Scandinavian Working Papers in Economics

CERE Working Papers,
CERE - the Center for Environmental and Resource Economics

No 2011:2: Benefit Transfer for Environmental Improvements in Coastal Areas: General vs. Specific Models

Katarina Östberg (), Cecilia Håkansson (), Linus Hasselström () and Göran Bostedt ()
Additional contact information
Katarina Östberg: CERE, Centre for Environmental and Resource Economics, Postal: Swedish University of Agricultural Sciences, 901 83 Umeå, Sweden
Cecilia Håkansson: KTH, Royal Institute of Technology, Postal: Valhallavägen 79, Kungliga Tekniska högskolan,, 100 44 STOCKHOLM
Linus Hasselström: Enveco Environmental Economics Consultancy Ltd, Postal: Oxholmsgränd 3 , 127 48 Skärholmen
Göran Bostedt: CERE, Centre for Environmental and Resource Economics, Postal: Swedish University of Agricultural Sciences, 901 83 Umeå, Sweden

Abstract: In this study, we used choice experiment data to analyze the accuracy of benefit transfer (BT) between two case study areas in Sweden for attributes relevant to the implementation of the EU Water Framework Directive and special consideration zones in marine areas. The accuracy and reliability of a BT based on a model including only easily available socioeconomic information is similar to the accuracy of a BT based on a model that gives the best statistical fit, but requires time-consuming data collection. Further, the former model has almost as good a fit as the latter. The BT error varies significantly across the attributes, regardless of which model is used. The results are inconclusive as to whether socioeconomic adjustments improve transfer or not.

Keywords: Choice experiments; Benefits transfer; Water Framework Directive

JEL-codes: Q51

38 pages, February 8, 2011

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CERE_WP2011-2.pdf PDF-file 

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