Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/53247
Authors: 
Strazzera, Elisabetta
Cherchi, Elisabetta
Ferrini, Silvia
Year of Publication: 
2008
Series/Report no.: 
Nota di lavoro // Fondazione Eni Enrico Mattei: Sustainable development 63.2008
Abstract: 
This study adopts a discrete choice modelling methodology to evaluate individuals' preferences over planning alternatives for an urban site of environmental interest. Since such projects involve some uncertainty and irreversibility, a special attention is devoted to the estimation of the quasi-option values which are associated to project development. Two distinct measures for the quasi-option value are estimated, and both coefficients indicate that the public places a significant value on reduction of the possibility of adverse irreversible effects: a more prudent development strategy is valued about four times more than a procedure that provides a lesser hedge against undesired outcomes. Furthermore, the study involved elicitation of intertemporal preferences over projects with different time spans, and estimation of the implicit discount rates: the values obtained seem high if compared to standard discount rates applied to public projects, but not far from current interest rates on consumption.
Subjects: 
Urban Planning
Environmental Values
Choice Modelling
Use Values
Quasi-option Values
Discounting
JEL: 
C35
Q51
R41
Document Type: 
Working Paper

Files in This Item:
File
Size
426.22 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.