A combinatorial optimization approach to nonmarket environmental benefit aggregation via simulated populations

Hynes, S., Hanley, N. and O'Donoghue, C. (2010) A combinatorial optimization approach to nonmarket environmental benefit aggregation via simulated populations. Land Economics, 86(2), pp. 345-362. (doi: 10.3368/le.86.2.345)

Abstract

This paper considers the use of a “combinatorial optimization” technique in the aggregation of environmental benefit values. Combinatorial optimization is used to statistically match population census data to a contingent valuation survey. The matched survey and census information is then used to produce regional and national total willingness-to-pay figures. These figures are then compared to figures derived using more standard approaches to calculating aggregate environment benefit values. The choice of aggregation approach is shown to have a major impact upon estimates of total benefits at a regional level, especially when the target population displays considerable heterogeneity across space.

• Item Type: Articles
• Status: Published
• Refereed: Yes
• Glasgow Author(s) Enlighten ID: Hanley, Professor Nicholas
• Authors: Hynes, S., Hanley, N., and O'Donoghue, C.
• College/School: College of Medical Veterinary and Life Sciences > School of Biodiversity, One Health & Veterinary Medicine
• Journal Name: Land Economics
• Publisher: University of Wisconsin Press
• ISSN: 0023-7639
• ISSN (Online): 1543-8325