Table of Contents

Choice Experiments Informing Environmental Policy

Choice Experiments Informing Environmental Policy

A European Perspective

New Horizons in Environmental Economics series

Edited by Ekin Birol and Phoebe Koundouri

This innovative book is a compilation of state-of-the-art choice experiment studies undertaken in several European Union (EU) countries, including Finland, France, Greece, Ireland, Italy, Poland, Spain and the United Kingdom. The case studies presented concern a variety of environmental, agricultural and natural resource issues – such as the management of water resources, forests and agricultural landscapes; conservation of biodiversity and cultural heritage; noise pollution reduction and food labeling. The book highlights how the choice experiment method can be employed to inform efficient and effective design and implementation of various EU level agricultural and environmental policies and directives, including the Common Agricultural Policy, Water Framework Directive, Forestry Strategy, Habitats Directive and food labeling systems.

Chapter 8: Use of Choice Experiments in Assessing the Role of Policy Instruments in Social Acceptability of Forest Biodiversity Conservation in Southern Finland

Paula Horne

Subjects: economics and finance, behavioural and experimental economics, environmental economics, valuation, environment, environmental economics, valuation

Extract

Paula Horne INTRODUCTION The last decade has seen an increase in the use of choice experiments in the examination of complex preference and choice situations in environmental valuation. Choice experiments or choice modelling offer a wide range of information on benefit trade-offs even between qualitative and quantitative attributes (Adamowicz et al. 1994, Bennett and Blamey 2002). The method also allows flexibility in examining the welfare impacts of different policy scenarios. The choice experiment enables valuation of non-use values in multi-attribute choice settings and thus potentially provides a useful tool for assessing changes in biodiversity policies. While valuation studies on citizens’ preferences for nature conservation have abounded since the early 1990s (the early applications including for example Kriström 1990, Pope and Jones 1990, Veisten et al. 1993), there are few empirical results of the impacts on employment losses (for example Rogers and Sinden 1994) and fewer still on the impact of conservation policy instruments on preferences and their distributional impacts (Rolfe et al. 2005, Milon and Scrogin 2006). Most of the applications on nature conservation have used techniques other than choice experiment valuation. The main purpose of this chapter is to contribute to the relatively scarce choice experiment literature on heterogeneity in public preferences for conservation policy options. In the present study, the choice experiment method was applied to determine whether the use of incentive-based policy instruments would increase the level of acceptance of nature conservation in Southern Finland and how the welfare of different...

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