Modelling Heterogeneity and Uncertainty in Contingent Valuation: an Application to the Valuation of Informal Care

Emmanouil Mentzakis, Mandy Ryan, Paul McNamee

Research output: Contribution to journalArticle

3 Citations (Scopus)
7 Downloads (Pure)

Abstract

Both the lack of market data and the need to adopt a more holistic approach in the valuation of non-market activities within health care have pointed towards the use of contingent valuation (CV) methods. However, to date, few studies have employed such techniques to value informal care, despite its provision being an important public policy question. We propose an analytical framework that through the use of random parameters models and respondents' certainty scales can incorporate both unobserved and observed heterogeneity in the CV modelling. This is the first CV study of informal care for Scotland (UK) and a £7.68 per hour value is estimated.
Original languageEnglish
Pages (from-to)1-25
Number of pages25
JournalScottish Journal of Political Economy
Volume61
Issue number1
Early online date2 Dec 2013
DOIs
Publication statusPublished - Feb 2014

Fingerprint

uncertainty
holistic approach
Values
public policy
health care
lack
market
Uncertainty
Modeling
Contingent valuation
Informal care
Contingent valuation method
Market data
Holistic approach
Scotland
Healthcare
Random parameters
Public policy

Keywords

  • carers
  • contingent valuation

Cite this

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