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As Time Goes By: Examination of Temporal Stability Across Stated Preference Question Formats

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  • J. Price

    (Brock University)

  • D. Dupont

    (Brock University)

  • W. Adamowicz

    (University of Alberta)

Abstract

We evaluate the temporal stability of willingness-to-pay values obtained from two identical stated-preference surveys undertaken in 2004 and 2012. The surveys employ two discrete-choice elicitation formats to value reductions in two health endpoints related to tap water consumption, and are explicitly designed to make direct comparisons between formats. We find no significant differences in real willingness-to-pay between the two surveys for either format—a result that is robust to the structure of heterogeneity used to model respondent preferences. Findings lend support, at least within the context of tap water quality, to the temporal transfer of nonmarket benefits over extended time periods.

Suggested Citation

  • J. Price & D. Dupont & W. Adamowicz, 2017. "As Time Goes By: Examination of Temporal Stability Across Stated Preference Question Formats," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 68(3), pages 643-662, November.
    • Handle: RePEc:kap:enreec:v:68:y:2017:i:3:d:10.1007_s10640-016-0039-x
    DOI: 10.1007/s10640-016-0039-x
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    Cited by:

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    2. Milad Haghani & Michiel C. J. Bliemer & John M. Rose & Harmen Oppewal & Emily Lancsar, 2021. "Hypothetical bias in stated choice experiments: Part I. Integrative synthesis of empirical evidence and conceptualisation of external validity," Papers 2102.02940, arXiv.org.
    3. Haghani, Milad & Bliemer, Michiel C.J. & Rose, John M. & Oppewal, Harmen & Lancsar, Emily, 2021. "Hypothetical bias in stated choice experiments: Part I. Macro-scale analysis of literature and integrative synthesis of empirical evidence from applied economics, experimental psychology and neuroimag," Journal of choice modelling, Elsevier, vol. 41(C).
    4. Bluffstone, Randy & Dannenberg, Astrid & Martinsson, Peter & Jha, Prakash & Bista, Rajesh, 2020. "Cooperative behavior and common pool resources: Experimental evidence from community forest user groups in Nepal," World Development, Elsevier, vol. 129(C).
    5. Perni, Ángel & Barreiro-Hurlé, Jesús & Martínez-Paz, José Miguel, 2020. "When policy implementation failures affect public preferences for environmental goods: Implications for economic analysis in the European water policy," Ecological Economics, Elsevier, vol. 169(C).
    6. Jie He & Bing Zhang, 2021. "Current Air Pollution and Willingness to Pay for Better Air Quality: Revisiting the Temporal Reliability of the Contingent Valuation Method," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 79(1), pages 135-168, May.
    7. Khuc, Quy Van & Nong, Duy & Phu Vu, Tri, 2022. "To pay or not to pay that is the question - for air pollution mitigation in a world’s dynamic city: An experiment in Hanoi, Vietnam," Economic Analysis and Policy, Elsevier, vol. 74(C), pages 687-701.
    8. Marjon van der Pol & Verity Watson & Dwayne Boyers, 2024. "Stability of Willingness to Pay: Does Time and Treatment Allocation in a Randomized Controlled Trial Influence Willingness to Pay?," Medical Decision Making, , vol. 44(5), pages 470-480, July.
    9. Rolfe, John & Dyack, Brenda, 2019. "Testing Temporal Stability of Recreation Values," Ecological Economics, Elsevier, vol. 159(C), pages 75-83.
    10. Brebner, Sarah & Sonnemans, Joep, 2018. "Does the elicitation method impact the WTA/WTP disparity?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 73(C), pages 40-45.
    11. Galina Williams, 2022. "Temporal stability of WTP estimates in labeled and unlabeled choice experiment for emissions reduction options, Queensland, Australia," Environmental Economics and Policy Studies, Springer;Society for Environmental Economics and Policy Studies - SEEPS, vol. 24(4), pages 533-550, October.

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    More about this item

    Keywords

    Discrete choice experiment; Temporal stability; Water values; Willingness-to-pay;
    All these keywords.

    JEL classification:

    • Q25 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Water
    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects

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