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Willingness To Pay For Air Quality Improvements From Using Electric Jeepneys In Metro Manila

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  • JAMIL PAOLO S. FRANCISCO

    (Asian Institute of Management, 123 Paseo de Roxas, Makati City 1229, Philippines)

Abstract

This study used the contingent valuation method (CVM) to measure the benefits of improved air quality in Metro Manila through the adoption of cleaner public transportation. A single-bound dichotomous choice contingent valuation approach using the referendum format was used to estimate the willingness to pay (WTP) from a survey of 1,000 households. The study arrived at WTP estimates for the proposed program ranging from USD3.85 to USD5.77 per month. Income elasticity of WTP was estimated at 0.49. The study also investigated the impact of using secret ballots for eliciting WTP responses to minimize "yea-saying" behavior and reduce social desirability bias.

Suggested Citation

  • Jamil Paolo S. Francisco, 2015. "Willingness To Pay For Air Quality Improvements From Using Electric Jeepneys In Metro Manila," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 60(04), pages 1-17.
    • Handle: RePEc:wsi:serxxx:v:60:y:2015:i:04:n:s0217590815500733
    DOI: 10.1142/S0217590815500733
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    References listed on IDEAS

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    1. Rodelio F Subade, 2005. "Valuing Biodiversity Conservation in a World Heritage Site: Citizen's Non-use Values for Tubbataha Reefs National Marine Park, Philippines," EEPSEA Research Report rr2005064, Economy and Environment Program for Southeast Asia (EEPSEA), revised Jun 2005.
    2. Krupnick, Alan J. & Morgenstern, Richard D. & Fischer, Carolyn & Rolfe, Kevin & Logarta, Jose & Rufo, Bing, 2003. "Air Pollution Control Policy Options for Metro Manila," Discussion Papers 10612, Resources for the Future.
    3. Whittington, Dale & Hua Wang, 2000. "Willingness to pay for air quality improvements in Sofia, Bulgaria," Policy Research Working Paper Series 2280, The World Bank.
    4. Ian J. Bateman & Richard T. Carson & Brett Day & Michael Hanemann & Nick Hanley & Tannis Hett & Michael Jones-Lee & Graham Loomes, 2002. "Economic Valuation with Stated Preference Techniques," Books, Edward Elgar Publishing, number 2639.
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    Cited by:

    1. Moritz A. Drupp & Zachary M. Turk & Ben Groom & Jonas Heckenhahn, 2024. "Limited Substitutability, Relative Price Changes and the Uplifting of Public Natural Capital Values," CESifo Working Paper Series 11156, CESifo.
    2. Tien Dung Khong & Yen Dan Tong & Le Thai Hanh Bui, 2023. "Cost-Benefit Analysis and Model Preference of Public Transportation in Can Tho City, Vietnam," Sustainability, MDPI, vol. 15(9), pages 1-17, April.

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    More about this item

    Keywords

    Willingness to pay; air quality; jeepney; secret ballot; Q51; Q53;
    All these keywords.

    JEL classification:

    • Q51 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Valuation of Environmental Effects
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

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