Measuring passive use value: Pledges, donations and CV responses in connection with an important natural resource

M. Shechter, B. Reiser, N. Zaitsev

Research output: Contribution to journalArticlepeer-review


This paper examines monetary valuations of lost passive-use benefits associated with damage to a unique environmental resource - a national park, elicited through contingent valuation, and compares them with actual donations to the same end, where the latter are interpreted as a quasimarket expression of willingness to pay for non-market resource services. The relationships between the two valuation approaches were investigated in the specific context of an environmental episode which damaged a unique natural endowment, Israel's Carmel National Park. The empirical analysis is based on data from two sample surveys; one sample was drawn from the population of people who either pledged or pledged and donated during a fund-raising campaign following the episode, with the proceeds dedicated to rehabilitation or prevention of future episodes; the second sample was drawn from the general population of the country. The results cannot be interpreted as providing unqualified support for the reliability of contingent valuation as a means for obtaining passive use values.

Original languageEnglish
Pages (from-to)457-478
Number of pages22
JournalEnvironmental and Resource Economics
Issue number4
StatePublished - Dec 1998

Bibliographical note

Funding Information:
This study was partially funded by a grant from the Ministry of Science. We also wish to thank the Ministry of the Environment and the Carmel Fund for allowing us to use the donor files. The two surveys were ably administered by the Statistical Consulting Unit of the University of Haifa. Special thanks are due to Sagi Nevo for his most valuable and dedicated research assistance, and to Shirra Freeman and two anonymous referees for helpful comments and suggestions.


  • CVM
  • Donations
  • Existence value
  • Passive-use benefits
  • Quasi-market valuations

ASJC Scopus subject areas

  • Economics and Econometrics
  • Management, Monitoring, Policy and Law


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