future policy decisions.
... As discussed by Philcox (2007) and Snowball (2007), Contingent Valuation Method (CVM) is currently the only method of measuring the values of non-market goods and services because the market bid does not exist or reflect their value. As a result, CVM enables people to directly state their willingness to pay for non-use values rather than inferring them from observed behaviours in regular market places (Albertini, Cooper 2000). ...
Article
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Church forests provide a safe habitat for plants and animals, sources of food and traditional medicine, seed bank for native tree species, reduce soil erosion and rich in biodiversity. But the economic values of these important benefits of church forests were not well documented. Therefore, this study was conducted to estimate the mean and total willingness to pay for church forest conservation using open-ended and double bounded contingent valuation formats. In doing so, both cash and labour contributions were used to measure the respondents’ willingness to pay. Primary data were collected from 300 randomly selected households and analyzed using descriptive statistics and bivariate probit model. The estimated mean willingness to pay from the double bounded format (239.79 Ethiopian Birr) is higher than from the open-ended format (178 Ethiopian Birr). Similarly, the estimated mean willingness to contribute labour was also 71.51 and 94.34 man-days for the open-ended and double bounded contingent valuation format, respectively. The comparison indicated that the mean and total willingness to pay from the double bounded format is higher than in the open-ended format. Therefore, researchers, policymakers, and forestry experts should give special attention to the double bounded format rather than to the open-ended format to elicit respondents’ willingness to pay for the conservation of church forests.
... WTP value obtained from the calculation of the middle value according to the formula (FAO, 2000) is as follows: ...
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Mangrove, as one of the most unique ecosystems, is a great natural resource potential with high productivity and biodiversity able to adapt to harsh areas between the sea and coast. Its destruction rate is very mild as it is estimated to 1% each year (Ong et al., 1991) and 0.7-3% per year (Pedleton et al., 2012). The destruction of mangrove is usually related with human population density (Alongi, 2002). Widespread mangrove destruction affects the loss of biodiversity and other resources and the functioning of the ecosystem. The huge potential of mangrove must be preserved by managing, maintaining and providing costs to protect and improve ecosystems. This study aims to measure Kuala Langsa community members’ willingness to pay for the preservation and repairationof degrading mangrove. To achieve this goal, Contingent valuation methods was used in this study. Of the 131 respondents involved in this study, 112 or 85.496% are willing to pay for the preservation of mangrove. While those unwilling to pay account for 19 or 4.504% . WTP with the households 669 earned by is Rp 18,821,512,200/month or Rp 225,858,146,400/year.
... The EV is the value obtained solely due to the presence of natural resources and the environment. The EVs of coral reefs were estimated based on individuals' WTP for coral reef resources (FAO 2000). The WTP data among the respondents in this study were obtained by questionnaire and direct interviews. ...
Article
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Coral reef ecosystems possess tangible and intangible economic benefits to human society that are still underestimated and not fully understood. This study aims: to determine 1) economic benefits and economic losses due to coral reef damage, 2) compensation values as replacement costs for damaged coral reefs as well as references to sustainable coral reef management. Based on the calculation, the TEV of coral reef ecosystems was estimated to be USD 11.96 billion or 2.82 million USD/ha. The economic losses due to coral reef destruction over the 20-year period from 1994 to 2014 were USD 1 billion or 50.18 million USD/yr. We anticipate that the economic loss of coral reefs will continue to rise due to the intensification of destructive fishing practices. Therefore, an effective management policy should be established to prevent further destruction of coral reefs in this area in the future. This study suggests that tangible procedures for compensation for coral damage and law enforcement for destroyers are required to be implemented to reduce the economic losses of coral reefs, and the economic values estimated in this study can be a quantitative reference for various stakeholders to build a concensus for designing coral reef recovery programs in the future.
... These include achieving high survey response rates, describing the good accurately, providing a realistic and believable scenario, and valuating goods with which respondents have some level of familiarity [13,22]. When validity concerns are properly addressed, contingent valuation is a useful method for estimating the value consumers or producers place on a good, and it is now being applied globally [22,23]. This study successfully avoided some common validity concerns inherent to contingent valuation by achieving an extremely high survey consent rate of 99%, describing the vaccine accurately, and providing two realistic delivery scenarios. ...
Article
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Vaccination can be an effective risk management approach to minimize the burden of disease and increase livestock productivity for smallholder households in low income countries. In contrast to vaccination of cattle, a high-value smallholder asset, there is a significant knowledge gap for the drivers of vaccine adoption of smallholder poultry. Newcastle disease virus (NDV) causes high mortality in chickens and is one of the greatest constraints to East African poultry production. To determine preferences and willingness to pay for NDV vaccines by chicken-owning households in Tanzania, we administered a survey with a contingent valuation activity to 535 households across six villages in Arusha, Singida, and Mbeya regions. Given the low current vaccination rate, we tested the null hypothesis that smallholder households do not value NDV vaccines and found overwhelming evidence that smallholders do value NDV vaccines. The willingness to pay (WTP) estimate was 5853 Tanzanian shillings ($2.64) to vaccinate ten chickens given the vaccine was protective for a period of three months. This estimate is about twice the market price reported by households in the study areas suggesting chicken-owning households value and benefit from NDV vaccines, but face other barriers to vaccination. Previous vaccination had the largest positive effect size on WTP suggesting smallholders observe benefits from vaccinating. In contrast to studies of vaccination of higher-cost cattle where off-farm income sources often drive willingness to pay, on-farm income was a driver of WTP for NDV vaccines suggesting different drivers affect protection of low-value livestock assets as compared to high-value assets.
... According to FAO, contingent valuation is a non­market method that "asks people to directly report their willingness to pay (WTP) to obtain a specified good, or willingness to accept (WTA) to give up a good, rather than inferring them from observed behaviors in regular market places" (FAO, 2000). Scientific studies incorporating contingent valuation can play a large role in influencing ballot measures. ...
Article
Ecosystem-based Adaptation (EbA) is a strategy that “uses biodiversity and ecosystem services…to help people adapt to the adverse effects of climate change” by taking “into account the multiple social, economic and cultural co-benefits for local communities” (SCBD, 2009). EbA valuation is a holistic process that calculates the cost, benefits, and impacts of ecosystem services in adaptation strategies. This research provides methods for valuing ecosystem services and a justification of ecosystem-based adaptation (EbA) in order to leverage effective resilience planning decisions. The goal of this research is to a) show that proactive, land-based adaptation is more cost-effective than reactive mitigation in resilience projects (i.e. EbA is more beneficial than grey infrastructure) and b) provide guidelines for understanding the EbA valuation process and recommendations for communicating EbA to stakeholders. The costly impacts of Hurricane Harvey on Texas are explored to highlight problems that can be addressed by EbA principles to potentially alleviate flooding from future storm surge. EbA valuation trends in policy, practice, and messaging are assessed to provide communication guidelines as methods for influencing resilience policy. This study culminates in visual aids and recommendations based on specific stakeholder values with the aim of generating EbA buyin from American planners, policymakers, and the public. The goal is to influence decisionmakers into utilizing the example of Texas and this study’s recommendations to potentially leverage EbA policy and mainstream EbA valuation in American resilience practice. The overall objective is to alleviate the increasing cost burden of storm surge impacts.
... Given high variance in responses, an α-trimmed mean (α =0.05) of the WTP responses for a S. gigas sighting, was used. Trimmed means provide a more robust estimate of mean WTP (FAO Economic and Social Development Department, 2000;Mitchell & Carson, 1989). Both conservative and average annual non-consumptive use values of S. gigas were calculated by superimposing the WTP distribution from survey responses to D t , the estimated number of boat divers in a year, and D c , the conservative estimated number of boat divers in a year. ...
Article
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Although the economic value of wildlife historically has been attributed to its consumptive use, the global growth of ecotourism has expanded wildlife valuation to include non‐consumptive uses. In California, the critically endangered giant sea bass ( Stereolepis gigas ) is paradoxically both a flagship species in the recreational dive industry and regularly sold in California's commercial fisheries when incidentally caught. The differences in the economic value of S. gigas to these two key stakeholders – commercial fishers and recreational scuba divers – were explored. The average annual landing value of S. gigas was US12600,thisvaluewasdeterminedusingCaliforniacommercialfisherylandingreceiptdata.IncontrasttheestimatedaveragevalueofS.gigastorecreationaldiverswasUS12 600, this value was determined using California commercial fishery landing receipt data. In contrast the estimated average value of S. gigas to recreational divers was US2.3 million per year. The non‐consumptive use value was calculated by approximating the annual number of recreational charter boat divers and determining divers' willingness‐to‐pay for a S. gigas sighting. Stated landings volumes of S. gigas appear to represent a minimum annual extraction of 2% to 19% of the S. gigas population. Using self‐reported fishery catch location data, S. gigas bycatch hotspots were identified and used to inform suggestions for strategic spatial and temporal closures. Overall, these results highlight the value of giant sea bass beyond fisheries and underscore the importance of incorporating non‐consumptive values when developing harvest policies and marine management plans.
... The DC format is the most popular elicitation methods for CV studies because it mimics behaviour in the real markets and closely resembles people's experience with political discussions and voting schemes (Hoehn and Randall 1987;FAO 2000). The DC format has also been shown to be potentially incentive-compatible if the choice has some consequences for the respondent (Carson and Groves 2007). ...
Article
We adapt the dissonance-minimising (DM) format proposed by Blamey et al. [Land Economics, 75 (1999) 126] in a dichotomous choice contingent valuation survey to estimate the economic benefits of preserving a cultural heritage site in Vietnam. We find that the DM format can be successfully applied to avoid biases because of yea-saying in a developing country context. Copyright 2009 The Authors. Journal compilation 2009 Australian Agricultural and Resource Economics Society Inc. and Blackwell Publishing Asia Pty Ltd.
Article
Penelitian nilai keinginan untuk membayar (Willingness To Pay) masyarakat terhadap konservasi penyu telah dilakukan di Gampong Mon Ikeun Kecamatan Lhoknga Aceh Besar. Penelitian ini bertujuan untuk mengetahui nilai keinginan membayar masyarakat terhadap konservasi penyu. Keinginan membayar (WTP) masyarakat ditentukan dengan menggunakan metode kontingen valuasi (Contingen Valuation Method-CVM). Teknik pengambilan data dilakukan dengan wawancara, sedangkan pemilihan responden dilakukan menggunakan metode purposive sampling. Parameter yang diamati adalah besarnya nilai keinginan membayar masyarakat terhadap keberadaan dan pelestarian penyu di Kawasan Lhokngah. Hasil penelitian menunjukkan keinginan membayar masyarakat di kawasan Pantai Lhoknga sebesar 109.704.000 per tahun.
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