Year: 2001
Type: preprint
Abstract: This paper provides the latest research developments in the method of choice experiments applied to\nvaluation of non-market goods. Choice experiments, along with the, by now, well-known contingent\nvaluation method, are very important tools for valuing non-market goods and the results are used in both\ncost-benefit analyses and litigations related to damage assessments. The paper should provide the reader\nwith both the means to carry out a choice experiment and to conduct a detailed critical analysis of its\nperformance in order to give informed advice about the results. A discussion of the underlying economic\nmodel of choice experiments is incorporated, as well as a presentation of econometric models consistent\nwith economic theory. Furthermore, a detailed discussion on the development of a choice experiment is\nprovided, which in particular focuses on the design of the experiment and tests of validity. Finally, a\ndiscussion on different ways to calculate welfare effects is presented.
Institution: University of Gothenburg
Language: English
Subfield: Economics and Econometrics
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2137434519