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Discrete/Continuous Choices in Contingent Valuation Surveys: Soil Conservation Decisions in Michigan

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  • Luanne Lohr
  • Timothy Park

Abstract

A discrete/continuous model of participation in environmental programs is developed. A conditional expectation correction model is used to overcome the selectivity bias inherent in single-equation approaches used to describe participation. The two-equation model proposed explicitly recognizes the linkage between the discrete decision (participate or not) and the continuous decision (level of participation for enrollees). This approach yields a measure of willingness to accept payment for program participation that is not obtainable when level of participation alone is considered. A model using contingent valuation survey data assessing participation in the filter strip program in Michigan serves as an example.

Suggested Citation

  • Luanne Lohr & Timothy Park, 1994. "Discrete/Continuous Choices in Contingent Valuation Surveys: Soil Conservation Decisions in Michigan," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 16(1), pages 1-15.
    • Handle: RePEc:oup:revage:v:16:y:1994:i:1:p:1-15.
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    File URL: http://hdl.handle.net/10.2307/1349516
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    Citations

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    Cited by:

    1. Bills, Nelson L. & Poe, Gregory L. & Wright, Peter, 2003. "Using Voluntary Approaches to Reduce Environmental Damages: Evidence from a Survey of New York Dairy Farms," Japanese Journal of Agricultural Economics (formerly Japanese Journal of Rural Economics), Agricultural Economics Society of Japan (AESJ), vol. 5, pages 1-16.
    2. Hudson, Darren & Jones, Tom, 2001. "Willingness to Plant Identity Preserved Crops: The Case of Mississippi Soybeans," Journal of Agricultural and Applied Economics, Cambridge University Press, vol. 33(3), pages 475-485, December.
    3. Poe, Gregory L. & Bills, Nelson L. & Bellows, Barbara & Crosscombe, Patricia & Koelsch, Rick & Kreher, Michael & Wright, Peter, 1999. "Documenting the Status of Dairy Manure Management in New York: Current Practices and Willingness to Participate in Voluntary Programs," Staff Papers 121154, Cornell University, Department of Applied Economics and Management.
    4. Kingsbury, Leigh & Boggess, William G., 1999. "An Economic Analysis Of Riparian Landowners' Willingness To Participate In Oregon'S Conservation Reserve Enhancement Program," 1999 Annual meeting, August 8-11, Nashville, TN 21641, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).

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