Model selection in iterative valuation questions

Emmanuel Flachaire (1) , Guillaume Hollard (2)

1 CES - Centre d'économie de la Sorbonne
2 OEP

In this article, we propose a unified framework that accomodates many of the existing models for dichotomous choice contingent valuation with follow-up and allows to discriminate between them by simple parametric tests of hypothese. Our empirical results show that the Range model, developped in Flachaire and Hollard (2007}, utperforms other standard models and confirms that, when uncertain, respondents tend to accept proposed bids.

Mots clés: starting point bias; preference uncertainty; contingent valuation.; contingent valuation

Domaines: Economies et finances

Emmanuel Flachaire, Guillaume Hollard. Model selection in iterative valuation questions. Revue d'économie politique, 2007, 117 (5), pp.853-865. ⟨halshs-00176033⟩