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Contingent valuation of community forestry programs in Ethiopia: Controlling for preference anomalies in double-bounded CVM

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  • Gelo, Dambala
  • Koch, Steven F.

Abstract

This study examines the welfare effects of community plantations in Ethiopia via contingent valuation. Both single-bounded and double-bounded survey methods were considered, and, with respect to double-bounded methods, the potential for anomalous response behaviour was also taken into account. The results generally confirm that there are statistically significant welfare benefits to be derived from community forestry; however, the range of the estimated benefits is large. After controlling for anomalous response behaviour, the range of estimated benefits narrows, and our preferred estimates place the welfare gain between Ethiopian Birr (ETB) 20.14 and 30.41 per household, which is much lower than the estimated benefits without controlling for anomalous preference responses.

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  • Gelo, Dambala & Koch, Steven F., 2015. "Contingent valuation of community forestry programs in Ethiopia: Controlling for preference anomalies in double-bounded CVM," Ecological Economics, Elsevier, vol. 114(C), pages 79-89.
    • Handle: RePEc:eee:ecolec:v:114:y:2015:i:c:p:79-89
    DOI: 10.1016/j.ecolecon.2015.03.014
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    More about this item

    Keywords

    Double-bounded contingent valuation; Shift bias; Anchoring bias;
    All these keywords.

    JEL classification:

    • Q26 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Recreational Aspects of Natural Resources
    • Q23 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Forestry
    • Q28 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Government Policy

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