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A Comparison of Direct and Indirect Methods for Estimating Environmental Benefits
Author(s) -
Smith V. Kerry,
Desvousges William H.,
Fisher Ann
Publication year - 1986
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.2307/1241429
Subject(s) - recreation , econometrics , quality (philosophy) , environmental economics , computer science , economics , political science , philosophy , epistemology , law
Two classes of methods are currently available to estimate consumers' valuations of improvements in environmental resources—direct and indirect. This paper reports the results of a detailed comparison of the estimated recreational benefits associated with water quality improvements using one member of each class. The findings indicate that while the estimates are quite comparable, analyst judgment played a very important role in the development of both methods.