• Environmental and Resource Economics Review
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• v.14 no.3
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• pp.655-672
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• 2005

In recent years, the state of the water quality of Han river has been among the top public concerns. This paper measures economic value of multiple environmental impacts of improved water quality of Han river using a choice experiments approach. The choice works that take into account trade-offs between price and environmental attributes for a preferred option turned out to be within respondent' ability to reveal their preferences, and the willingness to pay estimates were statistically significant. This study allows policy-makers to provide useful quantitative information that can be referred to as a benchmark for upcoming water projects.

• Journal of the Korea Academia-Industrial cooperation Society
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• v.19 no.5
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• pp.389-398
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• 2018

An MRA is considered to be an important policy tool within the WTO for overcoming technical barriers to trade. A number of studies on the economic impact of MRAs have demonstrated their positive economic effects. However, no studies have been conducted on MRAs in the pharmaceutical industry since analysis has been limited to industries as a whole or certain industries where some data were accumulated. Therefore, this paper analyzed the economic impact of MRAs for GMP inspection exemption in the pharmaceutical industry through the Conditional Valuation Method (CVM), a valuation technique for non-market goods. Pharmaceutical companies were asked whether or not they were willing to pay for the Korea-EFTA MRA through double-bounded dichotomous choice (DBDC) questions. The final WTP was estimated using the utility difference model developed by Hanemann (1984). As a result, annual economic effects on the pharmaceutical industry were estimated to be between KRW7.03 billion to KRW15.8 billion.

• Environmental and Resource Economics Review
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• v.20 no.3
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• pp.459-487
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• 2011

A/R CDM project has properties such as irreversibility and uncertainty that Real Option Analysis can be applied to its modelling. This study tries to model A/R CDM using Real Option under CER price uncertainty, and conducts empirical test with the Posco A/R CDM Project case. For precise comparison and decision-making, l-CER's expected present value is calculated from the Spot CER price. As a result, the critical value of the project is lower than the expected l-CER price, which means that the decision to invest made by the project owner is profitable. We can also find out that the level and the range of the discount rate, where is applied to, affect the result; the critical value of the project and the decision-making.

• KSCE Journal of Civil and Environmental Engineering Research
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• v.29 no.2B
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• pp.173-179
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• 2009

Industrial water supplied by water resource project is essential input materials along with labor, capital and land for companies. It is very important to stably secure these input materials in order for the industry to generate additional values. If the supply of industrial water is stopped, it is known damage for the industry is greater than domestic water or agriculture water based on same amount of supply. Like this, the actual value of industrial water has been highly acknowledged from the intuitive perspective, but study on the value and benefits of industrial water has been rarely conducted. Therefore, this study verified the value of industrial water supplied from water resource project, and used marginal production value as a measure to estimate the benefits of industrial water in the analysis of economic efficiency. As a result of empirical analysis using Cobb-Douglas production function and Translog production function, industries' average marginal production value was $5,427KRW/m^3$ and $5,583KRW/m^3$ respectively. The marginal production value for eleven industries were estimated by using same method. The marginal production value by industries presented by this study will be used as important data to calculate benefits of industrial water in the future. Moreover, the result of this study will provide reasonable criteria for decision making on the allocation of water in emergency situation, and problem of resource supply from water resource project.

• Journal of the Korean Society of Marine Environment & Safety
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• v.28 no.5
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• pp.681-691
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• 2022

Zostera marina (ZM), a type of seagrass registered as a marine protected species in South Korea, provides valuable ecosystem services to humans, such as improving marine water quality, providing food, spawning grounds and habitats for marine life, and absorbing carbon dioxide. Therefore, the government is seeking to preserve ZM by designating ZM-protected areas. This study examined the public willingness to pay (WTP) for the preservation of ZM using contingent valuation. The one-and-one-half-bounded model was adopted for WTP elicitation, and the single-bounded model was also applied for comparison. The spike model was employed to deal with many zero WTP responses. The household average WTP was estimated as KRW 4,087 per year, securing statistical significance. The national value was KRW 84.1 billion per year. The preservation value of ZM estimated in this study can be used as important data for economic analysis of various projects or policy implementation for its preservation.

• Journal of Energy Engineering
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• v.21 no.2
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• pp.179-186
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• 2012

A climate change by increase of greenhouse gas is coming to the front by a large issue, and oxy-combustion demonstration project is coming to the attention to one plans for the reduction of carbon dioxide in power generation sector that used a fossil energy in points of time. This paper estimates benefit of electric generation, benefit of greenhouse gas reduction, benefit of environmental pollutant decreasing and domestic and foreign market value-added benefit caused by oxy-combustion demonstration project. Furthermore, this paper attempts to cost-benefit analysis, using NPV, B/C ratio, IRR techniques for oxy-combustion demonstration project. The results indicate that NPV is 681,620million KRW, B/C ratio 1.69 and IRR 21.4%. Accordingly, oxy-combustion demonstration project ensures economic feasibility that the three indicators have exceeded 0, 1.0 and 5.5%. Moreover, uses of the result is useful for the reduction of carbon dioxide in thermal power generation sector of policy decision.

• Journal of Korea Port Economic Association
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• v.29 no.4
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• pp.289-323
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• 2013

This study set out to estimate and compare benefits of damage in case of storm surge at the Masan Port by using two of the most representative methodologies used to estimate benefits in port disaster prevention facility construction, namely CVM(contingent valuation method), which estimates the values of non-market goods, and MD-FDA(multi-dimensional flood damage analysis), which had usually been implemented in flood or dam projects. The benefit estimation for 30 years of costs was 2.5689 trillion won for CVM and 2.9596 trillion won for MD-FDA, which indicates that there was no big difference in benefits among disaster prevention facilities. However, in-depth testing should follow to figure out whether MD-FDA can replace CVM, which has been tested with non-market goods, when estimating the benefits of disaster prevention facilities based on those findings.

• The Journal of Fisheries Business Administration
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• v.38 no.2
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• pp.79-101
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• 2007

The purpose of this study is to estimate the economic value of the Songieong Beach in Off-season, using a Individual Travel Cost Model(ITCM). Songieong Beach is located in Busan but far away from city. These days, however, the increased rate of traffic inflow to the Songieong beach and the five-day working week are reflected in the trend analysis. Moreover, people have changed psychological value. For that reason, visitors are on the increase on the beach in off-season. The ITCM is applied to estimate non-market value or environmental Good like a Contingent Valuation Method and Hedonic Price Model etc. The ITCM was derived from the Count Data Model(i.e. Poisson and Negative Binomial model). So this paper compares Poisson and negative binomial count data models to measure the tourism demands. The data for the study were collected from the Songjeong Beach on visitors over the a week from November 1 through November 23, 2006. Interviewers were instructed to interview only individuals. So the sample was taken in 113. A dependent variable that is defined on the non-negative integers and subject to sampling truncation is the result of a truncated count data process. This paper analyzes the effects of determinants on visitors' demand for exhibition using a class of maximum-likelihood regression estimators for count data from truncated samples, The count data and truncated models are used primarily to explain non-negative integer and truncation properties of tourist trips as suggested by the economic valuation literature. The results suggest that the truncated negative binomial model is improved overdispersion problem and more preferred than the other models in the study. This paper is not the same as the others. One thing is that Estimating Value of the Beach in off-season. The other thing is this study emphasizes in particular 'travel cost' that is not only monetary cost but also including opportunity cost of 'travel time'. According to the truncated negative binomial model, estimates the Consumer Surplus(CS) values per trip of about 199,754 Korean won and the total economic value was estimated to be 1,288,680 Korean won.

• Environmental and Resource Economics Review
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• v.14 no.4
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• pp.793-816
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• 2005

This paper proposes a new answering mechanism called RAM (Risk Answering Mechanism) which can be applied to a contingent valuation method. The RAM is derived from the theory of expected utility maximization under the assumption that there exists an uncertainty in a nonmarket good of interest. In RAM, a respondent would accept an uncertain offer only if his or her WTP for the mean of the offer is large enough to exceed the bidding price by more than a risk premium. This is in a striking contrast with a traditional answering mechanism (TAM) in which the WTP is simply compared with the bidding price. Therefore, the TAM would underestimate the WTP by a risk premium without considering the uncertainty a respondent may face. An empirical comparison is made between RAM and TAM using a survey data on the Tong river. It is found that underestimation problem is very serious in the TAM.

• Health Policy and Management
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• v.4 no.2
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• pp.126-147
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• 1994

Lyme 질환은 미국 코넷티컷주의 라임지방에서 관절염증상을 보이는 소아과환자에게서 1975년 처음 발견되었다, 사슴, 누루, 개 등에 기생하는 진드기에 의해 전염되며, 발병초기에는 감기증상을 수반한 황소의 눈과 비슷한 붉은 반점이 생긴다. 적기에 치료하지 않으면, 관절염, 심장질환, 안면신경마비 등으로 악화될 수 있다. 본 논문의 목적은 두가지로 나누어 볼 수 있다. 먼저, 진단초기의 Lyme질환과 관련된 의료 및 기타 경제적 비용을 저렴하게 계측할 수 있는 방법론을 개발하고 그 유효성을 검증하는 것이다. 둘째로 lyme질환의 비용에 대한 여러종류의 총괄적 계측치를 제공하고 발병의 위험요인을 색출하는 것이다. 본 논문에서는 차트분석이나 임상연구 등 고가의 비용이 수반되는 분석기법 대신에 Lyme질환 다발지역에 대한 설문조사를 실시하고 그 유효성을 재설문조사를 통해서 검증하는 방법을 사용하였다. 자료분석상의 난점은 조사대상자마다 응답하지 않은 항목(Missing Value)이 다르기 때문에, 총 비용을 계산할 때 모든 항목에 응답한 조사대상자만을 사용한다면 표본의 크기가 너무 작아지는 것이었다. 이에 대한 대안으로 총비용 및 부분별 비용의 합을 계산할 때 표본의 일부가 응답하지 않은 항목에 대해서는 그 항목에 응답한 나머지 조사대상자의 응답치 평균을 대체하는 방법을 사용하였다. 통계적 분석결과, 질환의 증상시작부터 설문조사시기까지 Lyme질환과 관련된 사회적 총비용은 US$ 6400으로 추정되었다. 이중에 200가량은 환자의 보호자와 관련된 비용이고 나머지는 환자와 관련되 것이다. 총의료비용의 평균은 계산방법에 따라서 US$ 3000-4200의 범위를 보였다. 응답되지 않은 항목을 해당항목에 대한 응답치평균으로 대체하였을 때 총의료비평균은 US$ 4108이었다. 시간비용을 생산성손실에 대한 사회적 가치와 실제임금 손실의 두가지 방법에 의해 계산되었다. 실제임금손실은 생산손실의 사회적 가치의 약 30%에 불과하였다. 본 논문의 결과는 의료비용 및 비용과 생산성손실에 대한 정보가 지역보건담당자에 의한 전화설문조사에 의해 경제적이고도 일관성 있게 수집될 수 있다는 근거로 해석될 수 있다.