Gender Differences in Non-market Benefit Estimates: Potential for Biases in Aggregate Values
By Diane DupontABSTRACT
CVM referenda data from are collected and used in a double-bounded uni-variate probit model to estimate female versus male WTP's for remedial actions designed to improve three different water-based recreational activities (fishing, boating, and swimming) in a previously highly polluted area. These data suggest that, even after controlling for income differences, women consistently have lower WTP's. Subsequent regression analysis identifies the most important non-income factors determining women's WTP are the presence of children, plans to do the activity, and being a university/college graduate. For men, the most important determinant is a yes response to a question asking the respondent whether he is in favour of the remediation project being completed.
The findings in this paper have potentially important consequences for the subsequent calculation of aggregate benefits from contingent valuation models that ignore the role of gender. Since women generally constitute about one half of a population base, turning a blind eye to gender means that aggregate willingness-to-pay values will overstate the extent of benefits from environmental improvements.
KEYWORDS: willingness-to-pay; non-market valuation, contingent valuation methodology, gender differences
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