We are interested in estimating the value of an environmental resource, but we do not directly observe market transactions for this resource. 1. Briefly explain the Revealed Preference method for measuring demand for an environmental good. 2. Briefly explain the Stated Preference method for measuring demand for an environmental good. 3. Outline the benefits and limitations of each approach.

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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We are interested in estimating
the value of an environmental
resource, but we do not directly
observe market transactions for
this resource.
1. Briefly explain the Revealed
Preference method for measuring
demand for an environmental
good.
2. Briefly explain the Stated
Preference method for measuring
demand for an environmental
good.
3. Outline the benefits and
limitations of each approach.
Transcribed Image Text:We are interested in estimating the value of an environmental resource, but we do not directly observe market transactions for this resource. 1. Briefly explain the Revealed Preference method for measuring demand for an environmental good. 2. Briefly explain the Stated Preference method for measuring demand for an environmental good. 3. Outline the benefits and limitations of each approach.
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