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A Comparison of Value Elicitation Question Formats in Multiple-Good Contingent Valuation

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This paper provides a convergent validity test of two types of multinomial choice questions vis-à-vis a dichotomous choice question by formally testing whether these stated preference elicitation question formats provide comparable welfare estimates. In particular, a dichotomous choice question, a traditional multinomial choice question, and a modified multinomial choice question suggested by Carson and Groves (2007) were applied in split samples to assess the influence of the informational and incentive properties on the respondents’ annual willingness to accept compensation for adopting costly conservation practices in agriculture that benefit the environment. Our findings suggest that the two multinomial choice question formats elicit a similar mean willingness to accept distributions, but they are both different from a standard dichotomous choice question. Further, the willingness to accept distributions derived from the multinomial choice question formats are more dispersed than those from the dichotomous choice question.


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