Don’t Tell Me What to Do, Tell Me Who to Follow!

Submitted by admin on

Results indicate that visitors look at the behavior of others in deciding if and how much to donate, but partially reject being told what to do. Also, as the social reference moves farther away from average behavior, its effect on the typical visitor is diminished, leading to lower and less frequent donations.

Experiments, Conservation, Policy Design

Wealth and Time Preference in Rural Ethiopia

Submitted by admin on

This study measured the discount rates of 262 farm households in the Ethiopian highlands, using a time preference experiment with real payoffs. In general, the median discount rate was very high and varied systematically with wealth and risk aversion. Our findings, however, warn that rates-of-time preferences (RTPs) and risk aversion reinforce each other and are easily confused. Because the RTPs were so high, what seem like profitable investments from the outside might not seem so from the farmers’ perspectives.

 

Experiments

Do Discount Rates Change over Time? Experimental Evidence from Ethiopia

Submitted by admin on

This artefactual experiment in Ethiopia tested the hyperbolic discounting hypothesis by comparing time discounting over cash and consumption goods, using real payoffs. It found no difference in elicited time preferences between cash and consumption goods (tradable or final), which could be the result of missing markets in rural Ethiopia, and there was some evidence of time-inconsistent preferences.

 

Experiments

Does Context Matter More for Hypothetical Than for Actual Contributions? Evidence from a Natural Field Experiment

Submitted by admin on

Just how important social context is for voluntary contributions is investigated in a natural field experiment, where subjects made either actual or hypothetical contributions to a national park in Costa Rica.

This study found that both anonymity and information about others’ donations influenced contributions, implying that validity testing of stated preference methods needs to include comparisons of hypothetical and actual behavior for given social contexts.

Experiments, Conservation

Anonymity, Reciprocity and Conformity: Evidence from Voluntary Contributions to a Natural Park in Costa Rica

Submitted by admin on

In a natural field experiment, the authors quantified the importance of anonymity, reciprocity, and conformity through the provision of social reference levels in order to explain voluntary contributions. In the study setting, the effects of the various treatments were small, suggesting that the self-image as an honorable person, irrespective of other people’s opinions, could be an important explanation of contribution behavior. The experiment overall showed no clear evidence that current practice by charitable organizations is inefficient.

 

Experiments, Conservation

Agricultural Extension and Risk in Low Income Countries: Experimental Evidence from Ethiopia

Submitted by admin on
EfD Authors:

Livelihoods in low-income developing countries are generally undiversified and focus on crop production and animal raising. These activities are inherently risky and investment and production decisions by farm households are therefore made within environments that are affected by risk.

Agriculture, Experiments

Anonymity, Reciprocity, and Conformity: Evidence from Voluntary Contributions to a National Park in Costa Rica

Submitted by admin on

The purpose of this paper is to test the absolute as well as the relative importance of these three reasons for non-selfish behavior. This is done by conducting a natural field experiment on voluntary contributions to a national park in Costa Rica.

Experiments, Conservation

Assessing management options for weed control with demanders and non-demanders in a choice experiment

Submitted by admin on

The yellow floating heart is a water weed causing nuisance problems in Swedish watercourses. An economic analysis of this is required where various management options are considered.

How much is too much? - An investigation of the effect of the number of choice sets, starting point and the choice of bid vectors in choice experiments

Submitted by admin on

In a split sample design, we examine how the number of choice sets, design of the first choice set (starting point), and the choice of attribute levels in the cost attribute affect the precision in the elicited preferences in otherwise completely identical choice experiment surveys.