Modelling Heterogeneity and Uncertainty in Contingent Valuation: an Application to the Valuation of Informal Care. (February 2014)

• Record Type: Journal Article
• Authors: Mentzakis, Emmanouil; Ryan, Mandy; McNamee, Paul
• Is Part Of: Scottish journal of political economy. Volume 61:Number 1(2014)
• Page Start: 1
• Page End: 25
• Publication Date: 2014-02
• Subjects: Great Britain -- Economic conditions -- 1945-1964 -- Periodicals; Great Britain -- Economic conditions -- 1964-1979 -- Periodicals; Great Britain -- Economic conditions -- 1979-1997 -- Periodicals; 330.9411005
• DOI: 10.1111/sjpe.12032
• Languages: English
• ISSNs: 0036-9292

Abstract

<abstract abstract-type="main" id="sjpe12032-abs-0001"> <title>Abstract</title> <p>Both the lack of market data and the need to adopt a more holistic approach in the valuation of non‐market activities within health care have pointed towards the use of contingent valuation (CV) methods. However, to date, few studies have employed such techniques to value informal care, despite its provision being an important public policy question. We propose an analytical framework that through the use of random parameters models and respondents' certainty scales can incorporate both unobserved and observed heterogeneity in the CV modelling. This is the first CV study of informal care for Scotland (UK) and a £7.68 per hour value is estimated.</p> </abstract>