| Authors |
Koundouri, P., Davila, O. and Pantelidis, T. |
| Title |
Measuring the Economic Value of Sustainable River Basin Management: The Full-Preference Rank Method |
| Abstract |
This study exploits the data from a full-preference ranking Choice Experiment (CE) designed to
investigate how respondents evaluate a set of proposed improvements in the Asopos water
catchment in Greece. These improvements are following the prescriptions of the European Union
Water Framework Directive (2000). We first estimate a rank-ordered logistic regression based on
the full set of choices by respondents to calculate the willingness to pay (WTP) of respondents
for each one of the three attributes considered in the CE (that is, environmental conditions,
impact on the local economy and changes in the potential uses of water). The model is initially
estimated for the full sample and then re-estimated twice for two sub-samples: the one includes
only the residents of Athens and the other includes only the residents of Asopos. Afterwards, we
examine the effect of various demographic and socio-economic factors (such as income, gender,
age, employment and education) on the estimates of our model in an attempt to reveal any
differences among respondents with different characteristics. Thus, our analysis simultaneously
provides a robustness check on previous findings in the literature and additional information
about how various demographic and socio-economic characteristics affect the evaluation of the
selected attributes. |
| Creation Date |
2015-02-05 |
| Keywords |
Choice experiment, Full-preference ranking, Logistic regression, Asopos River Basin, Environmental degradation, Water quality and quantity; Random utility maximization; Logit probabilities; Water Framework Directive; Residency-specific use and non-use val |
| Classification JEL |
Q25, Q51, Q53 |
| File |
Measuring.the.Economic.Value.of.Sustainable.River.Basin.Management.pdf (359588 bytes) |
| File-Function |
First version |
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Copyright © 2009 [D.I.E.S.S. A.U.E.B.]. All rights reserved.
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