Payment and Policy Consequentiality in Dichotomous Choice Contingent Valuation: Experimental Design Effects on Self-Reported Perceptions

Tobias Börger*, Tenaw Gedefaw Abate, Margrethe Aanesen, Ewa Zawojska

*Corresponding author for this work

Research output: Contribution to journal/Conference contribution in journal/Contribution to newspaperJournal articleResearchpeer-review

Abstract

Although the contingent valuation literature emphasizes the importance of controlling for respondents’ consequentiality perceptions, this literature has rarely accounted for the difference between payment and policy consequentiality. We examine the influence of a randomly assigned tax amount on consequentiality self-reports and their potential endogeneity using data from a single dichotomous choice survey about reducing marine plastic pollution in Norway. Results show that consequentiality perceptions are a function of the tax amount, with payment consequentiality decreasing and policy consequentiality increasing with higher tax amounts. We discuss the challenge of finding valid instruments to address the potential endogeneity of consequentiality perceptions
Original languageEnglish
JournalLand Economics
Volume97
Issue2
Pages (from-to)407–424
Number of pages18
ISSN0023-7639
Publication statusPublished - May 2021

Fingerprint

Dive into the research topics of 'Payment and Policy Consequentiality in Dichotomous Choice Contingent Valuation: Experimental Design Effects on Self-Reported Perceptions'. Together they form a unique fingerprint.

Cite this