Estimates from SP and RP/SP Models without Interactions
| SP Only | RP/SP-A | RP/SP-B | RP/SP-C | ||||||
| Parameter Estimates | Estimate | t-Statistic | Estimate | t-Statistic | Estimate | t-Statistic | Estimate | t-Statistic | |
| β0-R | 0.894 | 7.081 | 0.847 | 6.417 | 0.755 | 7.182 | 0.683 | 5.088 | |
| β1-ln(AOC) | 0.080 | 1.830 | 0.174 | 1.626 | 0.075 | 1.580 | 0.231 | 1.622 | |
| β4ln(size) | 3.587 | 8.674 | 3.561 | 8.489 | 2.226 | 7.889 | 2.001 | 6.006 | |
| β51 - E(more pollution) | -1.349 | -3.620 | -1.168 | -2.865 | -1.363 | -1.846 | -1.036 | -1.899 | |
| β52 - E(partial cleanup∼) | -0.074 | -0.381 | 0.128 | 0.431 | -0.121 | -0.591 | 0.242 | 0.292 | |
| β53 - E(full cleanup∼) | 0.518 | 2.743 | 0.711 | 2.405 | 0.433 | 2.370 | 0.787 | 2.036 | |
| β61 - E(more pollution) · ln(AOC) | 0.103 | 0.929 | 0.031 | 0.228 | 0.116 | 0.575 | -0.002 | -0.010 | |
| β62 - E(partial cleanup) · ln(AOC) | -0.035 | -0.646 | -0.117 | -1.165 | -0.027 | -0.411 | -0.162 | -0.821 | |
| β63-E(full cleanup) · ln(AOC) | -0.032 | -0.606 | -0.114 | -1.144 | -0.016 | -0.312 | -0.151 | -1.207 | |
| β7 - pricea | -0.350 | -7.275 | -0.312 | -5.764 | -0.463 | -8.900 | -0.415 | -6.432 | |
| MWTP Estimates | Dist. AOC (AOC = 0.5) | Dist. AOC (AOC = 1.5) | Size = 1,500 sqft | ||||||
| SP | $457.39 (262.22) | $152.46 (87.44) | $68.36 (11.93) | ||||||
| RP/SP-A, AOC moment only | $1,117.31 (736.99) | $372.44 (245.66) | $76.10 (13.67) | ||||||
| RP/SP-B, size moment only | $322.52 (211.39) | $107.51 (70.46) | $32.07 (2.37) | ||||||
| SP/RP-C, AOC and size moments | $1,116.53 (730.89) | $372.18 (243.63) | $32.19 (2.42) | ||||||
| Hedonic modelb | $1,169.52 (878.00) | $389.84 (292.66) | $34.81 (2.57) | ||||||
Note: Estimation includes 2,160 observed choice outcomes from 281 survey respondents. Standard errors in parentheses. AOC, Area of Concern; MWTP, marginal willingness to pay; RP, revealed preference; SP, stated preference.
↵a All dollar-denominated variables are measured in $10,000 increments at 2003 levels.
↵b Computed using sample weights as values for the north dummy variable.