POLICY CHANGES AND THE DEMAND FOR LOTTERY-RATIONED BIG GAME HUNTING LICENSES

Lotteries are commonly used to allocate big game hunting privileges. In this study, lottery demand and consumer surplus are modeled before and after policy changes designed to increase participation. The application is to New Mexico elk hunt lotteries. Given the volume and variety of hunts, we adopt a disaggregated and flexible count modeling approach. Two welfare measures are estimated: Marshallian surplus and a proposed measure that incorporates consumer uncertainty. The Marshallian measure produces smaller and slightly less precise estimates. However, regardless of the surplus measure examined, welfare increased significantly with the policy changes, while revenues changed by less than 1%.Resource /Energy Economics and Policy,

Testing for Budget Constraint Effects in a National Advisory Referendum Survey on the Kyoto Protocol

In contrast to providing standard reminders about remembering household budgets, does asking survey respondents about their discretionary income and its use affect their voting responses in a national advisory referendum survey? We explore this question using U.S. household data from a unique set of multi-mode random samples (telephone and Internet surveys), and an advisory referendum concerning the Kyoto Protocol. The contingent valuation method is applied to estimate household willingness to pay (WTP) for a split-sample treatment: respondents who only received a standard reminder of household budgets (control group) versus respondents who received two mental accounting-type questions on discretionary income and its uses (treatment group). Results indicate that the treatment significantly influences voting responses and lowers estimated household WTP.budget constraint, contingent valuation, Kyoto Protocol, mental accounts, referendum, Environmental Economics and Policy,

Exploring the Beta Model Using Proportional Budget Information in a Contingent Valuation Study

Using a set of random telephone and Internet (web-based) survey samples for a national advisory referendum, we implement Beta models to handle proportional budget information, and allow for consistency in modeling assumptions and the calculation of estimated willingness to pay (WTP). Results indicate significant budget constraint effects and demonstrate the potential for Beta models in handling mental-accounting type information.Beta model

Internet Versus Telephone in Contingent Valuation: Application to the Kyoto Protocol

Abstract only with list of additional readings:.ABSTRACT: Estimating the values individuals place on passively consumed goods, such as the existence of unique natural resources, can only be done by posing hypothetical questions intended to elicit statements about their willingness to pay (or be paid) for changes in these goods. These questions are administered through contingent valuation (CV) surveys. Recent years have witnessed both an expansion of the use of CV surveys, and the development of ever more sophisticated methods for conducting them. Nevertheless, a number of fundamental methodological issues remain. One barrier to faster progress in resolving them is the high cost of administering CV surveys through person-to-person, mail, or telephone interviews, which hinders the use of alternative CV instruments within a single study to determine which instruments are more reliable. This study reports on an NSF-funded research project that takes advantage of the relatively low cost of administering CV surveys through the Internet to address several methodological issues. The specific context is an examination of household willingness to pay for ratification of the Kyoto Protocol on global climate change, using a national advisory referendum format. Additionally, this study investigates the extent to which the Internet can be a replacement technology for the telephone in survey research. The experimental design includes a variety of split-sample informational treatments. Initial empricial results report on the extent to which the Internet sample (13,034 completed questionnaires) replicates a national random sample of American households conducted through random digit dialing (1,392 completed questionnaires). Comparisons are made both in terms of willingness-to-pay estimates, under different treatment conditions, and responses to a variety of background questions. For example, within the Internet sample, comparisons are made between respondents who received surveys identical to the telephone respondents, and those who were given access to a massively larger quantity of information on the science of global climate change and the Kyoto Protocol. Although the research deals specifically with contingent valuation, and therefore is of most direct interest to environmental valuation researchers, it should be of general interest to policy analysts and researchers who gather information through surveys

Addressing Negative Willingness to Pay in Dichotomous Choice Contingent Valuation

This paper has four purposes. First, we outline the controversy surroundingthe issue of negative willingness to pay (WTP)in contingent valuation (CV) studies. Second,we use Monte Carlo simulation to examine theperformance of alternative distributionalassumptions in estimating WTP in the presenceof varying proportions of the populationholding negative WTP values. We focus ondichotomous choice CV (DC-CV), where negativeWTP values may be especially difficult todetect. Third, we extend the simulation toinvestigate the performance of the mixturemodels that have recently been proposed forhandling/identifying non-positive WTP values. Fourth, we extend the simulation to investigatethe performance of the nonparametric lowerbound Turnbull approach. Results indicate thatthe relative performance of the DC-CV modelingalternatives evaluated here, which assumepositive WTP, varies across the simulationsetting (e.g., proportion of negative WTP); butnone can be said to reasonably ``solve'' theproblem ex post. This underscores theimportance of ex ante efforts to identify ifnegative WTP is likely to be prominent in agiven valuation setting. In such cases,appropriately handling negative WTP must beaddressed through ex ante survey design andmodeling choices that allow negative WTP. Copyright Kluwer Academic Publishers 2001contingent valuation, Monte Carlo simulation, negative willingness to pay,

POLICY CHANGES AND THE DEMAND FOR LOTTERY-RATIONED BIG GAME HUNTING LICENSES

Lotteries are commonly used to allocate big game hunting privileges. In this study, lottery demand and consumer surplus are modeled before and after policy changes designed to increase participation. The application is to New Mexico elk hunt lotteries. Given the volume and variety of hunts, we adopt a disaggregated and flexible count modeling approach. Two welfare measures are estimated: Marshallian surplus and a proposed measure that incorporates consumer uncertainty. The Marshallian measure produces smaller and slightly less precise estimates. However, regardless of the surplus measure examined, welfare increased significantly with the policy changes, while revenues changed by less than 1%

A risk-based environmental Kuznets curve for US hazardous waste sites

The Environmental Kuznets Curve (EKC) hypothesis is investigated for US hazardous waste sites. Where past studies have typically focused on cross-country analyses of conventional air and water pollutants, here, US county level data and assessed risk is used as the measure of environmental degradation.

Investigating the Impact of Social Networks on Household Forest Conservation Effort in Rural Nepal

The objective of this paper is to investigate links between the strength and type of social networks, as a collective or community characteristic, and private forest conservation activity in rural Nepal. Using rural household data from the Nepal Living Standards Survey, this paper tests the effects of alternative social network (SN) indices on the number of trees planted on private land. To handle excess zeros and overdispersion in the data, we use the zero-inflated negative binomial (ZINB) model, while testing and correcting for endogeneity in the SN indices. Findings are consistent with the theory that social networks, such as community forest user groups, can have positive effects not just on community forest management but also spillovers or externality effects that enhance private conservation effort. This generalization requires careful qualification. Social networks directly related to conservation activities increase tree planting on private land. Whereas, social networks not related to conservation activities exhibit rivalry. While there has been considerable discussion in the planning and development literature about building and enhancing social networks, the policy implication is that not all social networks are created equal when it comes to enhancing critical conservation activities

The Impacts of Social Networks and Household Forest Conservation Efforts in Rural Nepal

This paper investigates links between the strength and type of social networks and private forest conservation activity in rural Nepal. Using Nepal household survey data, this paper tests the effects of alternative social network indices on the number of trees planted on private land. Our findings show that social networks can have positive spillovers effects. However, this generalization requires careful qualification about the type of social network involved. While there has been considerable discussion about building and enhancing social networks, the policy implication is that not all networks are created equal when it comes to enhancing critical conservation activities.