Labor as a Utility Measure in Contingent Valuation: Application to the Valuation of Restoration Projects in Latin America

Submitted by NENRE Concepcion on 28 December 2013

Monetary contributions might not be an appropriate welfare measure in Contingent Valuation (CV) when household incomes are very low. In such cases, willingness to pay (WTP) is restricted by household's ability to reduce the consumption of other goods in order to pay for the environmental good under valuation. Beneficiaries, however, may be willing to contribute their time to work on the project instead of paying money.

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