Construction of the contingent valuation market in health care: a critical assessment.

Abstract:

:Contingent valuation (CV) has been criticised for being too hypothetical, with expressed values bearing little relation to actual values. The magnitude of this divergence, however, depends upon how realistic and believable the contingent market is. This paper presents an overview of five key aspects in the construction of the contingent market: (i) scenario development and presentation; (ii) payment vehicle; (iii) expression of risk; (iv) time period of valuation; and (v) survey administration. CV studies in health care since 1985, totalling 111, are critically reviewed with respect to these five aspects. It is concluded that CV studies in health care have performed poorly in the construction, specification and presentation of the contingent market, and that there has been little, if any, improvement in this respect over the last 15 years. Suggestions are made concerning why this may be the case, and how the construction of the contingent market may be improved in future.

journal_name

Health Econ

journal_title

Health economics

authors

Smith RD

doi

10.1002/hec.755

keywords:

subject

Has Abstract

pub_date

2003-08-01 00:00:00

pages

609-28

issue

8

eissn

1057-9230

issn

1099-1050

journal_volume

12

pub_type

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