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Using choice experiments to value river and estuary health in Tasmania with individual preference heterogeneity

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  • Kragt, Marit Ellen
  • Bennett, Jeffrey W.
Abstract
Choice experiments (CE – otherwise known as Choice Modelling) have become a widespread approach to environmental valuation in Australia, with many examples assessing the tradeoffs between river catchment management and socio-economic impacts. There is, however, limited information on the values of Australian estuaries. Furthermore, none of the existing valuation studies address catchment management changes in Tasmania. The CE study reported in this paper aims to elicit community preferences for the protection of the rivers and estuary of the George catchment in north-eastern Tasmania. Results from conditional and mixed logit models show that respondents are, on average, willing to pay between $2.47 and $4.46 for a km increase in native riverside vegetation and between $9.35 and $10.97 per species for the protection of rare native plants and animals, ceteris paribus. The results are ambiguous about respondents’ preferences for estuary seagrass area. This study further shows significant differences between logit models when accounting for individual heterogeneity and repeated choices made by individual respondents.

Suggested Citation

  • Kragt, Marit Ellen & Bennett, Jeffrey W., 2009. "Using choice experiments to value river and estuary health in Tasmania with individual preference heterogeneity," 2009 Conference (53rd), February 11-13, 2009, Cairns, Australia 48058, Australian Agricultural and Resource Economics Society.
    • Handle: RePEc:ags:aare09:48058
    DOI: 10.22004/ag.econ.48058
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    Cited by:

    1. Kragt, Marit Ellen, 2013. "Comparing models of unobserved heterogeneity in environmental choice experiments," Working Papers 144447, University of Western Australia, School of Agricultural and Resource Economics.
    2. Abdurakhmanova, Milana, 2013. "Analysis of the interaction of the banking sector and small businesses," Ekonomicheskaya Politika / Economic Policy, Russian Presidential Academy of National Economy and Public Administration, pages 113-125, December.
    3. Rolfe, John & Brouwer, Roy, 2011. "Testing for value stability with a meta-analysis of choice experiments: River health in Australia," Research Reports 107744, Australian National University, Environmental Economics Research Hub.
    4. Saem Lee & Hyun No Kim & Trung Thanh Nguyen & Thomas Koellner & Hio-Jung Shin, 2018. "Farmers’ and Consumers’ Preferences for Drinking Water Quality Improvement through Land Management Practices: The Case Study of the Soyang Watershed in South Korea," Sustainability, MDPI, vol. 10(5), pages 1-15, May.
    5. Deborah Ellen Lee & Stephen Gerald Hosking & Mario Du Preez, 2015. "Managing Some Motorised Recreational Boating Challenges in South African Estuaries: A Case Study at the Kromme River Estuary," South African Journal of Economics, Economic Society of South Africa, vol. 83(2), pages 286-302, June.
    6. Kragt, Marit Ellen & Bennett, Jeffrey W., 2009. "Integrating economic values and catchment modelling," 2009 Conference (53rd), February 11-13, 2009, Cairns, Australia 47956, Australian Agricultural and Resource Economics Society.
    7. Amare Tesfaw & Feyera Senbeta & Dawit Alemu & Ermias Teferi, 2022. "Estimating the Economic Values of Restricted Monoculture Eucalyptus Plantations: A Choice Modeling Approach," IJERPH, MDPI, vol. 19(15), pages 1-17, July.
    8. Dan Marsh & Lena Mkwara & Riccardo Scarpa, 2011. "Do Respondents’ Perceptions of the Status Quo Matter in Non-Market Valuation with Choice Experiments? An Application to New Zealand Freshwater Streams," Sustainability, MDPI, vol. 3(9), pages 1-23, September.

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