Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
10475583 | Journal of Environmental Economics and Management | 2014 | 14 Pages |
Abstract
We design and conduct a field experiment in which treated subjects receive a precise and objective signal regarding their knowledge about a public good before estimating their WTP for it. We find that the causal effect of objective signals about the accuracy of a subject׳s knowledge for a public good can dramatically affect their valuation for it: treatment caused a significant increase of $85-$129 in WTP for well-informed individuals. We find no such effect for less informed subjects. Our results imply that WTP estimates for public goods are not only a function of true information states of the respondents but beliefs about those information states.
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Authors
Jacob LaRiviere, MikoÅaj Czajkowski, Nick Hanley, Margrethe Aanesen, Jannike Falk-Petersen, Dugald Tinch,