Kuhn-Tucker Demand System Approaches to Non-Market Valuation

  • Roger H. von Haefen
  • Daniel J. Phaneuf
Part of the The Economics of Non-Market Goods and Resources book series (ENGO, volume 6)


In this chapter we summarize recent advances with Kuhn-Tucker demand system approaches to non-market valuation. Over the past five years, simulation-based estimation and welfare calculation strategies have been developed that enable the Kuhn-Tucker framework to address policy-relevant valuation questions in applications with many quality-differentiated goods. We review these modeling innovations in the context of three generic Kuhn-Tucker specifications that differ in terms of their ability to account for unobserved preference heterogeneity. For illustration, we apply the alternative specifications to Canadian moose hunting data and present parameter and welfare estimates. We conclude the chapter by suggesting important areas for future research within the Kuhn-Tucker framework.


Kuhn-Tucker models applied demand analysis simulation-based estimation welfare measurement 


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Copyright information

© Springer 2005

Authors and Affiliations

  • Roger H. von Haefen
    • 1
    • 2
  • Daniel J. Phaneuf
    • 3
  1. 1.Department of Agricultural and Resource EconomicsUniversity of ArizonaUSA
  2. 2.Department of Economics and Center for Environmental Science and PolicyStanford UniversityUSA
  3. 3.Department of Agricultural and Resource EconomicsNorth Carolina State UniversityUSA

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