RT Journal Article
SR Electronic
T1 Lumpy Heterogeneity in Groundwater Service Values and Time Preferences
JF Land Economics
JO Land Econ
FD University of Wisconsin Press
SP 040524-0033
DO 10.3368/le.101.1.040524-0033
A1 Kovacs, Kent F.
A1 Snell, Heather
A1 McFadden, Brandon R.
A1 Nayga, Rodolfo M.
YR 2024
UL http://le.uwpress.org/content/early/2024/07/15/le.101.1.040524-0033.abstract
AB From a choice experiment about groundwater management, we consider time preferences and groundwater service values through socio-demographic characteristics using a model called the discounted latent class model. A policy motivated latent class has a higher income, greater familiarity with an aquifer, and more concern for the risks that groundwater decline poses to people and the environment. A business-as-usual latent class has a conservative ideology. Exponential discounting is preferred, and the discount rate is larger for the policy group than the business-as-usual group. Other models we use include the discounted mixed logit model, and the discounted logit mixed logit model.