IDEAS home Printed from https://ideas.repec.org/p/hal/pseptp/halshs-01626796.html
   My bibliography  Save this paper

Evaluating Willingness to Pay as a Measure of the Impact of Dyslexia in Adults

Author

Listed:
  • Daniel Herrera-Araujo

    (PJSE - Paris Jourdan Sciences Economiques - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique, PSE - Paris School of Economics - UP1 - Université Paris 1 Panthéon-Sorbonne - ENS-PSL - École normale supérieure - Paris - PSL - Université Paris Sciences et Lettres - EHESS - École des hautes études en sciences sociales - ENPC - École des Ponts ParisTech - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Bennett A. Shaywitz

    (YSM - Yale School of Medicine [New Haven, Connecticut])

  • John M. Holahan

    (YSM - Yale School of Medicine [New Haven, Connecticut])

  • Karen E. Marchione

    (YSM - Yale School of Medicine [New Haven, Connecticut])

  • Reissa Michaels

    (YSM - Yale School of Medicine [New Haven, Connecticut])

  • Sally E. Shaywitz

    (YSM - Yale School of Medicine [New Haven, Connecticut])

  • James K. Hammitt

    (Harvard University, TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - INRA - Institut National de la Recherche Agronomique - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique)

Abstract

While much is known about dyslexia in school-age children and adolescents, less is known about its effects on quality of life in adults. Using data from the Connecticut Longitudinal Study, we provide the first estimates of the monetary value of improving reading, speaking, and cognitive skills to dyslexic and nondyslexic adults. Using a stated-preference survey, we find that dyslexic and nondyslexic individuals value improvements in their skills in reading speed, reading aloud, pronunciation, memory, and information retrieval at about the same rate. Because dyslexics have lower self-reported levels on these skills, their total willingness to pay to achieve a high level of skill is substantially greater than for nondyslexics. However, dyslexic individuals' willingness to pay (averaging $3000 for an improvement in all skills simultaneously) is small compared with the difference in earnings between dyslexic and nondyslexic adults. We estimate that dyslexic individuals earn 15% less per year (about $8000) than nondyslexic individuals. Although improvements in reading, speaking, and cognitive skills in adulthood are unlikely to eliminate the earnings difference that reflects differences in educational attainment and other factors, stated-preference estimates of the value of cognitive skills may substantially underestimate the value derived from effects on lifetime earnings and health.

Suggested Citation

  • Daniel Herrera-Araujo & Bennett A. Shaywitz & John M. Holahan & Karen E. Marchione & Reissa Michaels & Sally E. Shaywitz & James K. Hammitt, 2017. "Evaluating Willingness to Pay as a Measure of the Impact of Dyslexia in Adults," PSE-Ecole d'économie de Paris (Postprint) halshs-01626796, HAL.
    • Handle: RePEc:hal:pseptp:halshs-01626796
    DOI: 10.1017/bca.2017.3
    Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-01626796
    as

    Download full text from publisher

    File URL: https://shs.hal.science/halshs-01626796/document
    Download Restriction: no
    File URL: https://libkey.io/10.1017/bca.2017.3?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Cameron Trudy Ann & Quiggin John, 1994. "Estimation Using Contingent Valuation Data from a Dichotomous Choice with Follow-Up Questionnaire," Journal of Environmental Economics and Management, Elsevier, vol. 27(3), pages 218-234, November.
    2. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521766555, September.
    3. Katherine Stackelberg & James Hammitt, 2009. "Use of Contingent Valuation to Elicit Willingness-to-Pay for the Benefits of Developmental Health Risk Reductions," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 43(1), pages 45-61, May.
    4. W. Michael Hanemann, 1994. "Valuing the Environment through Contingent Valuation," Journal of Economic Perspectives, American Economic Association, vol. 8(4), pages 19-43, Fall.
    5. Sloan, Frank A. & Kip Viscusi, W. & Chesson, Harrell W. & Conover, Christopher J. & Whetten-Goldstein, Kathryn, 1998. "Alternative approaches to valuing intangible health losses: the evidence for multiple sclerosis1," Journal of Health Economics, Elsevier, vol. 17(4), pages 475-497, August.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wei Li & Nianbo Dong & Rebecca A. Maynard, 2020. "Power Analysis for Two-Level Multisite Randomized Cost-Effectiveness Trials," Journal of Educational and Behavioral Statistics, , vol. 45(6), pages 690-718, December.
    2. Herrera-Araujo, Daniel & Rheinberger, Christoph M. & Hammitt, James K., 2022. "Valuing non-marginal changes in mortality and morbidity risk," Journal of Health Economics, Elsevier, vol. 84(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rodríguez, Elsa Mirta M. & Lacaze, María Victoria & Lupín, Beatriz, 2007. "Willingness to pay for organic food in Argentina: evidence from a consumer survey," Nülan. Deposited Documents 1300, Universidad Nacional de Mar del Plata, Facultad de Ciencias Económicas y Sociales, Centro de Documentación.
    2. Stephanie F. Stefanski & Jay P. Shimshack, 2016. "Valuing Marine Biodiversity in the Gulf of Mexico: Evidence from the Proposed Boundary Expansion of the Flower Garden Banks National Marine Sanctuary," Marine Resource Economics, University of Chicago Press, vol. 31(2), pages 211-232.
    3. Richard Carson & Nicholas Flores & Norman Meade, 2001. "Contingent Valuation: Controversies and Evidence," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 19(2), pages 173-210, June.
    4. Richard T. Carson, 2011. "Contingent Valuation," Books, Edward Elgar Publishing, number 2489.
    5. Bechtold, Kai-Brit & Abdulai, Awudu, 2012. "Using Choice Experiments to Measure Consumers’ Preferences for Functional Dairy Products in Germany: Are Willingness-To-Pay Estimates Affected by Starting Point Bias?," 86th Annual Conference, April 16-18, 2012, Warwick University, Coventry, UK 135073, Agricultural Economics Society.
    6. Jayson L. Lusk & Darren Hudson, 2004. "Willingness-to-Pay Estimates and Their Relevance to Agribusiness Decision Making," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 26(2), pages 152-169.
    7. Kanchanaroek, Yingluck & Aslam, Uzma, 2018. "Policy schemes for the transition to sustainable agriculture—Farmer preferences and spatial heterogeneity in northern Thailand," Land Use Policy, Elsevier, vol. 78(C), pages 227-235.
    8. José L Oviedo & Pablo Campos & Alejandro Caparrós, 2022. "Contingent valuation of landowner demand for forest amenities: application in Andalusia, Spain," European Review of Agricultural Economics, Oxford University Press and the European Agricultural and Applied Economics Publications Foundation, vol. 49(3), pages 615-643.
    9. 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.
    10. Daniel A. Brent & Lata Gangadharan & Anke D. Leroux & Paul A. Raschky, 2022. "Reducing bias in preference elicitation for environmental public goods," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 66(2), pages 280-308, April.
    11. Ludwig, Jens & Cook, Philip J, 2001. "The Benefits of Reducing Gun Violence: Evidence from Contingent-Valuation Survey Data," Journal of Risk and Uncertainty, Springer, vol. 22(3), pages 207-226, May.
    12. Jimenez Mori, Raul Alberto, 2017. "Are Blackout Days Free of Charge?: Valuation of Individual Preferences for Improved Electricity Services," IDB Publications (Working Papers) 8424, Inter-American Development Bank.
    13. Bennett, Michael T. & Gong, Yazhen & Scarpa, Riccardo, 2018. "Hungry Birds and Angry Farmers: Using Choice Experiments to Assess “Eco-compensation” for Coastal Wetlands Protection in China," Ecological Economics, Elsevier, vol. 154(C), pages 71-87.
    14. Aslam, Uzma & Termansen, Mette & Fleskens, Luuk, 2017. "Investigating farmers’ preferences for alternative PES schemes for carbon sequestration in UK agroecosystems," Ecosystem Services, Elsevier, vol. 27(PA), pages 103-112.
    15. Ladenburg, Jacob & Olsen, Søren Bøye, 2008. "Gender-specific starting point bias in choice experiments: Evidence from an empirical study," Journal of Environmental Economics and Management, Elsevier, vol. 56(3), pages 275-285, November.
    16. Daniel A. Brent & Lata Gangadharan & Anke Leroux & Paul A. Raschky, 2014. "Putting One's Money Where One's Mouth is: Increasing Saliency in the Field," Monash Economics Working Papers 43-14, Monash University, Department of Economics.
    17. Nijhum, Farzana & Westbrook, Cherie & Noble, Bram & Belcher, Ken & Lloyd-Smith, Patrick, 2021. "Evaluation of alternative land-use scenarios using an ecosystem services-based strategic environmental assessment approach," Land Use Policy, Elsevier, vol. 108(C).
    18. Robert J. Johnston & Ewa Zawojska, 2018. "Benefit Transfer and Commodity Measurement Scales: Consequences for Validity and Reliability," Working Papers 2018-26, Faculty of Economic Sciences, University of Warsaw.
    19. Fifer, Simon & Rose, John M., 2016. "Can you ever be certain? Reducing hypothetical bias in stated choice experiments via respondent reported choice certaintyAuthor-Name: Beck, Matthew J," Transportation Research Part B: Methodological, Elsevier, vol. 89(C), pages 149-167.
    20. Pieter Serneels & Abigail Barr & Magnus Lindelow, 2005. "Understanding Geographical Imbalances in the Health Workforce," Economics Series Working Papers GPRG-WPS-018, University of Oxford, Department of Economics.

    More about this item

    JEL classification:

    • D03 - Microeconomics - - General - - - Behavioral Microeconomics: Underlying Principles
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • L13 - Industrial Organization - - Market Structure, Firm Strategy, and Market Performance - - - Oligopoly and Other Imperfect Markets
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:hal:pseptp:halshs-01626796. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Caroline Bauer (email available below). General contact details of provider: https://hal.archives-ouvertes.fr/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.