Pub Date : 2022-01-28DOI: 10.3368/le.98.4.102820-0164r1
Zhenshan Chen, Pengfei Liu, E. Schultz, J. Kasper, S. Swallow
The expected outcomes arising from alternative policies on respondent choice have not been sufficiently accounted for in stated preference studies. We accordingly develop a framework to quantitatively assess the influence of outcome provision and illustrate with a choice experiment in a recreational fishery. The application suggests that participants are more likely to choose the status quo and low-cost options when outcomes are not provided, and these conservative behaviors might reflect the higher dispersion in anglers’ utility in tautog (Tautoga onitis) fishing. Further investigations with latent class models suggest that the outcome provision makes a significant share of respondents changing their choice pattern.
{"title":"The Influence of Projected Outcomes on Preferences over Alternative Regulations: Evidence from a Recreational Fishery","authors":"Zhenshan Chen, Pengfei Liu, E. Schultz, J. Kasper, S. Swallow","doi":"10.3368/le.98.4.102820-0164r1","DOIUrl":"https://doi.org/10.3368/le.98.4.102820-0164r1","url":null,"abstract":"The expected outcomes arising from alternative policies on respondent choice have not been sufficiently accounted for in stated preference studies. We accordingly develop a framework to quantitatively assess the influence of outcome provision and illustrate with a choice experiment in a recreational fishery. The application suggests that participants are more likely to choose the status quo and low-cost options when outcomes are not provided, and these conservative behaviors might reflect the higher dispersion in anglers’ utility in tautog (Tautoga onitis) fishing. Further investigations with latent class models suggest that the outcome provision makes a significant share of respondents changing their choice pattern.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"599 - 617"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"47777170","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-28DOI: 10.3368/le.98.4.041820-0056r1
Leah H. Palm‐Forster, Mark Griesinger, Julianna M. Butler, J. Fooks, K. Messer
Nonpoint source pollution persists in agricultural landscapes, and policy makers are increasingly interested in opportunities to reduce pollution using behavioral approaches in lieu of regulations or increased financial incentives. We use a laboratory experiment to analyze how stewardship signaling and social pressure affect management decisions with environmental consequences. We find that stewardship signaling and, to some extent, social pressures increase adoption of a pollution-abatement technology, but the effect on social net benefit depends on the relative cost of technology adoption and the economic benefits of pollution reduction. Our results have implications for agri-environmental programs that publicly recognize environmental stewardship.
{"title":"Stewardship Signaling and Use of Social Pressure to Reduce Nonpoint Source Pollution","authors":"Leah H. Palm‐Forster, Mark Griesinger, Julianna M. Butler, J. Fooks, K. Messer","doi":"10.3368/le.98.4.041820-0056r1","DOIUrl":"https://doi.org/10.3368/le.98.4.041820-0056r1","url":null,"abstract":"Nonpoint source pollution persists in agricultural landscapes, and policy makers are increasingly interested in opportunities to reduce pollution using behavioral approaches in lieu of regulations or increased financial incentives. We use a laboratory experiment to analyze how stewardship signaling and social pressure affect management decisions with environmental consequences. We find that stewardship signaling and, to some extent, social pressures increase adoption of a pollution-abatement technology, but the effect on social net benefit depends on the relative cost of technology adoption and the economic benefits of pollution reduction. Our results have implications for agri-environmental programs that publicly recognize environmental stewardship.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"618 - 638"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46474619","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-28DOI: 10.3368/le.98.4.061720-0088r2
S. Borsky, Hannah Hennighausen
This article investigates the influence of public risk mitigating activities on individuals’ decisions to privately mitigate their disaster risks through changes in their risk perceptions. We exploit heterogeneity in measures under the U.S. Community Rating System to empirically demonstrate that public investment in flood risk communication activities crowds in individuals’ flood insurance demand, while activities that lower the flood hazard residents face crowd out individuals’ flood insurance demand. We contribute to the discussion of the efficacy of disaster risk mitigation strategies and who ultimately bears the costs of natural disasters.
{"title":"Public Flood Risk Mitigation and the Homeowner’s Insurance Demand Response","authors":"S. Borsky, Hannah Hennighausen","doi":"10.3368/le.98.4.061720-0088r2","DOIUrl":"https://doi.org/10.3368/le.98.4.061720-0088r2","url":null,"abstract":"This article investigates the influence of public risk mitigating activities on individuals’ decisions to privately mitigate their disaster risks through changes in their risk perceptions. We exploit heterogeneity in measures under the U.S. Community Rating System to empirically demonstrate that public investment in flood risk communication activities crowds in individuals’ flood insurance demand, while activities that lower the flood hazard residents face crowd out individuals’ flood insurance demand. We contribute to the discussion of the efficacy of disaster risk mitigation strategies and who ultimately bears the costs of natural disasters.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"537 - 559"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46541613","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-28DOI: 10.3368/le.98.4.082120-0130r
Zachary Barnett-Howell, Jeremy Foltz
How do transitory income shocks affect household migration decisions in low-income countries? We study how income losses from a cotton strike affecting Malian districts differentially changed agricultural household migration choices. The short duration and geographic specificity of the strike allows us to cleanly identify the long-run impact of a sudden change in household income on migration choices. We show that a drop in income precipitated by the strike reduced household migration rates by approximately 32% over a six-year period. A randomized inference placebo test corroborates the validity of our result. We demonstrate that not having cash on hand is a binding constraint to labor migration for poor populations.
{"title":"Determinants of Migration: Cotton Strikes and Income Shocks in Mali","authors":"Zachary Barnett-Howell, Jeremy Foltz","doi":"10.3368/le.98.4.082120-0130r","DOIUrl":"https://doi.org/10.3368/le.98.4.082120-0130r","url":null,"abstract":"How do transitory income shocks affect household migration decisions in low-income countries? We study how income losses from a cotton strike affecting Malian districts differentially changed agricultural household migration choices. The short duration and geographic specificity of the strike allows us to cleanly identify the long-run impact of a sudden change in household income on migration choices. We show that a drop in income precipitated by the strike reduced household migration rates by approximately 32% over a six-year period. A randomized inference placebo test corroborates the validity of our result. We demonstrate that not having cash on hand is a binding constraint to labor migration for poor populations.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"700 - 714"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44855402","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-28DOI: 10.3368/le.98.4.060120-0074r2
Yicong Luo, B. Swallow, W. Adamowicz
We use a paired-sample binary choice experiment to estimate willingness to pay (WTP) and willingness to accept (WTA) values when land is converted from agriculture to developed uses in Alberta, Canada. Validated principles for stated preference are followed in scenario design, elicitation format, experimental design, and ancillary questions. Preference uncertainty is addressed through alternative calibration of uncertain responses. Reliability and incentive compatibility measures indicate that respondents found both WTP and WTA scenarios to be plausible and incentive compatible. WTA-WTP value gaps are smaller than most previous studies, with consequentiality increasing WTA, WTP, and the gap between WTA and WTP.
{"title":"Using Willingness to Pay and Willingness to Accept to Value Farmland Preservation under Ambiguous Property Rights and Preference Uncertainty","authors":"Yicong Luo, B. Swallow, W. Adamowicz","doi":"10.3368/le.98.4.060120-0074r2","DOIUrl":"https://doi.org/10.3368/le.98.4.060120-0074r2","url":null,"abstract":"We use a paired-sample binary choice experiment to estimate willingness to pay (WTP) and willingness to accept (WTA) values when land is converted from agriculture to developed uses in Alberta, Canada. Validated principles for stated preference are followed in scenario design, elicitation format, experimental design, and ancillary questions. Preference uncertainty is addressed through alternative calibration of uncertain responses. Reliability and incentive compatibility measures indicate that respondents found both WTP and WTA scenarios to be plausible and incentive compatible. WTA-WTP value gaps are smaller than most previous studies, with consequentiality increasing WTA, WTP, and the gap between WTA and WTP.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"639 - 657"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"43686686","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-28DOI: 10.3368/le.98.4.052721-0056
Amy W. Ando, Collin M. Reeser
Homeowner buyout programs promote climate adaptation efforts by removing homes from floodplains. We estimate homeowner willingness to pay (WTP) for a novel agreement in which they precommit to relocating if a flood severely damages their home in exchange for an expedited buyout process. We find nearly all respondents identified positive WTP to enroll in this program, with average WTP about $600. Factors like flood risk and expectation of neighbors’ responses significantly affect WTP. If the pre-flood agreement is available only if the homeowner has flood insurance, only 68% of homeowners were willing to accept the agreement.
{"title":"Homeowner Willingness to Pay for a Pre-flood Agreement for a Post-flood Buyout","authors":"Amy W. Ando, Collin M. Reeser","doi":"10.3368/le.98.4.052721-0056","DOIUrl":"https://doi.org/10.3368/le.98.4.052721-0056","url":null,"abstract":"Homeowner buyout programs promote climate adaptation efforts by removing homes from floodplains. We estimate homeowner willingness to pay (WTP) for a novel agreement in which they precommit to relocating if a flood severely damages their home in exchange for an expedited buyout process. We find nearly all respondents identified positive WTP to enroll in this program, with average WTP about $600. Factors like flood risk and expectation of neighbors’ responses significantly affect WTP. If the pre-flood agreement is available only if the homeowner has flood insurance, only 68% of homeowners were willing to accept the agreement.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"560 - 578"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46549804","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2022-01-28DOI: 10.3368/le.98.4.102920-0166r
Daniel A. Brent, Joseph Cook, Allison Lassiter
Many cities provide incentives for private landowners to install green stormwater infrastructure (GSI) to reduce stormwater runoff and deliver benefits of urban greening. We analyze how participation in a GSI subsidy program affects the spatial distribution of urban greening. The distributional effects manifest in two stages: program eligibility and participation decisions. Eligibility, determined by hydrological factors, is positively correlated with wealthier and Whiter areas. In eligible areas, the wealthiest households and least White neighborhoods have lower participation rates. The findings highlight the importance of considering eligibility and participation in balancing the joint goals of environmental quality and environmental justice.
{"title":"The Effects of Eligibility and Voluntary Participation on the Distribution of Benefits in Environmental Programs: An Application to Green Stormwater Infrastructure","authors":"Daniel A. Brent, Joseph Cook, Allison Lassiter","doi":"10.3368/le.98.4.102920-0166r","DOIUrl":"https://doi.org/10.3368/le.98.4.102920-0166r","url":null,"abstract":"Many cities provide incentives for private landowners to install green stormwater infrastructure (GSI) to reduce stormwater runoff and deliver benefits of urban greening. We analyze how participation in a GSI subsidy program affects the spatial distribution of urban greening. The distributional effects manifest in two stages: program eligibility and participation decisions. Eligibility, determined by hydrological factors, is positively correlated with wealthier and Whiter areas. In eligible areas, the wealthiest households and least White neighborhoods have lower participation rates. The findings highlight the importance of considering eligibility and participation in balancing the joint goals of environmental quality and environmental justice.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"579 - 598"},"PeriodicalIF":1.4,"publicationDate":"2022-01-28","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"48785412","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-12-27DOI: 10.3368/le.98.3.082721-0102
Roger H. von Haefen, F. Lupi
We investigate how congestion influences the welfare, revenue-raising, and distributional implications of gate fees at outdoor recreational sites. A simple conceptual framework decomposes the effects of gate fees into three components, which are then quantified in an application to Gulf Coast beaches. Simulation results suggest that when congestion is a disamenity, the deadweight loss from gate fees declines, the revenue raised grows, and leakage to untaxed sites is less. Congestion feedbacks do not substantively change our distributional analysis, which implies that gate fees are regressive, do not disproportionately affect minorities, and privilege local recreators at the expense of overnight visitors.
{"title":"How Does Congestion Affect the Evaluation of Recreational Gate Fees? An Application to Gulf Coast Beaches","authors":"Roger H. von Haefen, F. Lupi","doi":"10.3368/le.98.3.082721-0102","DOIUrl":"https://doi.org/10.3368/le.98.3.082721-0102","url":null,"abstract":"We investigate how congestion influences the welfare, revenue-raising, and distributional implications of gate fees at outdoor recreational sites. A simple conceptual framework decomposes the effects of gate fees into three components, which are then quantified in an application to Gulf Coast beaches. Simulation results suggest that when congestion is a disamenity, the deadweight loss from gate fees declines, the revenue raised grows, and leakage to untaxed sites is less. Congestion feedbacks do not substantively change our distributional analysis, which implies that gate fees are regressive, do not disproportionately affect minorities, and privilege local recreators at the expense of overnight visitors.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"495 - 508"},"PeriodicalIF":1.4,"publicationDate":"2021-12-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"44563169","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-12-27DOI: 10.3368/le.98.2.082020-0129r1
Z. R. Luther, S. Swinton, B. Deynze
Prairie strips planted into crop fields offer multiple environmental benefits. This study estimates the willingness of U.S. farmers to convert 5% of their largest corn-soybean field to prairie strips in exchange for payment. Using stated preference results to estimate land supply, we find that 20% of farmers are willing to adopt prairie strips at payments equivalent to average Conservation Reserve Program rental rates, corresponding to potential conversion of 90,000 acres on 1.8 million acres of cropland. Farmers are likelier to adopt in smaller fields and when they perceive that prairie strips will benefit environmental quality or agricultural productivity.
{"title":"Potential Supply of Midwest Cropland for Conversion to In-Field Prairie Strips","authors":"Z. R. Luther, S. Swinton, B. Deynze","doi":"10.3368/le.98.2.082020-0129r1","DOIUrl":"https://doi.org/10.3368/le.98.2.082020-0129r1","url":null,"abstract":"Prairie strips planted into crop fields offer multiple environmental benefits. This study estimates the willingness of U.S. farmers to convert 5% of their largest corn-soybean field to prairie strips in exchange for payment. Using stated preference results to estimate land supply, we find that 20% of farmers are willing to adopt prairie strips at payments equivalent to average Conservation Reserve Program rental rates, corresponding to potential conversion of 90,000 acres on 1.8 million acres of cropland. Farmers are likelier to adopt in smaller fields and when they perceive that prairie strips will benefit environmental quality or agricultural productivity.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"274 - 291"},"PeriodicalIF":1.4,"publicationDate":"2021-12-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46186680","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
Pub Date : 2021-12-27DOI: 10.3368/le.98.3.082721-0101
Nathan W. Chan, Matthew J. Kotchen
We examine dedicated taxes (i.e., taxes on private goods used to finance public good provision) in a game-theoretic model of impure public goods. We show that a dedicated tax can increase or decrease demand for the taxed good. The optimal dedicated tax generally cannot achieve the Pareto-optimal allocation, but it can generate a conditionally efficient equilibrium with comparatively more or less public good provision, depending in part on complementarity or substitutability between the private and public good. We also demonstrate a neutrality result: when individuals can make direct donations, sufficiently low dedicated taxes will not impact equilibrium allocation.
{"title":"Funding Public Goods through Dedicated Taxes on Private Goods","authors":"Nathan W. Chan, Matthew J. Kotchen","doi":"10.3368/le.98.3.082721-0101","DOIUrl":"https://doi.org/10.3368/le.98.3.082721-0101","url":null,"abstract":"We examine dedicated taxes (i.e., taxes on private goods used to finance public good provision) in a game-theoretic model of impure public goods. We show that a dedicated tax can increase or decrease demand for the taxed good. The optimal dedicated tax generally cannot achieve the Pareto-optimal allocation, but it can generate a conditionally efficient equilibrium with comparatively more or less public good provision, depending in part on complementarity or substitutability between the private and public good. We also demonstrate a neutrality result: when individuals can make direct donations, sufficiently low dedicated taxes will not impact equilibrium allocation.","PeriodicalId":51378,"journal":{"name":"Land Economics","volume":"98 1","pages":"428 - 439"},"PeriodicalIF":1.4,"publicationDate":"2021-12-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"46301858","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":4,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
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