Abstract:
:The bidding game (BG) method of contingent valuation is one way to increase the precision of willingness to pay (WTP) estimates relative to the single dichotomous choice approach. However, there is evidence that the method may lead to incentive incompatible responses and be associated with starting point bias. While previous studies in health using BGs test for starting point bias, none have also investigated incentive incompatibility. Using a sample of respondents resident in Burkina Faso, West Africa, this paper examines whether the BG method is associated with both incentive incompatibility and starting point bias. We find evidence for both effects. However, average WTP values remained largely unaffected after accounting for both factors in multivariate analyses. The results suggest that the BG method is an acceptable technique in settings where prices for goods are flexible.
journal_name
Health Econjournal_title
Health economicsauthors
McNamee P,Ternent L,Gbangou A,Newlands Ddoi
10.1002/hec.1448subject
Has Abstractpub_date
2010-01-01 00:00:00pages
75-87issue
1eissn
1057-9230issn
1099-1050journal_volume
19pub_type
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