Modelling zero values and protest responses in contingent valuation surveys

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Abstract:

In contingent valuation surveys the category of zero bidders refers to individuals that are not willing to pay anything for the programme under analysis. Specific questions can help to identify true zero values, coming from people that are indifferent to the programme, separately from protest responses: the latter are generally excluded from the analysis. This paper introduces a mixture-sample selection model that takes into account both zero values and protest responses in the estimates. The model is applied to the valuation of a traffic calming scheme aimed at reducing risks for residents in three villages in the north-east of England.

Document Type: Research Article

DOI: http://dx.doi.org/10.1080/0003684022000015900

Affiliations: 1: CRENOS and Department of Economics and Social Research, University of Cagliari, Italy 2: Environment Department, University of York, UK 3: Department of Statistics, University of Bologna, Italy 4: CREAM and Department of Agricultural Economics and Food Marketing, University of Newcastle upon Tyne, UK 5: CREAM and School of Architecture, Planning and Landscape, University of Newcastle upon Tyne, UK

Publication date: January 1, 2003

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