Abstract
Contingent valuation (CV) and its two arms, or deadly weapons, willingness to pay (WTP) and willingness to accept (WTA), are survey methods that are supposed to measure the value of nonmarket goods and are mainly used by cultural and environmental economists. WTP roughly consists of asking consumers (or producers) how much they are willing to pay to avoid a negative or to accept a positive outcome; WTA goes for compensation and asks how much an agent would like to be paid to accept a negative outcome or to forego a positive one. The two methods lead to different results, although in theory, they should not, which is not the worst that could happen.
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Ginsburgh, V. (2017). Contingent Valuation, Willingness to Pay, and Willingness to Accept. In: Frey, B., Iselin, D. (eds) Economic Ideas You Should Forget. Springer, Cham. https://doi.org/10.1007/978-3-319-47458-8_26
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DOI: https://doi.org/10.1007/978-3-319-47458-8_26
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Publisher Name: Springer, Cham
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Online ISBN: 978-3-319-47458-8
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