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Evaluating off‐site environmental mitigation using choice modelling *
Author(s) -
Kerr Geoffrey N.,
Sharp Basil M.H.
Publication year - 2008
Publication title -
australian journal of agricultural and resource economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.683
H-Index - 49
eISSN - 1467-8489
pISSN - 1364-985X
DOI - 10.1111/j.1467-8489.2008.00432.x
Subject(s) - multinomial logistic regression , choice modelling , mixed logit , econometrics , computer science , multinomial distribution , latent class model , environmental resource management , environmental economics , logistic regression , environmental science , statistics , economics , mathematics , machine learning
Evaluation of off‐site mitigation entails comparison of utility changes between two sites. Choice modelling has been used to identify community willingness to trade‐off attributes for two different types of stream in New Zealand. Estimated utility functions are used to derive marginal rates of substitution and stream attribute part worths which can be used to design or evaluate both on‐site and off‐site mitigation policy. Latent class multinomial logit models identified classes of citizens who valued stream attributes quite differently. Significant differences in values for some attributes on different stream types imply heterogeneous mitigation ratios across environmental attributes.