Experiments on the Divergence between Willingness to Pay and Willingness to Accept: The Issue Revisited Academic Article uri icon

abstract

  • Many empirical studies have discovered large discrepancies between willingness to pay (WTP) and willingness to accept (WTA) measures. This paper revisits the WTP and WTA divergence issue using a non-hypothetical market experiment, actual products, cash, and exchange in a market setting. We find WTA/WTP ratios that are significantly lower than most such studies.

published proceedings

  • ECONOMICS BULLETIN

author list (cited authors)

  • Nayga, R., Woodward, R., & Aiew, W.

complete list of authors

  • Nayga, Rodolfo M Jr||Woodward, Richard||Aiew, Wipon

publication date

  • January 2005