RT Journal Article
SR Electronic
T1 Using Willingness to Pay and Willingness to Accept to Value Farmland Preservation under Ambiguous Property Rights and Preference Uncertainty
JF Land Economics
JO Land Econ
FD University of Wisconsin Press
SP 639
OP 657
DO 10.3368/le.98.4.060120-0074R2
VO 98
IS 4
A1 Luo, Yicong
A1 Swallow, Brent M.
A1 Adamowicz, Wiktor L.
YR 2022
UL http://le.uwpress.org/content/98/4/639.abstract
AB We use a paired-sample binary choice experiment to estimate willingness to pay (WTP) and willingness to accept (WTA) values when land is converted from agriculture to developed uses in Alberta, Canada. Validated principles for stated preference are followed in scenario design, elicitation format, experimental design, and ancillary questions. Preference uncertainty is addressed through alternative calibration of uncertain responses. Reliability and incentive compatibility measures indicate that respondents found both WTP and WTA scenarios to be plausible and incentive compatible. WTA-WTP value gaps are smaller than most previous studies, with consequentiality increasing WTA, WTP, and the gap between WTA and WTP. (JEL Q51, Q58)