• Journal of Biosystems Engineering
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• v.26 no.4
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• pp.363-370
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• 2001

This study intended to estimate the willingness-to-pay amount by farmers for the automatic guidance technology of Combine. Contingent Valuation Method was employed for this estimation using survey data from 65 Combine using farmers. Based on the dichotomous choice model, farmers’willingness-to-pay for the automatic guidance technology was ranged from ￦4,772,000(median) to ￦5,268,000(mean). The estimated willingness-to-pay by the for the new technology was approximately one quarter of the average value based on the willingness-to-pay for the new technology was approximately one quarter of the average value of Combine in sample farms. This implies that there is an economic rationals for developing the new technology as long as it will be available with the cost less than the amount of estimated willingness-to-pay.

• Journal of the Korean Data and Information Science Society
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• v.14 no.2
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• pp.209-216
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• 2003

Contingent valuation method (CVM) is a main evaluation method of nonmarket goods for which markets either do not exist at all or do exist only incompletely; an example is environmental good. A dichotomous choice approach, the most popular type of CVM in environmental economics, employs binary discrete choice models as statistical estimation models. In this paper, we propose a semiparametric dichotomous choice CVM method using local linear model of Fan and Gijbels (1996) in which probability distribution of error term is specified parametrically but latent structural function is specified nonparametrically. The computation procedures of the proposed method are illustrated with a simple design of simulations.

• Environmental and Resource Economics Review
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• v.13 no.3
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• pp.387-415
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• 2004

This paper is intended to valuate air quality of the Seoul Metropolitan Area using triple-bound dichotomous choice (TBDC) contingent valuation method (CVM), supplemented by open-ended (OE) questionnaires. In the OE questionnaires, some respondents would state their willingness to pay (WTP) outside the limits of the WTP interval. It implies that WTP estimates based on the customary dichotomous choice (DC) questionnaires can be biased. We argue that the TBDC-CVM refined with OE questions is more efficient, because the latter helps purge the former of corrupted data that may have been collected by the TBDC interview process.

• Environmental and Resource Economics Review
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• v.12 no.4
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• pp.545-557
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• 2003

A new semiparametric estimator of a dichotomous choice contingent valuation model is proposed by adapting the well-known density weighted average derivative of the regression function. A small sample behavior of the estimator is demonstrated very briefly by a simulation and the estimator is applied to estimate the WTP for preserving the Dong River area in Korea.

• International Journal of Highway Engineering
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• v.15 no.4
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• pp.155-165
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• 2013

PURPOSES : Benefits for improvement of travel time reliability obtained from construction of new highways should be considered as a major factor in the feasibility study for highway constructions. The purpose of this study is to develop a method of estimation for the value of travel time reliability. METHODS : Highway type (urban/rural highway) and traffic flow type(interrupted/uninterrupted) was considered to estimate he value of travel time reliability. And Double-bounded Dichotomous Choice among Contingent Valuation Method(CVM) was applied to survey the willingness-to-pay of drivers when travel time reliability is improved. Finally the value of travel time reliability was estimated using the results of survey and logit model. The value of travel time reliability was estimated considering travel objectives, time constraint travel and non-time constraint travel. RESULTS: The value of travel time reliability of business trip is higher than that of non-business trip. The value of travel time reliability of time constraint travel is higher than that of non-time constraint travel. The value of travel time reliability in urban area is higher than that in rural area. CONCLUSIONS: It was concluded that the proposed method in this study is more realistic and proper to estimate the value of travel time reliability because it reflects the situations of time constraint travel and non-time constraint travel.

• Journal of Korean Society of Forest Science
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• v.96 no.4
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• pp.393-400
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• 2007

This research was conducted to develop the demand function and to estimate an increase of national parks visitors considering abolition of entrance fee, using dichotomous choice contingent valuation. Also, this study estimated the additional management cost with an increase of visitors. As a result, an average increase rate was estimated about 5.8% considering abolition of entrance fee. Each increase rate of national park is analyzed Bukhansan 9.0%, Gyeryongsan 8.5%, Deogyusan 8.2%, respectively. Seoraksan is the lowest rate of increase, 3.0%. Total additional management cost of 18 national parks was estimated about 5.6 billion won, Bukhansan 1.4 billion won, Jirisan 0.7 billion won, Dadohaehaesang 0.5 billion won, respectively.

• Journal of Korean Society of Water and Wastewater
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• v.28 no.5
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• pp.561-571
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• 2014

The paper is to estimate willingness-to-pay (WTP) for tap water quality improvement in Busan, using parametric approach in contingent valuation method(CVM). For parametric approach linear logit model and log logit model are employed in double-bounded dichotomous choice format of CVM. For the reliability and the validity of contingent valuation method a survey was conducted for 665 respondents, who were sampled by stratified random sampling method, by personal interview method. The result of mean WTP for the tap water quality improvement in Busan was estimated to be 3,687 won and 3,660 won per month per household, while median WTP being 1,884 won and 1,892 won per month per household, respectively by linear logit model and log logit model. Provided that our sample is broadly representative of the Busan's population, an estimate of the annual aggregated benefit of residential water improvement for all Busan households is approximately 29.7 billion won to 29.8 billion won based on median WTP.

• Journal of the Korean Data and Information Science Society
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• v.23 no.5
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• pp.913-925
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• 2012

This study evaluates the economic benefit of the project constructing the international riding arena having been built at Sangju in Gyeongsangbuk-Do by the willingness to pay (WTP) of residents in the province. As the evaluation method, the dichotomous choice contingent valuation method (CVM) is adopted with the additional questions of whether his/her WTP is zero, to improve the statistical accuracy of evaluation results. Considering the arena's administrative location, the population of the surveys for analysis is confined to residents of Daegu and Gyeongsangbuk-do. The survey is conducted through personal interviews. It turns out that the WTP per household per year is evaluated as 1,847 won and the total yearly benefit of the Sangju international horse riding arena is estimated as 3.56 billion won.

• Health Policy and Management
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• v.16 no.1
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• pp.95-116
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• 2006

According to rapid increase of the population of senior citizens, there has been growing concern of Long-Tenn Care(LTC) services recently. Long-Tenn Care services, however, haven't been established systematically in Korea and the supply of LTC services is not sufficient despite the increase in the current social demand. This study aims to estimate the 'Willingness to Pay(WTP)' for LTC insurance which the government plans to introduce by means of social insurance, using Contingent Valuation Method(CYM). In addition, this study analyzes the factors affecting WTP for LTC insurance. An interview survey was carried out to derive WTP for LTC from 450 people who lived in Seoul aged 20 and above during the period from 16th to 21st of June 2003. Double-Bounded Dichotomous Choice Method was applied among several CVMs available to estimate both use value and no-use value of goods. There was pilot survey carried out prior to the main survey. The results show that the average monthly. WTP for LTC provided in home and residential setting is 18,192Won and 19,293Won, respectively. In the case of home care, WTP goes higher depending on reliability of LTC insurance policy and need for LTC insurance, as well as marital status, education and average monthly income. On the contrary, WTP is conversely affected by higher age and higher bids. In the case of institutional care, the factors affecting WTP are similar to those of home care, except age. This study followed NOAA's suggestions generally and the value derived through survey could be reliable. However, there can be the least bias in the process of survey because the CVM should be used under the supposed circumstances. Despite those limitations, it can be concluded that the amount the citizens are willing to pay for LTC is high enough to meet the costs needed to provide LTC.

• Journal of Korean Society of Transportation
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• v.31 no.5
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• pp.48-59
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• 2013

Normally the benefits concerned in the feasibility study for highway constructions are travel time saving, vehicle operation cost, etc. which can be calculated using the simulation tool(EMME3). However, there must be extra benefits of driving amenity improvement that drivers can perceive through decreasing driving fatigue and improving driving comfortability. In this study, the definition of driving amenity was established and a method of estimation for the benefit of driving amenity improvement was developed. Highway type (urban/rural highway) and highway density was considered to estimate the driving amenity. And Double-bounded Dichotomous Choice among Contingent Valuation Method(CVM) was applied to survey the willingness-to-pay of drivers when highway density decreases. Finally the value of driving amenity was estimated using the results of survey and logit medel. As the existing highway density is high, willingness-to-pay increases in both urban and rural highways. Even though the changing rates of highway density are same, willingness-to-pay is different based on the existing highway density.