Discrete Choice Experiment Essay

764 words - 3 pages

The CE is founded on neoclassical micro-economic consumer theory. It assumes that consumers are highly rational decision makers who seek to optimize their utility by selecting the best option among the available alternatives, subject to constraints such as time and income (Ben-Akiva &ump; Lerman 1985). So, a consumer makes a decision by evaluating the costs and benefits of the given alternatives, and selects among them which yields the highest utility to him/her (benefits-cost). In the CE, the choice is discrete in nature (Hanemann 1984), that is, only one alternative from the given choice set can be selected. Therefore, it is also known as discrete choice experiment (DCE).The alternative j will be chosen over some option g, if expected utility for individual, i , (Uij) exceeds the expected utility (Uig) for all alternatives. This implies that the probability of selecting an option is likely to increase with utility from the option and probability (P) that individual, I, will choose option j over other options g in a complete choice set R, is given by:P (jC) = P{ (Uij >Uig, s.t. g Є R, and j ≠g)} (2)Usually, in non-market valuation studies using CE model, respondents are given a choice card containing three alternatives including status-quo (current situation) to select. These alternatives in the choice set are outcomes of policies or programs related to the problem being investigated and distinguished by different levels. The levels could be either qualitative or numerical. The effects of the alternatives are described based on the Lancaster's characteristics theory of value (Lancaster 1966). The theory states that an individual derives utility from the attributes possessed by the goods rather than the goods per se. The choices; therefore, are considered as a function of the attributes that the given alternatives hold. Including the outcomes of policies or programs related to mitigate the damaged caused by invasive plant species, Mikania in particular, a monetary value is included as one of the attributes as the policy cost to the respondent.Since, the alternatives are evaluated indirectly through their characteristics; it may be possible that consumers may have preference ordering over the attributes included (Lancaster 1966). It is widely accepted that an increase in a level of the preferred attributes or positive externalities such as; biodiversity, forest products and income generating activities, will result, ceteris...

Find Another Essay On Discrete Choice Experiment

Compatibility of Free Will in The Tenseless Theory of Time

2424 words - 10 pages fatalism? The topic of fatalism and free will is prominent in the tenseless theory of time. If one is faced with two choices, the illusion of free will arises because the choice that is being made is actually the one that has already been laid out. So does this mean that free will does not exist in the tenseless theory of time? A person has free will “if and only if he or she is free with regard to some actions, and a person is free with regard to

Verbal Reaction Times Experiment Essay

3271 words - 13 pages their time and a brief explanation of what is being investigated will be given to the participant. The researcher will then search for his next participant. This experiment will be carried out according to the British Psychological Society (BPS) Guidelines. As a result, the researchers will not force students of Notre Dame High School to participate; the free choice of the students is understood and respected

Quantum Physics

7340 words - 29 pages . Much 19th-century physics has been re-evaluated as the "classical limit" of quantum mechanics and its more advanced developments in terms of quantum field theory, string theory, and speculative quantum gravity theories. The name quantum mechanics derives from the observation that some physical quantities can change only in discrete amounts, and not in a continuous way. History Scientific inquiry into the wave nature of light began in the 17th and

Rates if Reaction GCSE Cousrework

3160 words - 13 pages . The test will be time related e.g. seeing how long the mixture took to fill a 50 ml burette with carbon dioxide.Values and VariablesThe definition of a variable is anything that changes or can be changed. The definition of a value is how much something is worth or what groups it can be put into. There are three types of values (which in turn can be split into 3 categories of variation depending what part in the experiment they play):"h Continuous

A Technical Analysis of Ergonomics and Human Factors in Modern Flight Deck Design

3781 words - 15 pages established, and what operator needs and limitations are. In general, controls serve one of four actions: activation, discrete setting, quantitative setting, and continuous control. Activation controls are those that toggle a system on or off, like a light switch. Discrete setting switches are variable position switches with three or more options, such as a fuel selector switch with three settings. Quantitative setting switches are usually

A Technical Analysis of Human Factors and Ergonomics in Modern Flight Deck Design

4012 words - 16 pages designer determines what kind of control to use in a system only after the purpose of the system has been established, and what operator needs and limitations are.In general, controls serve one of four actions: activation, discrete setting, quantitative setting, and continuous control. Activation controls are those that toggle a system on or off, like a light switch. Discrete setting switches are variable position switches with three or more


4958 words - 20 pages Table of contents:1.Introduction2.Basic ProbabilityThe beginning of probability3.Descriptive Statistics4.Discrete Random Variables5.Examples of variables6.Sample theory7.Estimation theory8.Test of hypothesis9.Charting and making decisions through the use of statistics10.Statistics use in Human Resources11.Statisticians(I)1.IntroductionThe objective of this paper is to describe some of the different areas and aspects of statistics. Then to

It's an analysis on several current empirical studies regarding treatments for children with attention defficite hyperactivity dissorder (ADHA)

1671 words - 7 pages span and decrease distractability, by increasing weak DA (dopamine) signals, through the use of MP. The purpose of this experiment was clearly stated and easy to comprehend. Positron emission tomography (PET) was used to measure the results.The participants in this study were entirely male and the sample was very small. There control was accomplished by giving the participants both the treatment and a placebo. The subjects were blind to whether

my view on social networking

3862 words - 15 pages W N − − = = = ∑ (5) x(n) and X(k) are a double of finite-length sequences discrete Fourier transform. Given one sequence, we can determine another unique sequence. X(n) Points and X(k) points are both N, the information are equal. As Fourier transform, discrete Fourier transform algorithm can be simplified, but multiplication times and addition times are in proportion with N2. When N is large, the required computational work is

Virtuality as Representation

2456 words - 10 pages the representation coincides with reality itself. Digital representation, by contrast, is a collection of discrete values and as such a partial depiction. NOTA 2: “Computers were people using desk calculators when Los Alamos began. By the end of the war, Los Alamos scientists were using the first electronic computer. John von Neumann was the primary agent of this change, which led to the Laboratory's strong program in computer science and

Chemistry year 11 Syllabus Summary

9998 words - 40 pages exist in discrete energy levels which we call the first, second, third energy level and so on. The first energy level can accommodate only 2 electrons, the second can hold 8 electrons, the third can hold 18 electrons, the fourth can hold 32 electrons, and the fifth can hold 50 electrons.Describe atoms in terms of mass number and atomic number•The atomic number, Z, of an element is the number of protons in the nucleus of an atom of that element

Similar Essays

Gluten Content, Gas Retention And Physical Properties Of Starch In Selected Flours

1980 words - 8 pages Gluten content, gas retention and physical properties of starch in selected flours.Abstract: This experiment has three parts; properties of starch, gluten content of flour and gas retention of doughs. One objective of this experiment is to assess the properties of starch using a microscope before and after gelatinisation. Potato starch was found to be the quickest forming gel and pre-gelatinised starch was the most viscous. The second

Qnt351 Final Exam Essay

1071 words - 4 pages personal and business investments is measured as a percentage, return on investment. What type of variable is return on investment? A. Qualitative B. Continuous C. Attribute D. Discrete 4) What type of variable is the number of robberies reported in your city? A. Attribute B. Continuous C. Discrete D. Qualitative 5) What level of measurement is the number of auto accidents reported in a given month? A. Nominal B. Ordinal C. Interval D. Ratio 6

The Application Of Model Predictive Control (Mpc) To Fast Systems Like Autonomous Ground Vehicles (Agv)

2288 words - 9 pages vector is represented as ϕ=[β  ( ) ̇X Y], β = Vehicle side slip angle,  = Vehicle yaw angle, ( ) ̇= Vehicle yaw rate, (X ) ̇= x-coordinate of the vehicle's centre of gravity in inertial frame, Y ̇ = y-coordinate of the vehicle's centre of gravity in inertial frame. While the control vector is represented by u = [δ_f], where δ_f is the front tyre steering angle. Applying Euler's approximation to equations 1, the discrete-time model for the AGV

Measuring Risk With Probability Distributions Essay

1882 words - 8 pages , was an experiment where he made two individuals select red and black balls at random from a jar. The first participant did not know the probabilities of selecting a red or a black ball. Therefore, the first participant suffers from uncertainty. On the other hand, the second participant is told that there are three red balls and one black ball. The second participant, therefore, is exposed to risk but not uncertainty. (Damodran, 2008