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How Sensitive Are Environmental Values to Payment Card Design in Contingent Valuation?
Ph.D. Candidate, School of Business and Law, University of Agder, Norway.
Partner, Menon Economics, Oslo.
Professor, School of Economics and Business, Norwegian University of Life Sciences, Ås.
KTH, School of Electrical Engineering and Computer Science (EECS), Human Centered Technology, Media Technology and Interaction Design, MID. School of Business and Law, University of Agder, Norway.ORCID iD: 0000-0002-0283-8777
2025 (English)In: Land Economics, ISSN 0023-7639, E-ISSN 1543-8325, Vol. 101, no 3, p. 398-422Article in journal (Refereed) Published
Abstract [en]

Contingent valuation studies of people’s willingness to pay (WTP) for ecosystem services are frequently used to inform the social benefit-cost analysis of environmental protection measures. Though contingent valuation is generally accepted in this context, response anomalies exist. Drawing on the anchoring-and-adjustment heuristic in psychology and context effects literature, we examine the impact of subtle design variation on people’s WTP. In a split-sample national survey of WTP to prevent coastal environmental damages from oil spills, different payment card elicitation formats significantly affect mean WTP, at most by 43%. This underscores the importance of a research agenda on the effects of subtle design variation on environmental value estimates.

Place, publisher, year, edition, pages
University of Wisconsin Press , 2025. Vol. 101, no 3, p. 398-422
National Category
Economics Environmental Sciences
Identifiers
URN: urn:nbn:se:kth:diva-370399DOI: 10.3368/le.101.3.061924-0053RISI: 001545695900006Scopus ID: 2-s2.0-105015581515OAI: oai:DiVA.org:kth-370399DiVA, id: diva2:2001820
Note

QC 20250929

Available from: 2025-09-29 Created: 2025-09-29 Last updated: 2025-09-29Bibliographically approved

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Otterbring, Tobias

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