Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...

Question

Question

Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...

Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches? Are there cases in which stated preference approaches will be recommended?

business economics

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

In order to assess the value of a non marketed good the revealed preference approaches uses the value of the good from the other markets which are related with it.

Under stated preference approaches, the consumer is asked to state his preferences on the basis of the questions asked about a hypothetical market.

Since the revealed preference approaches use the values from a real scenario that is already existing, it is preferred over stated preference approaches.

Stated preference approaches are recommended in order to assess the quality of the environmental elements. The quality of water and air can be assessed by stated preference approaches. The approach can also be used in relation to the preservation of the forests and wildlife.

Add a comment

Answer 2

Similar Homework Help Questions

What are some revealed and stated preference techniques you can use when addressing the environmental problem...

What are some revealed and stated preference techniques you can use when addressing the environmental problem of excess C02 build up due to vehicles? What assumptions can be made to warrant the use of a particular technique? What would be the best method/technique to use for a study such as this study and why? What is the main use of the type of valuation method (consumptive value or non-consumptive value), and why is it of use in the larger economic...
Are tariffs and quotas equivalent in their economic effects? Why do governments generally prefer to impose...

Are tariffs and quotas equivalent in their economic effects? Why do governments generally prefer to impose tariffs over quotas?
Why do economists prefer to use real gross domestic product (RGDP) instead of nominal gross domestic...

Why do economists prefer to use real gross domestic product (RGDP) instead of nominal gross domestic product (NGDP) when measuring the economic growth of a country? Why is real GDP considered more relevant than the other?

Why do government health policies impose the cost of an employee benefit on employers (or insurers)...

Why do government health policies impose the cost of an employee benefit on employers (or insurers) when economists claim that the employers (or insurer’s) cost generally is shifted to the employee (or insured person)
2. Why do economists believe that real GDP is a better measure of production over nominal...

2. Why do economists believe that real GDP is a better measure of production over nominal GDP?
QUESTION 47 Which of the following is a reason why most economists prefer a wage subsidy...

QUESTION 47 Which of the following is a reason why most economists prefer a wage subsidy to a minimum wage? C ) A. A wage subsidy decreases low-skilled employment while a minimum wage increases it. accumulation of human capital. O C. A wage subsidy helps businesses while a minimum wage helps workers. ()D A wage subsidy does not require more government spending while a minimum wage requires moregovernment spending. QUESTION 48 The government places rent controls on apartments, pushing the...

Why are company 401K programs so important to employees? What benefit do they offer over individual...

Why are company 401K programs so important to employees? What benefit do they offer over individual retirement plans?
1. Why do economists oppose attempts to control prices? Why does the government attempt to control...

1. Why do economists oppose attempts to control prices? Why does the government attempt to control prices anyway in a number of markets? 2. Does a binding pricing ceiling cause a shortage or a surplus? Does a non-binding price floor cause a shortage or surplus? Provide an example to support your example for each of the problems above. 3. Does cost-benefit analysis apply to public goods only? If yes, why? If not, name situations in which economists would use cost-benefit...
According to Robert Trivers, why are men generally larger and more physically aggressive than women? Because...

According to Robert Trivers, why are men generally larger and more physically aggressive than women? Because women are more reproductively “valuable” than men, hence competition for mates is fiercer among men Because men invest more heavily in reproduction than women Because men secrete more testosterone Trivers’ theory does not speculate on the origin of the sex difference in size and physical aggression Although some women are interested in casual sex (short-term mating), research has suggested that there are differences in...

Whose perspective do you agree with—Sandy's or Grace's? Why? Do you think there are important differences...

Whose perspective do you agree with—Sandy's or Grace's? Why? Do you think there are important differences between the cases of Henrietta Lacks, Jean, and the Havasupai? Explain your answer. Are there cases of advances in medical knowledge that do not, at least potentially, threaten to violate the privacy of individual patients? CASE STUDY: Timothy B. Patrick, Peter J. Tonellato, and Mark A. Hoffman Two health sciences graduate students, Sandy and Grace, are discussing the value of clinical uses of genetic...

Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...

Homework Answers

Add Answer to:
Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...

Post as a guest

Earn Coins

What are some revealed and stated preference techniques you can use when addressing the environmental problem...

Are tariffs and quotas equivalent in their economic effects? Why do governments generally prefer to impose...

Why do economists prefer to use real gross domestic product (RGDP) instead of nominal gross domestic...

Why do government health policies impose the cost of an employee benefit on employers (or insurers)...

2. Why do economists believe that real GDP is a better measure of production over nominal...

QUESTION 47 Which of the following is a reason why most economists prefer a wage subsidy...

Why are company 401K programs so important to employees? What benefit do they offer over individual...

1. Why do economists oppose attempts to control prices? Why does the government attempt to control...

According to Robert Trivers, why are men generally larger and more physically aggressive than women? Because...

Whose perspective do you agree with—Sandy's or Grace's? Why? Do you think there are important differences...

Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...

Homework Answers

Add Answer to: Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...

Post as a guest

Earn Coins

Add Answer to:
Why do economists generally prefer revealed preference approaches to environmental benefit valuation over stated preference approaches?...