The Payment Vehicle Used in CV Studies of Environmental Goods Does Matter
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This paper examines the effect of the payment vehicle on the valuation of an environmental
good with the contingent valuation method (CVM). Results from three CV studies
comparing different payment vehicles by using split samples when valuing environmental
encroachment caused by roads in Sweden are presented and compared to results from
other such split-sample studies of payment vehicle effects. The results are consistent and
show that the payment vehicle affects the valuation, but not always the way expected
when considering incentives to behave strategically.