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A Field Experiment Involving Cash and Hypothetical Charitable Donations

MacMillan, Douglas C., Smart, Trevor S., Thorburn, Andrew P. (1999) A Field Experiment Involving Cash and Hypothetical Charitable Donations. Environmental and Resource Economics, 14 (3). pp. 399-412. ISSN 0924-6460. (doi:10.1023/A:1008304405734) (Access to this publication is currently restricted. You may be able to access a copy if URLs are provided)

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An important focus for concern about Contingent Valuation (CV) is that hypothetical payments for non-market goods are biased upwards in comparison to cash payments. Lack of realism, through its influence on incentives to mis-report payments, may explain the divergence. This paper reports on a study which attempts to overcome this problem by emulating a real fund-raising solicitation by the Isle of Eigg Trust for both real and hypothetical donations. In contrast to previous results, the mean cash donation was higher (£3.71) than the man CV donation (£3.41). A third survey, which used a neutral CV design, implemented by a research organization, obtained a mean donation which was much higher (£6.21) than the cash equivalent.

Item Type: Article
DOI/Identification number: 10.1023/A:1008304405734
Uncontrolled keywords: bias, cash and hypothetical donations, contingent valuation, realism
Subjects: H Social Sciences > HB Economic Theory
Divisions: Faculties > Social Sciences > School of Anthropology and Conservation > DICE (Durrell Institute of Conservation and Ecology)
Depositing User: Douglas MacMillan
Date Deposited: 05 Mar 2013 14:17 UTC
Last Modified: 29 May 2019 10:02 UTC
Resource URI: (The current URI for this page, for reference purposes)
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