Framing the willingness-to-pay question: impact on response patterns and mean willingness to pay

Gyrd-Hansen, Dorte, Jensen, Mette Lundsby and Kjaer, Trine (2014) Framing the willingness-to-pay question: impact on response patterns and mean willingness to pay. Health Economics (United Kingdom), 23 5: 550-563. doi:10.1002/hec.2932


Author Gyrd-Hansen, Dorte
Jensen, Mette Lundsby
Kjaer, Trine
Title Framing the willingness-to-pay question: impact on response patterns and mean willingness to pay
Journal name Health Economics (United Kingdom)   Check publisher's open access policy
ISSN 1099-1050
1057-9230
Publication date 2014-05-01
Year available 2013
Sub-type Article (original research)
DOI 10.1002/hec.2932
Volume 23
Issue 5
Start page 550
End page 563
Total pages 14
Place of publication Chichester, West Sussex, United Kingdom
Publisher John Wiley & Sons
Collection year 2014
Language eng
Abstract In this study, respondents were randomly allocated to three variants of the payment card format and an open-ended format in order to test for convergent validity. The aim was to test whether preferences (as measured by willingness to pay additional tax) would be affected by framing the willingness-to-pay question differently. Results demonstrated that valuations were highly sensitive to whether respondents were asked to express their maximum willingness to pay per month or per year. Another important finding is that the introduction of a binary response filter prior to the payment card follow-up tends to eliminate the positive aspects of introducing a payment card and produces response patterns that are much in line with those of the open-ended contingent valuation format. However, although a filter will impact on the distribution of willingness-to-pay bids and on the rate of zero and protest bids, the overall impact on the welfare estimate is minor. The outcomes of this study indicate that valuations in the stated preference literature may be, at least in part, a function of the instrument designed to obtain the valuations.
Keyword Contingent valuation
Framing
Payment scale
WTP
Q-Index Code C1
Q-Index Status Confirmed Code
Institutional Status UQ

Document type: Journal Article
Sub-type: Article (original research)
Collections: Official 2014 Collection
School of Economics Publications
 
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