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Strazzera, Elisabetta
Cherchi, Elisabetta
Ferrini, Silvia
Year of Publication: 
Series/Report no.: 
Nota di lavoro // Fondazione Eni Enrico Mattei: Sustainable development 63.2008
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.
Urban Planning
Environmental Values
Choice Modelling
Use Values
Quasi-option Values
Document Type: 
Working Paper

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