Ryan, Anthony M. and Spash, Clive L. (2010): Testing Kahneman's Attitudinal WTP Hypothesis.
Download (152kB) | Preview
A psychological interpretation of willingness to pay (WTP) bids arising from the Contingent Valuation Method (CVM) claims they represent a general contribution towards environmental causes rather than a personal economic valuation. Yet the evidence supporting this contribution model has been criticised for using group mean correlations to draw conclusions about individual motives. This paper avoids this problem by examining motives at an individual level. Evidence reported shows the need to qualify the role of the attitudinal explanation. Some, but not all, positive WTP bids are found to be based on contributory rather than economic motives, while the decision to bid zero or positive appears to represent a general psychological appraisal rather than being purely related to attitudes.
|Item Type:||MPRA Paper|
|Original Title:||Testing Kahneman's Attitudinal WTP Hypothesis|
|Keywords:||Contingent Valuation Method; Social Psychology; Environmental Valuation|
|Subjects:||A - General Economics and Teaching > A1 - General Economics > A13 - Relation of Economics to Social Values
H - Public Economics > H4 - Publicly Provided Goods > H41 - Public Goods
Q - Agricultural and Natural Resource Economics ; Environmental and Ecological Economics > Q5 - Environmental Economics > Q51 - Valuation of Environmental Effects
|Depositing User:||Clive L. Spash|
|Date Deposited:||04. May 2010 02:26|
|Last Modified:||21. Feb 2013 21:31|
Ajzen, I. 1991. "The Theory of Planned Behavior." Organizational Behavior and Human Decision Making Processes. 50 (2): 179-211.
Ajzen, I. 2001. "Nature and Operations of Attitudes." Annual Review of Psychology. 52 27-58.
Ajzen, I. 2006. "Constructing a Tpb Questionnaire: Conceptual and Methodological Considerations." http://people.umass.edu/aizen/pdf/tpb.measurement.pdf. Accessed 6th June 2009.
Andreoni, J. 1989. "Giving with Impure Altruism: Application to Charity and Ricardian Equivalence." Journal of Political Economy. 97 (6): 1447-58.
Arrow, K., R. Solow, P. Portney, R.,, E. Leamer, R. Radner and H. Schuman. 1993. "Report of the Noaa Panel on Contingent Valuation."
Bateman, I. J., R. T. Carson, B. Day, M. Hanemann, N. Hanley, T. Hett, M. Jones-Lee, G. Loomes, S. Mourato, E. Ozdemiroglu, D. W. Pearce, R. Sugden and J. Swanson. 2002. Economic Valuation with Stated Preference Techniques: A Manual. Cheltenham, UK: Edward Elgar.
Eagly, A. H. and S. Chaiken. 1993. The Psychology of Attitudes. Fort Worth, Tx: Harcourt Brace.
Eagly, A. H. and S. Chaiken. 2007. "The Advantages of an Inclusive Definition of Attitude." Social Cognition. 25 (5): 582-602.
Fischhoff, B. 1991. "Value Elicitation: Is Anything There?" American Psychologist. 46 (8): 835-47.
Hertwig, R., U. Hoffrage and L. Martignon. 1999. "Quick Estimation: Letting the Environment Do the Work." In Simple Heuristics That Make Us Smart, ed. G. Gigerenzer, P.M. Todd and ABC Research Group, 209-34. New York: Oxford University Press
Kahneman, D. and J. L. Knetsch. 1992. "Valuing Public Goods: The Purchase of Moral Satisfaction." Journal of Environmental Economics and Management. 22 (1): 57-70.
Kahneman, D. and I. Ritov. 1994. "Determinants of Stated Willingness to Pay for Public Goods: A Study in the Headline Method." Journal of Risk and Uncertainty. 9 (1): 5-38.
Kahneman, D., I. Ritov, K. Jacowitz and P. Grant. 1993. "Stated Willingness to Pay for Public Goods: A Psychological Perspective." Psychological Science. 4 (5): 310-15.
Kahneman, D., I. Ritov and D. Schkade. 1999. "Economic Preference or Attitude Expression?: An Analysis of Dollar Responses to Public Issues." Journal of Risk and Uncertainty. 19 (1-3): 203-36.
Kahneman, D., D. Schkade and C. Sunstein. 1998. "Shared Outrage and Erratic Awards: The Psychology of Punitive Damages." Journal of Risk and Uncertainty. 16 (1): 49-86.
McFadden, D. and G. Leonard. 1992. "Issues in the Contingent Valuation of Environmental Goods: Methodologies for Data Collection and Analysis." In Contingent Valuation: A Critical Assessment, ed. J. A. Hausman, 165-208. Amsterdam: Elsevier Science Publisher
Mitchell, R. C. and R. T. Carson. 1989. Using Surveys to Value Public Goods: The Contingent Valuation Method. Washington, DC: Resources for the future.
Monin, B. and D. A. Oppenheimer. 2005. "Correlated Averages Vs Averaged Correlations: Demonstrating the Warm Glow Heuristic Beyond Aggregation." Social Cognition. 23 (3): 257-78.
Nickerson, C. A. E. 1995. "Does Willingness to Pay Reflect the Purchase of Moral Satisfaction? A Reconsideration of Kahneman and Knetsch." Journal of Environmental Economics and Management. 28 (1): 126-33.
Payne, J. W., J. R. Bettman and D. Schkade. 1999. "Measuring Constructed Preferences: Towards a Building Code." Journal of Risk and Uncertainty. 19 (1-3): 243-70.
Ryan, A. and C. L. Spash. 2008. Measuring “Awareness of Environmental Consequences”: Two Scales and Two Interpretations. Socio-Economics and the Environment in Discussion CSIRO Working Paper Series 2008-10.
Schwarz, N. 2007. "Attitude Construction: Evaluation in Context." Social Cognition. 25 (5): 638-56.
Schwarz, N. and G. Bohner. 2001. "The Construction of Attitudes." In Blackwell Handbook of Social Psychology: Intraindividual Processes, ed. A. Tesser and N. Schwarz, 436-57. Malden, MA: Blackwell
Smith, V. K. 1994. "Lightening Rods, Dart Boards, and Contingent Valuation." Natural Resources Journal. 34 (1): 121-52.
Spash, C. L. 2000. "Ethical Motives and Charitable Contributions in Contingent Valuation: Empirical Evidence from Social Psychology and Economics." Environmental Values. 9 (4): 453-79.
Spash, C. L. 2006. "Non-Economic Motivation for Contingent Values: Rights and Attitudinal Beliefs in the Willingness to Pay for Environmental Improvements." Land Economics. 82 (4): 602-22.
Stern, P. C., T. Dietz and L. Kalof. 1993. "Value Orientation, Gender, and Environmental Concern." Environment and Behavior. 25 (3): 322-48.
Whynes, D. K., E. J. Frew, Z. N. Philips, J. Covey and R. D. Smith. 2007. "On the Numerical Forms of Contingent Valuation Responses." Journal of Economic Psychology. 28 (4): 462-76.
Whynes, D. K., Z. Philips, N., and E. J. Frew. 2005. "Think of a Number...Any Number?" Health Economics. 14 (11): 1191-95.